IOTA — is a cryptocurrency, based not on the blockchain, but on a new data structure called “Tangle”, which does not require blocks, chains and miners. One of the main fields of application of this technology, as envisioned by the developers, is “Internet of things”. Tangle – is a new data structure based on the Direct Acyclic Graph and which does not need miners and data blocks. Each network member who wants to execute a transaction must actively participate in the network consensus by approving two past transactions.
This attestation of the validity of the two past transactions ensures that the entire network will reach a consensus on the current status of the approved transactions and will allow using a number of unique functions that only IOTA has: high transaction capacity due to concurrent checking without limits on their number, no commissions for transactions, greater decentralization in comparison with the blockchain and higher security.
History
In the future, IOTA will allow companies to introduce new b2b models, turning every technological resource into a potential service that will be sold on the open market in real time without any charges. Secure and authenticated communication channels between devices will be built through the Tangle. In the future, any physical resources connected to the network can be rented in real time: not only equipment, but also computer capacities and data storage volumes.
Also, Tangle opens up new opportunities for secure data transfer to eGovernance, including for electronic voting. Several companies are already conducting research in this direction.