Bitcoin initially remains the gold and IOTA becomes the oil tanker in the field of cryptocurrencies
The results of a representative survey commissioned last year by the industry association Bitkom says that about two-thirds (64 percent) of the respondents said they have heard of Bitcoin. Four percent have already purchased or used Bitcoin. Projected to Germany it is about 3.2 million people who own or owned Bitcoin.
Currently, 19 percent of the respondents said they can imagine buying and using Bitcoin. However, the vast majority (72 percent) said they are not interested in using Bitcoin.
Even finance experts are currently advising on Bitcoin admixture.
It remains to be seen that Bitcoin tends to react positively to major economic turbulence. In addition to gold Bitcoin is also enjoying an influx of vulnerable and inflation scared investors. Finally, cryptocurrencies, as a stand alone asset class that is relatively uncorrelated to the traditional financial sector, can take advantage of it. Neither the expansionary central bank policy of an ECB nor sanctions against economies or imminent trade wars threaten the value stability of Bitcoin. Accordingly for many financial experts, the crypto admixture in the own asset portfolio is obvious.
Thus, the current trade dispute between the US and China is an example of the subliminal uncertainty in the markets. Especially cyclical stocks suffer here. On the other hand, anti-cyclical values such as gold or, more and more often, Bitcoin can benefit from economic conflicts. The same applies to the economic sanctions in the dispute over the Iranian nuclear agreement. For some financial experts, a reason to recommend Bitcoin or other cryptocurrencies as an admixture.
What is the value of IOTA?
IOTA, in contrast to Bitcoin, is small, but it is a new generation of cryptocurrency. or example, the IOTA Trinity Wallet has 160,000 downloads across all platforms and much less than 1 percent of the population know IOTA. This is a very small number compared to Bitcoin. But these numbers are expected to multiply in the next few months.
IOTA is a cryptocurrency of the 3rd generation and here, the value of this cryptocurrency is very different. So while Bitcoin is more like the gold in the crypto field IOTA is different. The cryptocurrencies of the new generation can do something more. You can transport data and cash flows. In summary, there are 5 areas where IOTA clearly hits other cryptocurrencies:
• The transaction rate
• The scalability
• The feasibility of micropayments
• The efficiency
• The verifiable manipulation security
The value of this 3rd generation Cryptocurrency is beyond what IOTA can and for what it is needed in real-world use. Let’s just stay with the comparison: “Data is the new oil”. Oil had a huge range of applications in the fossil age. Just think in this context of the automotive industry, the petrochemical industry, the industry itself and the households, for example. Oil has been necessary everywhere. Only today, due to the climate goals, other possibilities are tackled. But the oil must also be transported, namely with oil tankers, pipelines, oil transporters for example. The safe transport of oil has been given a great value. Here arose an entire industry that has participated in the necessary of the needs of oil and that’s how it is today. Just think of the “tanker conflict” in the Strait of Hormuz. It is very similar with IOTA. Data will become increasingly important in the future because they are used for applications e.g. urgently needed in the IOT or Internet of Everything. But these data have to be transported and in the process, even cash flows must be made possible during the transport. In other words, this data transport industry will become increasingly important in the future. IOTA, the third-generation crypto-currency, can provide this, as just described. The value of IOTA can therefore rise sharply, with the real applications in the data age.
