IOTA Making the Pie Bigger

  • In the modern “survival of the fittest world,” IOTA is focusing on abundance and making the community bigger.
  • The recent partnership with Crypto Storage AG is the latest by IOTA as it seeks to enable a world powered by blockchain technology.

The Western capitalist society is largely built on models of scarcity and competition – a social “survival of the fittest” dogma. However, in modern times, we recognize how cooperation, inclusiveness, and ecosystem building have distinct, long-term advantages, Rather than compete for scarce resources, some companies focus on an abundance mindset, and “making the pie bigger.”

The abundance mindset

These different ideologies can be seen at the foundational level when comparing Bitcoin and its blockchain architecture – where each transaction competes with fees to get included in the limited space of the next block – to IOTA and its Tangle architecture – where each transaction confirms two others in a feeless manner, meaning the more participants, the greater the network capacity.

IOTA is increasingly emphasizing “open dialogues, a healthy feedback culture, and bridges between different sectors, projects, and service providers.” It also aims to build bridges to other crypto projects, stating “we advocate for increased open dialogue in the crypto industry in general.”

With its cooperative approach, IOTA desires to “support the infrastructures of whole industries,” and to be the base layer that enables entire business ecosystems to grow, rather than compete for a small niche within an industry. The IOTA Foundation stated:

Industry solutions based on our technology are being developed in a wide variety of sectors: automotive and mobility, eHealth, digital identity, smart energy sectors, and supply chain and global trade activities, and also in regards to new ways of asset handling and decentralized finance.

Our approach has always been to leverage our extensive ecosystem of industry partners and to work together to create a technology that enables their business cases and the emerging Internet of Things.

Crypto Storage partnership

One example of how open dialogue benefits both parties is the partnership with Crypto Finance Group and their Crypto Storage subsidiary. The firm specializes in crypto-asset storage and other solutions for finance, industrial, and professional clients.

In a recent blog post, the IOTA Foundation stated that Crypto Finance Group “presented their needs regarding the IOTA network, specifically in regards to the requirements for their storage and custodial solutions.” In figuring out how to best meet their clients’ needs, the IOTA Foundation made “various design decisions for components of Chrysalis,” including switching from one-time signature wallets to reusable addresses and switching from an account model to a UTXO model.

This improved the IOTA protocol (a win for IOTA) and made it so that, with the launch of Chrysalis, “companies working with the IOTA token are now able to meet their institutional and compliance requirements” (a win for Crypto Finance Group and their clients).

Stijn Vander Straeten, CEO of the Crypto Finance Group subsidiary, Crypto Storage AG, noted, “Demand is increasing from clients and within the industry for IOTA token use cases without security compromises,” He suggested that the IOTA community may be hearing more good news SOON™.

About Author

Kevin V. Young, PhD, is a biologist with a keen interest in the cryptocurrency ecosystem, particularly IOTA.

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