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- The Tangle technology leveraged by IOTA makes it extremely energy-efficient and thus is emerging as the top choice of European lawmakers.
- The IOTA Assemble network will further push the network towards decentralization allowing to build fully decentralized smart contracts.
Although Bitcoin grabs the lion’s share in the crypto industry, it has often come into the crossfire from the policy makers. This week the European Union is planning to unveil a new draft that will grade cryptocurrencies as per their energy efficiency.
The scheme will nudge crypto companies to ditch crypto assets whose energy consumption is equivalent to a number of countries. Bitcoin has been the center of attention over its Proof-of-Work consensus model and policymakers are surely not happy about its energy usage.
Europe is emerging as the first major bloc to regulate digital assets. Besides, it seeks to establish international crypto standards and wants other countries to follow its lead. The draft as accessed by POLITICO notes:
The Commission will cooperate internationally with, and build on the technical expertise of, standardisation bodies to develop by 2025 an energy-efficiency label for blockchains, as well as minimum energy efficiency requirements.
As the EU works on which major blockchains for an environment-friendly future, IOTA fits the bill. IOTA is emerging as a trusted blockchain platform in real-life use cases, especially for industries of supply chain and the Internet of Things (IoT). The IOTA network is absolutely feeless, fast, scalable, and comes with limitless use cases. Not to forget IOTA is 600 million times more energy efficient than Bitcoin & emits 1 Billion times less CO2. Thus, it overcomes all the shortcomings of the Bitcoin blockchain.
Thanks to IOTA’s Tangle Technology
The core to the success of the IOTA ecosystem is the Tangle technology of the IOTA platform. It is a type of distributed ledger technology (DLT) specifically designed for the IoT environment. The purpose behind creating IOTA Tangle was to enable micro-transactions without fees. Besides, it also comes with the promise of high scalability, no fees, and near-instant transfers.
As a result of this, IOTA is making quick inroads in the European markets. Last month, IOTA’s Swiss entity- Tangle Ecosystem Association, got officially registered in Zug, Switzerland. The IOTA Tangle Network will serve as an independent and non-profit organization to promote blockchain use in the European continent.
Also, IOTA unveiled its incentivized Layer-1 innovation network aka the Shimmer Network. Shimmer is a staging network for the IOTA blockchain and launches along with its native SMR tokens. These native SMR tokens have been designed to incentivize and fuel the participation of users on the Shimmer network.
In its next leg of development, IOTA will focus on the launch of its Assembly Multi-chain smart contracts network. The Assembly Network will bring fully decentralized and scalable smart contract capabilities to the IOTA ecosystem. The Assembly Network will solve major concerns of centralization with the IOTA network.