What Is IOTA?

IOTA is a system designed to monitor and record transactions over the Internet of Things (IOT).

The IOT is often mistaken for the Internet, which is the interconnection of computer networks globally.

To avoid confusion, the best way to consider the IOT is as the physical objects integrated into the software and technology used for connection with other systems over the Internet.

IOTA monitors these transactions. In this sense, IOTA is a ledger that records the distribution of data over the IOT.

It is also open-source software, meaning that users have the right to use, change and improve the system itself. In this regard, IOTA is improved and monitored by its users, giving them control over how it is run as a distribution ledger.

IOTA was developed in 2015 and went live shortly after.

Since its inception, it has grown to become a foundation, and its partnership with the Association for Trusted Blockchain Applications (INATBA) has seen the program's technology used to improve the IOT's trading functions.

The market value of IOTA has considerably increased since it was launched in 2016.

It is not just a popular stock, however; rather, it has an intrinsic value in how we trade and distribute the information of software over the Internet.

IOTA's design has been criticized because of its complexity and if it can be actualized in practice.

There have been numerous updates to marry the technology used within IOTA with industry standards following these criticisms.

Today, IOTA technology allows seamless transactions with little resources needed. In other words, users can transfer what they want over the IOT without the limitations of cost and time associated with blockchain alternatives.

Suppose you need to quickly distribute data of some form to another network. In that case, IOTA makes this process quick and scalable.

As it becomes necessary to distribute more data quickly over a global reach, IOTA has proven to be an essential technology.

This article will discuss how you can invest in IOTA and why the investment is worthwhile.

Furthermore, how you can buy IOTA will be broken down, along with key points to consider and why this exciting new technology could be the best alternative to blockchain technologies.

Although it is relatively young, IOTA has proven to be one of the more exciting investment opportunities available.

Financially, IOTA is set to be profitable. There is an expected rise in the price of shares over the next few years.

More people will opt to use the technology instead of blockchain alternatives as IOTA becomes a more accessible technology globally since its adoption of industry standards.

Analysts have predicted that the price of a share in IOTA could rise to $5.63 in the next five years. With these statistics in mind, it is worth contemplating investment now for future profit. In comparison to other blockchain cryptocurrencies, such as Bitcoin and Ethereum, IOTA is not as secure at this moment. This is because the currencies of these two networks have been tried and tested, and time of use has improved the technology to make them more hacker resistant. You should not be deterred from IOTA, however, as its weaknesses in code structure are already being addressed. It can be expected that it will become more user-friendly in the next few years, therefore. As IOTA becomes more popular, so does its technological usage. Furthermore, IOTA has much greater scalability than Bitcoin and Ethereum, meaning its use may last well into the future. Unlike other blockchain alternatives, IOTA has zero-free transactions. This means that if you transact $10,000, the other side of the transaction will receive$10,000. With the trade of substantial amounts of money in IOTA, this is a very beneficial trait. Large corporations like IBM have demonstrated their support for this new technology. As the stock market price of IOTA increases, it is predicted that other large corporations will consider it a viable blockchain alternative. It is not just its profitability that makes IOTA an attractive prospect – its transfer of data through smart devices is innovative. IOTA is being formulated to operate on smartwatches and other forms of portable technology. The monetization of the data stored on these devices can prove to be the next breakthrough in how corporations use data. Furthermore, its use in Tangle, an acyclic graph that facilitates data and money transactions, gives those involved in technology a viable alternative to what currencies such as bitcoin use. As this improves and becomes more compatible over time, more technologies such as IOTA will likely develop. How to Buy IOTA As IOTA is a new system of data transaction, how you can buy it is still being developed. With this in mind, it is important to outline that the steps taken to buy IOTA are still relatively new. This means that there may be risks associated with it that are not present with cryptocurrencies like bitcoin. As these technologies improve, however, the processes of purchasing IOTA will also improve. It is not as popular as other currencies at present; therefore, those interested in buying IOTA are limited in their choices. What Are the Best Ways to Access IOTA? Using Online Trading Markets There are few online trading markets you can use to access IOTA. However, the ones that offer options to purchase it are very trusted and provide the opportunity to build great portfolios. The renowned market eToro is one of the most trusted online brokers to access IOTA. Once an account is set up by submitting the required personal details, users can begin to take the steps towards buying IOTA. First and foremost, eToro users must make a deposit to access IOTA. The initial deposit stands at approximately$200; therefore, it is not going to break the bank if you want to start trading using IOTA.

A debit, credit card or trusted payment method such as PayPal can be used to make a deposit.

However, investments made in cryptocurrencies do carry extra risk as their value can fluctuate considerably over a short period. However, with IOTA increasing in popularity and usage, its value is likely to increase over the next few years.

The eToro platform is great for beginners, and users can download a mobile app for ease of use.

Cryptoassets are highly volatile and unregulated in the UK. No consumer protection. Tax on profits may apply.

Furthermore, the investments themselves are easy to make and can be kept at low risk. There is no pressure to invest heavily in any cryptocurrency.

Other platforms that allow the trade of IOTA and cryptocurrencies are NAGA and Plus500. These are both trusted and offer similar options to eToro.

NAGA has a great reputation on Trustpilot and offers what they refer to as a crypto ecosystem. This package allows users to create a cryptocurrency wallet and trade directly from there.

Plus500 is more popular in Europe; however, it does offer to streamline data, commission free trading and access to globally registered markets.

Depending on what market is being used, conversion from established cryptocurrencies such as Bitcoin or Ethereum could be necessary beforehand.

Furthermore, the registration process and the minimum deposits on each trading platform will differ.

It is best to set out your intentional investment plans before jumping in on any platform.

Whatever you choose, an online broker can be a great way to increase your stake in IOTA as a future cryptocurrency. It is also likely that more brokers will allow access to IOTA as a staple coin once it becomes more popular.

Using Online Coin-Based Wallets

A wallet can be set up to buy IOTA directly should you prefer to avoid using online brokers and investment platforms to buy IOTA.

There are multiple wallets to choose from as the use of cryptocurrency has become popularized over the last ten years.

Crypto Wallet

A crypto wallet is a medium where users can store public and private keys that denote a particular cryptocurrency's value.

Unlike the wallet used for everyday currency, the actual money is not stored in a crypto wallet.

Instead, it is the keys that denote value. With these keys, the stated value can be transferred to other wallets or accounts.

IOTA Trinity Wallet

One of the better options to access IOTA directly from a wallet is the IOTA trinity wallet.

This wallet allows users to manage their transactions over desktop and mobile. Furthermore, it makes the process of transactions seamless.

The use of the IOTA trinity wallet is relatively new, but it has many features that make transactions as good as using other wallet methods.

These features include:

• Easy-to-support QR codes for a simple transaction
• A user-friendly setup that is guided and backed up with advice
• Customizations of language, time, currency and thematical layout
• Automatic updates to bring users up-to-date market data and news

Using Established Cryptocurrencies

It is likely that you are not new to the use of cryptocurrency, and you may have already established crypto wallets.

If you want to maintain your portfolios built in these wallets, it is still possible to buy IOTA.

If you are used to buying more popular cryptocurrencies, you may want to use wallets that you have already invested in, such as coinbase. In this case, all you have to do is convert either your bitcoin or ethereum into IOTA.

To do this, you will have to check what the exchange rates are of these cryptocurrencies are.

The trading exchange platform Binance is a great way for users to check the value of exchanging their existing cryptocurrencies into IOTA.

This method is relatively popular, and it is often opted for to avoid any potential scams or loss of money.

Sign up to Coinbase so that you can start buying cryptocurrency; however, there are a few steps to keep in mind.

You will have to submit some personal details such as your address, telephone number, and a valid email address.

Once you have confirmed you use these sets of data through verification links, you may be asked to provide some form of personal identification.

A passport or driver's license are favored options as they can be verified quickly.

To deposit money, you can choose a card payment or PayPal. It is at this point that you can convert your deposited money into a cryptocurrency address. This will appear on your coinbase portfolio.

To those unfamiliar, an address is shaped in the form of a long chain of numbers and letters. These addresses can be used to exchange cryptocurrencies.

From here, you can use Binance to convert the amount you hold to an address. It is best to pick a combination rather than spreading your deposits too thin.

Whichever you find has the best exchange rate or the cryptocurrency you are most comfortable with. Use this chosen cryptocurrency alongside IOTA.

The exchange rates can be checked on Binance. Ethereum proves popular; however, other cryptocurrencies, such as bitcoin, komodo and monero, can also be used.

Remember that the fewer exchanges you do, the more value you will receive on IOTA. Keep the volume of exchanges at a minimum to maximize the value of IOTA you receive.

Final Thoughts

The use of IOTA in the world of cryptocurrency is relatively new; however, it has a potential that other blockchain alternatives have hitherto not offered.

Digital currencies such as bitcoin have had scalability problems. Additionally, because of their mass popularity, the value of bitcoin fluctuates frequently.

If you have been investing in bitcoin and have been using it as an alternative to currencies we are used to, then IOTA could be the next step for you.

IOTA is a new technology, and its ability to carry the data found on various smart devices makes it an attractive prospect for technologically savvy individuals.

Furthermore, its market value is increasing quickly, making it an attractive investment prospect.

Problems have arisen surrounding its susceptibility to hacking; however, these issues are being mitigated with the incorporation of standardized technologies.

Today, it is proving more popular because of these standardizations, and you can now use this cryptocurrency with ease. Following the steps above, anybody can begin to buy IOTA and use it.

Now may be the perfect time for you to switch from the standard blockchain currencies to IOTA.

WikiJob does not provide tax, investment, or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.