IOTA (MIOTA) Price Rises on Publication of Consensus and Scaling Paper
The IOTA network has received much criticism, but a new protocol for scaling gives hope the project may have its place as an asset for the Internet of Things and other applications.
IOTA (MIOTA) is back in the spotlight with its price reawakening after a long drift near the $0.30 level. In the past days, MIOTA climbed to $0.53, adding more than 42% to its price. MIOTA prices are attempting a recovery over the past month, and are on track to doubling since the beginning of May.
The IOTA team hinted at its innovations during a Barcelona conference, explaining why the network may be a first of its kind, with unbreakable consensus protected against attacks:
It is an almost forgotten fact that the IOTA network actually uses a central coordinator to arrive at a single state of the distributed ledger. Now, the coordinator will be replaced by a consensus protocol known as “Shimmer”. The matter of consensus is one of the most pressing issues for distributed networks, as it requires balancing speed with security. Distributed consensus means the network is truly permissionless and decentralized.
The scaling and consensus solution that overhauls the IOTA ecosystem bears the project name Coordicide, and was revealed on May 28, with a brand-new website. The consensus system is described in a new white paper. In the past, IOTA has been criticized for its hidden centralization, as well as for the loss of coins sometimes happening when a user’s wallet was unable to receive its previous balances from the state of the Tangle.
But despite the innovation, IOTA lags behind digital assets that are receiving the most significant inflows of investment and trading liquidity. Still, MIOTA is most actively traded on Binance, with 72% of volumes concentrated on the exchange. This means MIOTA market prices may be subject to fast and significant movements, based on coordinated trading or triggered bot orders.
In the past, MIOTA has risen above $5 during the times of hype at the end of 2017. However, the current valuation is much lower, with only separate predictions allowing for a price of $2.50.