IOTA Isn’t a Patch—It’s a Purpose-Built Chain With Real Infrastructure and Native Innovation - Crypto News Flash

• When IOTA was launched back in 2015 by David Sønstebø, Dominik Schiener, Sergey Ivancheglo, and Sergey Popov, it was a relatively simple project.
• Over the years, IOTA has built a niche for itself with feeless transactions and near-infinite scalability.

An IOTA enthusiast known as neuraltangle.IOTA recently shared a thread on X, offering a deep dive into why IOTA, despite ranking just #97 by market cap at around $610 million and having a price of $0.1583, is a model example for other Layer 1 blockchains.

In his words, most Layer 1 networks in the crypto space today are “patchwork,” pieced together with forked code, copied staking models, and makeshift bridges added as afterthoughts. He argues that IOTA stands apart with a purpose-built infrastructure designed from the ground up, rather than being a mash-up of borrowed components.

IOTA’s Unique Tech Stack

First, NeutralTangle notes that IOTA utilizes parallel execution in its Move Virtual Machine (MVM), allowing smart contracts to run concurrently without interfering with one another. Unlike most blockchains, where transactions pile up and wait in line, IOTA lets them flow freely, with no longer queues.

Then there’s asset ownership by design, in IOTA, assets aren’t just lines of code or loose entries on a ledger. They’re actual objects, with clear rules and direct ownership. That makes it much harder for tokens to get lost, duplicated, or mishandled.

Additionally, one advantage that IOTA offers is that validator governance is built into the core of the network. Validators don’t just secure the chain; they vote on upgrades and changes every epoch. In IOTA, governance isn’t an afterthought or handled by a select few; it’s a fundamental part of how the protocol evolves.

“Staking That’s Native. 14.8% APY. Self-custodial. Auto-compounded. No slashing. No LPs. No BS, ” he added. For context, Staking in the IOTA ecosystem allows users to lock up their IOTA tokens to earn staking rewards, but not in IOTA directly. Instead, you earn rewards in native tokens for networks and projects built on IOTA’s base layer. Shimmer (SMR), the native token of the Shimmer network, which is a staging network for IOTA and ASMB, the governance and utility token for the Assembly Layer 1 smart contract network.

When you stake IOTA, you don’t lose custody of your tokens. Instead, you use a supported wallet, like Firefly, commit your tokens to staking, and receive rewards in proportion to how much and how long you’ve staked.

One sign that a network is doing something right is its level of adoption. The analyst notes that with IOTA, the UAE has launched tokenized Treasury Bills, while the EU is actively participating in regulated pilot programs. Another project is the Trade & Logistics Information Pipeline (TLIP).

CNF reported before that this is a digital trade corridor built on top of IOTA’s scalable ledger. TLIP connects exporters, freight forwarders, customs officials, and regulators like the Kenya Revenue Authority, KenTrade, and KEPHIS.

He concluded that, ” IOTA isn’t trying to keep up with the hype. It’s setting the infrastructure for the next wave. A real L1. Built right. Running now.” IOTA is also protecting the future of AI and deepfakes with IOTA identity.

As highlighted by CNF, IOTA Identity is built on the IOTA Tangle and is all about giving control back to where it truly belongs, whether that’s a person, a business, or even a machine. It follows the Self-Sovereign Identity (SSI) model, which means you own your digital credentials entirely. No middlemen, no tech giants storing or profiting from your data, just you, in charge of your own digital identity.

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