Current central systems do not provide sufficient security for devices or sensors in IoT. Since data is currently stored in owner-managed databases, it is difficult to share this data with others without the possibility to modify it or lose it in other databases. The goal of the IOTA Foundation is to create a level of trust for the Internet of Things (IoT) that allows the devices in IoT to exchange immutable data and values.
The growing popularity of IoT and the advances in artificial intelligence (AI) are making a machine-to-machine (M2M) economy possible for the first time. Connected intelligent machines become self-determined market participants with their own bank accounts.
M2M-participants will be able to manage their own assets in order to request or assign services autonomously. For example, a machine could rent itself out or pay for service technicians, maintenance, spare parts, energy and its liability insurance or purchase goods or services at the lowest prices in digital marketplaces. The resulting opportunities are huge and for the first time in history a machine will be able to earn and spend money on its own.
Currently, the relatively high cost of micro-payment transactions is a barrier to the growth of an M2M economy. A technology that enables royalty-free transactions would be the starting point for various applications in the M2M economy. It would create a completely new ecosystem in which many new business fields would emerge.
IOTA offers this technology and we can assume that in the near future there will be far-reaching changes in all industrial sectors and our society, the roles of humans and machines will change. For example, digital marketplaces without middlemen will emerge, where different devices will be able to trade data and goods autonomously.
Last Updated on 16. February 2021