{"id":9870,"date":"2023-07-12T16:27:07","date_gmt":"2023-07-12T16:27:07","guid":{"rendered":"https:\/\/www.bitnovo.com\/blog\/?p=9870"},"modified":"2022-05-16T21:05:02","modified_gmt":"2022-05-16T21:05:02","slug":"what-is-iota-the-project-that-moves-away-from-blockchains","status":"publish","type":"post","link":"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains","title":{"rendered":"What is IOTA? The project that moves away from blockchains"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Alternar tabla de contenidos\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #ffffff;color:#ffffff\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #ffffff;color:#ffffff\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains\/#%c2%bfque_es_iota\" >\u00bfQu\u00e9 es IOTA?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains\/#what_is_iota_tangle\" >What is IOTA Tangle?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains\/#how_it_works\" >How it works<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains\/#their_current_consensus\" >Their current consensus<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-iota-the-project-that-moves-away-from-blockchains\/#what_about_iota_miota_token\" >What about IOTA (MIOTA) token?<\/a><\/li><\/ul><\/nav><\/div>\n<span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Tiempo de lectura:<\/span> <span class=\"rt-time\"> 4<\/span> <span class=\"rt-label rt-postfix\">minutos<\/span><\/span><p><strong>The concept of the internet of things (IoT) is becoming increasingly recognized,\u00a0<\/strong>whether it\u2019s the amazing drones that deliver Amazon\u2019s packages or virtual assistants<strong>\u00a0like Alexa or Siri.\u00a0<\/strong><\/p>\n<p>Clearly, this is due to\u00a0<strong>the perfect communication that these \u201ceveryday\u201d objects have with the Internet<\/strong>\u00a0and with a server that keeps track of everything.<\/p>\n<p>As you can deduce, it is centralized, but what does this have to do with cryptos?<\/p>\n<p>One of the most interesting projects that we can find today is\u00a0<strong>IOTA, a proposal that seeks to achieve a decentralized IoT.<\/strong><\/p>\n<p>However, here its innovation, because it does not use\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-blockchain-and-how-does-it-work\/\">blockchain technology<\/a>, like most cryptocurrencies such as\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-bitcoin\/\">Bitcoin<\/a>\u00a0or\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-ethereum-eth-and-how-does-it-work\/\">Ethereum<\/a>.<\/p>\n<p>Its platform and cryptocurrencies\u00a0<strong>are based on a\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-hyperledger\/\">distributed log technology (DLT)<\/a>\u00a0called \u201cTangle\u201d.<\/strong><\/p>\n<p>Buckle up, because today we\u2019re going to take a quick tour of what IOTA is and how it works.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"%c2%bfque_es_iota\"><\/span>\u00bfQu\u00e9 es IOTA?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>IOTA is a project consisting of a decentralized platform based on DAG (Directed Acyclic Graph) architecture.\u00a0<\/strong><\/p>\n<p>Consequently,<strong>\u00a0it is defined as the first DLT built for the Internet of Everything (IoE)<\/strong>, which favors a network for the exchange of value and data between humans and machines.<\/p>\n<p>Therefore, its objective is that, by means of\u00a0<strong>Tangle, anything connected to the Internet can be managed.<\/strong><\/p>\n<p>Likewise,<strong>\u00a0it is integrally designed to avoid commissions<\/strong>, blockchain and miners.<\/p>\n<p>As a result,<strong>\u00a0it overcomes the cost and scalability limitations of a blockchain.<\/strong><\/p>\n<p>It was created in 2015 by the IOTA foundation, formed by David S\u00f8nsteb\u00f8 and his colleagues Sergey Ivancheglo, Dominik Schiener and Serguei Popov.<\/p>\n<p>Its purposes as a non profit foundation are:<\/p>\n<ul>\n<li>Investigate and secure the protocol.<\/li>\n<li>Develop the ready software.<\/li>\n<li>Educate and promote technology.<\/li>\n<li>Standardize to ensure IoT adoption.<\/li>\n<\/ul>\n<p>It was officially launched on July 11, 2016,\u00a0<strong>after successfully raising funds through an\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-an-ico-initial-coin-offering\/\">ICO<\/a>\u00a0and being funded through cryptocurrencies by Germany.\u00a0<\/strong><\/p>\n<p>Currently,\u00a0<strong>it has agreements with different ONG<\/strong>\u00a0and private and governmental entities.<\/p>\n<div id=\"image_790982721\" class=\"img has-hover x md-x lg-x y md-y lg-y\">\n<div class=\"img-inner dark\"><img fetchpriority=\"high\" decoding=\"async\" class=\"attachment-large size-large lazyloaded\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2.jpg\" sizes=\"(max-width: 768px) 100vw, 768px\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2-300x205.jpg 300w\" alt=\"\u00bfQu\u00e9 es IOTA? El proyecto que se aleja de las blockchains\" width=\"768\" height=\"526\" data-srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2-300x205.jpg 300w\" data-src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA2.jpg\" data-sizes=\"(max-width: 768px) 100vw, 768px\" \/><\/div>\n<\/div>\n<h2><span class=\"ez-toc-section\" id=\"what_is_iota_tangle\"><\/span>What is IOTA Tangle?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>IOTA Tangle is a distributed logging technology (DLT)\u00a0<\/strong>based on the directed acyclic network algorithm<strong>. It is intended to be the bridge that links all IoT devices.\u00a0<\/strong><\/p>\n<p>Its working mechanism is based on the idea of parallel, fast and commission-free transactions.<\/p>\n<p>To this end,\u00a0<strong>all IOTA users can confirm transactions within the tangle network<\/strong>, making it efficient, secure and highly scalable.<\/p>\n<p>It\u00a0<strong>is also ideal for executing micro transactions.<\/strong><\/p>\n<h3><span class=\"ez-toc-section\" id=\"how_it_works\"><\/span><strong>How it works<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Let\u2019s imagine that you sent 3 IOTA (Miota) to a friend of yours named Andrea.<\/p>\n<p>For this transaction to be confirmed,\u00a0<strong>you must first participate by validating two transactions prior to yours.\u00a0<\/strong><\/p>\n<p>To do this,\u00a0<strong>the device you are using must have the necessary software installed to run the IOTA Tangle protocol:<\/strong><\/p>\n<ul>\n<li>First,\u00a0<strong>it will confirm that these transactions took place<\/strong>\u00a0and, therefore, exist.<\/li>\n<li>It will then\u00a0<strong>verify whether that person has sufficient funds<\/strong>\u00a0to carry out the transaction.<\/li>\n<li>Finally,\u00a0<strong>a cryptographic puzzle<\/strong>, very similar to Bitcoin\u2019s\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-proof-of-work-the-bitcoin-consensus-protocol\/\">Proof of Work<\/a>, must be solved to verify that it is not spam.<\/li>\n<\/ul>\n<p>If another person after you wants his transaction to be validated,<strong>\u00a0he must also confirm two transactions<\/strong>\u00a0and so on, which forms a web like network.<\/p>\n<p>The more people participate in the network, the\u00a0<strong>more secure, powerful and faster<\/strong>\u00a0it is. This i<strong>s its differentiating factor with blockchains<\/strong>, since, in blockchains,\u00a0<strong>if the demand is greater, the network becomes saturated and slower.\u00a0<\/strong><\/p>\n<p>In addition, each node does not have to store copies of all past transactions,\u00a0<strong>which means that with a given number of users, the number of transactions is almost infinite.\u00a0<\/strong><\/p>\n<p>Of course,\u00a0<strong>since everyone is part of the verification and consensus of the transactions, there is no mining<\/strong>\u00a0and no need for transaction fees.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"their_current_consensus\"><\/span><strong>Their current consensus<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Being relatively new, its users have not managed to cover the network. As a result,\u00a0<strong>transactions are currently approved by a node of the IOTA foundation.\u00a0<\/strong><\/p>\n<p>Now, in order to obtain a consensus, a<strong>\u00a0coordinator (a special node) is in charge of referencing the transactions issued<\/strong>, which it does by publishing zero-value transactions (<strong>milestones<\/strong>) that allow it to validate previous transactions.<\/p>\n<p>Put more simply,\u00a0<strong>a transaction is only verified if it is confirmed with a milestone<\/strong>, which makes it a centralized network.<\/p>\n<p>However, this is expected to change in a few years to his original idea.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"what_about_iota_miota_token\"><\/span>What about IOTA (MIOTA) token?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>IOTA is a cryptocurrency, or more precisely,\u00a0<strong>a token designed to be used as a means of payment within the IOTA network.<\/strong><\/p>\n<p>Put another way, it is a digital asset that\u00a0<strong>enables humans and devices to exchange data and services securely, as would be expected within IoT and IoE.\u00a0\u00a0<\/strong><\/p>\n<p>In addition, it seeks to convey trust, as it comes from a non-profit foundation,\u00a0<strong>whose vision is to create a standardized open source protocol for the world to use.\u00a0<\/strong><\/p>\n<div id=\"image_15884750\" class=\"img has-hover x md-x lg-x y md-y lg-y\">\n<div class=\"img-inner dark\"><img decoding=\"async\" class=\"attachment-large size-large lazyloaded\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1.jpg\" sizes=\"(max-width: 768px) 100vw, 768px\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1-300x205.jpg 300w\" alt=\"\u00bfQu\u00e9 es IOTA? El proyecto que se aleja de las blockchains\" width=\"768\" height=\"526\" data-srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1-300x205.jpg 300w\" data-src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2021\/06\/Que-es-IOTA1.jpg\" data-sizes=\"(max-width: 768px) 100vw, 768px\" \/><\/div>\n<\/div>\n<p>Glad to see you made it this far!<\/p>\n<p>I know this has been an information packed article,\u00a0<strong>but we hope it has been very useful to understand a little more about how the wonderful and wide ranging crypto ecosystem works.\u00a0<\/strong><\/p>\n<p>But\u2026oh\u2026wait, you were left wanting more?<\/p>\n<p>Don\u2019t worry! At Bitnovo, we are working hard\u00a0<strong>to make sure you have the best information at your fingertips in\u00a0<a href=\"https:\/\/www.bitnovo.com\/blog\/en\/\">our blog<\/a>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p><span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Tiempo de lectura:<\/span> <span class=\"rt-time\"> 4<\/span> <span class=\"rt-label rt-postfix\">minutos<\/span><\/span>The concept of the internet of things (IoT) is becoming increasingly recognized,\u00a0whether it\u2019s the amazing drones that deliver Amazon\u2019s packages or virtual assistants\u00a0like Alexa or Siri.\u00a0 Clearly, this is due to\u00a0the perfect communication that these \u201ceveryday\u201d objects have with the Internet\u00a0and with a server that keeps track of everything. As you can deduce, it is [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":9871,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[185],"tags":[],"class_list":["post-9870","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain-en"],"_links":{"self":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts\/9870","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/comments?post=9870"}],"version-history":[{"count":0,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts\/9870\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/media\/9871"}],"wp:attachment":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/media?parent=9870"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/categories?post=9870"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/tags?post=9870"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}