Why IOTA will disrupt the entire crypto space and become #1
TLDR: ANYTHING you can build on a Blockchain, you can build on top of IOTA as well, with the additional features from the Tangle that make it better.
You might think that this is an extraordinary claim (which it is), so let me explain:
My assumptions
Let’s start with the assumptions that I believe must be met for IOTA to become the #1 Distributed Ledger Technology (DLT):
- People won’t care whether the application they use runs on L1 or L2, as long as L1 is secure and L2 is securely anchored in L1.
- The IOTA Foundation (or someone else) will provide developers with enough tools so that development on IOTA will not be significantly more difficult than on other protocols.
- We are early enough that a significantly better protocol will prevail over the current established protocols.
- The IOTA Foundation’s ideas work as intended, or at least there are no unsolvable problems.
I will base my arguments on these assumptions. So if you don’t think they are correct, it’s very likely that you will disagree with much of what I will say. I guess my last assumption is by far the most controversial. So if you can point me to any technical details as to why their ideas won’t work, I’d appreciate it. And if you disagree with any other assumption, I’d be interested in your reasoning as well. If you agree with my assumptions and yet disagree with my conclusions, please let me know what I’m missing.
My vision for IOTA
Most DLTs focus on one use case and try to be a little better than the others in that particular use case. They try to be a little bit faster, cheaper or memeier. IOTA took a fundamentally different approach. They first looked at the problems of Blockchains and found a way to solve them. Then they designed a new general-purpose DLT with maximum flexibility in mind.
The main problem of Blockchains is their serial transaction processing. This leads to the crypto trilemma, i.e. one can only choose two of the three options:
