IOTA is a distributed ledger that was developed to overcome the scalability issues presented by public blockchains and seeks to become the de facto protocol for executing transactions and interacting between IoT devices.
MIOTA, the native cryptocurrency of the IOTA network, has recorded a weekly gain of over 16%, becoming the second cryptocurrency in the Top 100 with the highest increase in the last 7 days.
According to data from CoinMaketCap, the price of MIOTA has surpassed $0,17 per unit, recovering the level it had in the middle of last month.
MIOTA currently ranks 69th among the most capitalized cryptocurrencies in the market, with over $477 million USD.
Source: CoinMarketCap
The price of MIOTA was trading around $0,14 on Monday. Moreover, the trading volume of this cryptocurrency has approached $10 million over the past 7 days. However, at the time of writing this article, this volume has dropped by approximately 37%. Still, MIOTA remains one of the most traded cryptocurrencies in the crypto market.
What has driven up the price of MIOTA?
The bullish outlook that MIOTA has shown this week seems to be related to several key improvements announced by the development team this week, including the launch of a new and revamped Wiki that provides users with various resources and documentation that facilitate entry into the IOTA ecosystem.
This Wiki will also provide the tools needed to build on the network. According to the developers, the “build” and “maintain” components have been added, in which different resources focused on content creation, procedures, networks and the execution and management of nodes, indexers, permanode configurations, among others, can be added.
Analysts also believe that the growing interest in the Internet of Things (IoT) may be one of the main catalysts for the rise in MIOTA's price.
IOTA is also pushing to build a decentralized digital identity infrastructure, called Walt ID, which incorporates an open-source decentralized wallet and is primarily focused on enterprises and developers.
The network and the IOTA Foundation explained that through this new infrastructure, developers will have access to holistic identity tools that will allow them different capabilities in relation to self-sovereign identity, such as the creation, issuance, management, verification and use of verifiable credentials with the aim of digitizing identity information, proving identity attributes for verification and authentication. All of these capabilities will give rise to a wide range of use cases, they indicated.
What is IOTA?
IOTA is a unique network that differs greatly from other blockchains, mainly because it does not use blockchain. It is actually a network of nodes that uses its own proprietary technology called Tangle and whose consensus mechanism is based on a DAG (Directed Acyclic Graph).
Thanks to the Tangle structure, IOTA is highly scalable and is able to process transactions at a speed significantly higher than that of many blockchains.
In addition to this, by not using blockchain or mining nodes to generate blocks, IOTA eliminates fees, making it also one of the most accessible networks within the crypto ecosystem.
Its developers created the network with the goals of offering a high level of scalability and serving as a bridge for machine-to-machine communication between IoT devices. David Sønstebø, one of its co-founders, also explained that, despite not using blockchain, IOTA can work in synergy and in a symbiotic relationship with other blockchains, to ensure secure and efficient transactions that are executed in real time.
Continue reading: IOTA launches new decentralized service for instant messaging
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