What Is IOTA (MIOTA)?
MIOTA is the native token of IOTA, which is a distributed ledger created for Internet of Things (IoT) devices. The coin can also be simply referred to as IOTA since MIOTA actually stands for one million of IOTA. However, IOTA is a unique type of distributed ledger since it's not a blockchain and its native token is not an altcoin like other crypto assets are (at least, it's not considered to be by the founders of IOTA).
Besides, IOTA doesn't charge transaction fees and doesn't need miners to carry out transactions. However, to submit a transaction, users need to put in some computational effort. Thus, MIOTA is ideal for IoT devices to utilize as a currency or a distributed communication protocol.
If you're interested in the current IOTA price, check out the MIOTA price chart above.
Besides, note that IOTA aims to eventually take over as the primary platform for carrying out transactions between IoT devices. Though there are still further use cases that could be explored according to the team of IOTA. It could eventually provide access to digital identities, open the way for the development of revolutionary smart cities, facilitate frictionless international trade, and so on.
The Founders of IOTA
IOTA was founded by Sergey Ivancheglo, Serguei Popov, David Sønstebø, and Dominik Schiener in 2015. The team also established the IOTA Foundation in 2017. It became the first legal non-profit Germany-based organization funded entirely by IOTA crypto assets. It's tasked with managing IOTA tokens and is committed to advancing the technology and keeping it open-source.
The IOTA token was officially launched in 2017. At the time, the IOTA price was $0.40 and started showing fluctuations from the first days in the market. It saw a significant milestone in December 2017, when it passed the $1 mark for the first time.
How Does IOTA Work?
IOTA employs a quantum-proof protocol called Tangle, or if we were to be more technical, Directed Acyclic Graph. In essence, it establishes a network of nodes that validate transactions. It's similar to how it is with blockchains, but it doesn't have blocks. Besides, it aims to offer much greater transaction speeds and minimal expenses.
So, if there are no blocks, how do transactions happen? Essentially, new transactions can be approved once two earlier transactions from a different node are approved as well. This is a revolutionary strategy since it implies that the size of the network and its performance will be directly correlated with the usage of the platform.
Talking about consensus mechanisms, even though it's not a blockchain, it still employs one in order to keep the transactions secure. The transaction validation process in IOTA includes the Proof-of-Work (PoW) mechanism. It involves a set of mathematical equations that must be solved to confirm transactions. The main advantage of this mechanism is that it eliminates the need for miners and validators.
If you intend to purchase IOTA tokens, be aware that the IOTA price is subject to fluctuation. This occurs due to the volatility of the entire crypto market, particularly influenced by major cryptocurrencies like Bitcoin (BTC).
Tokenomics of MIOTA
The max supply of IOTA coins is 2,779,530,283 MIOTA, and all of the tokens are already in circulation. Since the tokens cannot be mined, the supply of IOTA will never increase. Burning can only occur via a community vote. Therefore IOTA can be considered a deflationary token, and the burning process is one of the methods to manage the MIOTA price.
IOTA is a mildly volatile asset and tends to follow the general bearish and bullish trends. If you're interested in the current IOTA price, you can find the relevant data in the chart above.