Announced in an IOTA blog post on May 28, the team behind IOTA is now confident enough to remove the centralized coordinator – an act they’re referring to as “Coordicide” – from the network, marking a momentous step towards realizing IOTA’s vision to become the first decentralized and scalable DLT.
Following this announcement, IOTA’s MIOTA token increased by over 20% from $0.42 to a local high of $0.55.
Image Source: https://coinmarketcap.com/currencies/iota/
This development and price rise signals a much-needed change in momentum for a cryptocurrency that lost over 98% of its value from its all-time high of $5.23 in December 2017.
What’s Next For IOTA?
As previously reported by IIB, the removal of IOTA’s centralized coordinator is a huge step forward in IOTA’s development, as it will enable clients to build a scalable payments network for the internet of things (IoT).
Perhaps what’s most exciting about IOTA is that it offers no transaction fees due to its low difficulty Proof-of-Work (PoW) consensus mechanism and once the coordinator is officially removed, IOTA will become a truly enterprise-ready DLT.
However, before this happens, the Coordicide process will go through a series of stages and the IOTA community will be updated along the way.
As stated in IOTA’s blog post:
“We look forward to providing updates about the progress of our simulations, prototyping, and incoming testnets. In the meantime, please feel free to submit feedback through the website, or join us on Discord for a chat!”
What’s Next For Investors?
Investors can expect to see an increase in interest surrounding IOTA, especially once the masses come to realize that IOTA’s DAG-based distributed ledger technology offers zero-fee transactions. Feeless transactions coupled with a fully decentralized and scalable DLT is sure to spike people’s interest.
Take Nano (NANO), for example: once people realized its DAG-based DLT technology offered free and near instant transactions, the price exploded. Nano went from under $2 all the way up to $34 in the span of just 1 month.
Now, there’s something for people to get excited about again, as IOTA goes beyond the scope of payments. IOTA is built for machine-to-machine transactions for the internet of things, capabilities which Nano does not have.
Therefore, the bulls are with IOTA as crowds of investors will soon explore IOTA’s possibilities and be completely blown away.
Do you think IOTA will deliver up to the hype? Will the removal of IOTA’s coordinator go as planned? Let us know what you think in the comment section below.