IOTA, designed as a cryptocurrency for the Internet of Things, has come back strong on a day most cryptos were losing value, continuing a pattern of volatility.
Source: Coinmarketcap.com
The eighth largest crypto with $1.249 billion in market capitalization as of Friday morning, IOTA posted a 13.52-point gain to $0.449602 BTC in the last 24 hours after suffering a 20.16-point drop in the previous 24-hour period. On June 30, IOTA posted the biggest 24-hour fall for all top 100 cryptos with the exception of Peerplays.
IOTA posted the strongest performance of all cryptos today with the exception of Gnossis, the number 17 crypto with a $368.67 million market cap, which jumped 38.08 points; number 54 ranked Agoras tokens with a $53.61 million market cap posting a 215.06-point gain; and 94th ranked NeosCoin with a $24.79 million market cap delivering a 38.08-point gain.
A Volatile Pattern
Prior to the June 30 fall, IOTA posted a 26.48-point gain on June 24, a record gain for that period. That came on the heels of losing 36.5 points in a 24-hour period.
The price fell from $0.634748 on June 13 to $0.300365 on June 15, where it hovered until June 26 when it reached $0.415750.
IOTA has experienced high volatility since launching June 13 and shooting quickly into the top 10 cryptos.
There is currently a circulating supply of 2.779 billion MIOTA’s, its maximum supply.
A Unique Protocol
The first cryptocurrency without a blockchain, IOTA uses a protocol called the “Tangle,” which is based on DAG technology. In a traditional blockchain, various transactions are bundled in each block before this bundle of transactions is verified by miners. In the Tangle, every transaction forms a new block and is essentially verified by itself: In order to successfully conduct a transaction, you first have to verify two randomly chosen transactions is the network.
Bitfinex officially launched the IOTA token, IOT, on June 13. After going live on Bitfinex, the transaction volume quickly became so massive that the Bitfinex servers briefly went down. Within the first three hours of trading, 4.44 million mega IOTA were traded with the IOT/USD pair, an amount that increased by the second. The IOT/BTC trades showed even greater activity, showing 11.67 million mega IOTA traded in the same period.
The Tangle project began in mid-2015 aimed primarily at Internet-of-Things for machine-to-machine payments and data integrity. The founders realized that Internet-connected devices need a way to do settlements and data transfers securely in order for IoT to work.