- The global corporation Bosch yesterday released a video on blockchain and DLT, in which IOTA is not mentioned by name, but its DAG technology and its core values are described.
- IOTA co-founder David Sønstebø commented on the video and was enthusiastic about the recognition of the technology by Bosch.
The Bosch Group, a leading global technology and service provider with approximately 400,000 employees worldwide and sales of 77.7 billion euros in 2019, explained blockchain and Distributed Ledger Technology (DLT) in a video over 4 minutes long. In the first part of the video, the global corporation focused specifically on the blockchain, while Bosch explained the DLT in the second part using Directed Acyclic Graphs (DAG).
Even if IOTA is not mentioned by name in the video, many crypto-enthusiasts may be aware that the Tangle is probably described. After all, it is no secret that the IOTA Foundation and the global corporation Bosch have a very good relationship. Bosch invested in the foundation through its venture capital arm, Robert Bosch Venture-Capital (RBVC), back in December 2017.
As became public, Bosch bought an unknown amount of IOTA tokens to participate in the foundation. In addition, Bosch has already filed several patents referencing IOTA, with an IOTA-based digital payment system attracting particular attention in January this year.
With this in mind, it is not surprising that IOTA co-founder David Sønstebø practically gave “the solution to the unspoken mystery” of Bosch. Sønstebø shared the Bosch video via Twitter and commented on it as follows:
Over 5 years ago, IOTA’s vision for using DAG in DLT to enable the Economy of Things was a nascent concept. It’s great to see it explained so eloquently by a major conglomerate.
Bosch praises the DAG technology – of IOTA?
In the video, Bosch explains the blockchain technology in general, with a focus on proof of work, proof of stake and second layer solutions. Right at the beginning, Bosch describes the blockchain or Distributed Ledger technology as a concept with great potential:
Is it hype or revolution? Perhaps something in between. One thing is clear, blockchain is one of today big taking points. Experts see a technology that will influence our lives, a new phase of the internet.
Nevertheless, Bosch points out that blockchains have limited scalability for higher transaction rates. In this context, the global corporation describes the DAG technology without calling IOTA literally.
An alternative approach for use cases with higher transaction rates requirements could be making use of the DLT variant Directed Acyclic Graph – DAG. In contrast to blockchain consensus finding in DAGs is achieved if the user validates for each new transactions at least two previously not validated transactions. With each user in the network, the transaction rate is increased, at least in theory. However, this advantage of scalability is at a research state and not completely proven in practice.
With regard to the future relevance of the DLT and its advantages and areas of application, Bosch describes:
Distributed Ledger technologies are highly relevant in the future because they enable an Economy of Things, safe transactions between humans and machines, immutable, indisputable information and as a consequence the capability for smart contracts, embedded in a program code to be able to guarantee decentral automated contractual transactions. Intermediaries will become redundant. Businesses will be decentralized and ultimately performed between machine and machine. Cars charge themselves, negotiate the prices at the charging stations and settle the bill.
Below you will find the tweet with the video from Bosch. Whether Bosch uses the video to describe IOTA is ultimately up to the viewer.
💭 Imagine a #smart refrigerator that adjusts its energy consumption depending on where the electricity comes from. In an #EconomyofThings this would be possible. But how does the #technology behind it work? Watch the video & find out! More use cases: https://t.co/1CnoSIGnBE pic.twitter.com/o4c4FmZt6a
— BoschGlobal (@BoschGlobal) July 12, 2020