IOTA – A Short Introduction to An Altcoin
IOTA is the blockchain based platform on which Internet of Things (IoT) was built. Let’s explore how this cryptocoin uses blockchain to manage smart devices today. We’ll talk about how it works and the primary features in this article. Let’s jump right in.
What is IOTA?
IOTA is a blockchain based solution for smart device management created by IOTA foundation, and you can find it on IOTA.org. The sharing of resources has increased with the expansion of Internet of Things. Hence companies now can explore new inter-business models, thanks to the sharing of resources offered by IOTA.
Every technological resource becomes a service that is capable of being traded on an open market. All these at zero charges.
IOTA is built on a scalable, decentralized, modular platform known as the Tangle ledger. This key platform essentially controls the potential use of IOTA. It makes it possible for IOTA to be adapted to manage anything with a chip. This includes, but not limited to smart cars and Wi-Fi bandwidth.
In the most straightforward words, this digital currency can lease the computing power of your smart device to people from different part of the world in real time.
How IOTA Works
To fully grasp how IOTA works, you need to understand how the Tangle ledger functions. The first thing you need to know about this ledger is that it is a block-less ledger. This makes it different from all other blockchains and ledgers. Consequently, it works differently.
The fact that Tangle ledger is block-less makes it possible to transfer value without incurring any fees. You’ll no longer have a decoupled consensus. Instead, it becomes a basic part of the system. That’s what is responsible for the decentralized peer-to-peer network of IOTA.
IOTA; Features and Applications
According to the developers, IOTA’s primary function is to create a more efficient method of managing and utilizing smart devices. They tagged it an “economy of things” which enables different users from different part of the world share the computing power of their smart device.
Apart from this primary function, IOTA serves other secondary roles such as;
- Micro Transaction
- Data Transfer
- Masked Messaging
- Anything that needs a scalable ledger
How to Buy IOTA in Nigeria
Two exchanges have a significant trade volume of IOTA. Unfortunately, neither of these exchanges accepts fiat currency. That means, to buy this cryptocoin, you have to either use Bitcoin or Ethereum first before sending to Bitfinex or Binance to buy your IOTA.
The steps for buying it is similar for both exchanges. It can be summarized as;
- Step 1: Register an account
- Step2: Log into the account
- Step 3: Deposit the cryptocurrency (Bitcoin or Ethereum)
- Step 4: Buy IOTA
All things considered, IOTA is easy to buy. The only thing to remember is that you cannot purchase it using fiat currency. Just purchase Bitcoin or Ethereum form a separate exchange first.
Wrapping it Up
The use of Tangle ledger made IOTA unique and suited for various applications. It helps lease the computing power of smart devices and has other extended uses. It has an advantage of a zero-fee transaction too.
Here is the thing, as long as we have smart cars smartphones, and smart guns around, a solution to manage these smart technologies will be needed. IOTA is that solution.
Let’s face it these smart technologies are not going anywhere anytime soon, nor is IOTA.