IOTA Rebased Launches Comeback on May 5 With Technology From Sui
It has been quiet around the cryptocurrency project IOTA for the past months. Now, however, under the name “IOTA Rebased,” the restart of the ambitious project is announced for May 5. The deadline has been set for the first tests of a new IOTA main network. As announced, IOTA relies in some parts on technology from Sui to create new momentum.
Background of the IOTA Rebased Relaunch
As a reminder, IOTA was started in 2016 as a crypto project focused on machine-to-machine communication in the Internet of Things (IoT). The core technology is based on a self-developed protocol called “Tangle,” which differs from the classic blockchain model in decisive ways. Tangle does not use miners for transaction confirmation but relies on participants themselves to validate transactions. This approach theoretically allows for faster and feeless transactions but has not yet been proven in practice with a broad breakthrough.
Weaknesses of the Old IOTA
IOTA admittedly had to record some technical missteps, including a large-scale wallet hack in 2020. Meanwhile, development progress on IOTA 2.0 (Codename: Coordicide) was repeatedly postponed. The IOTA Foundation, as the managing organization, did not succeed in motivating new developers to innovate in significant ways. Consequently, IOTA’s original goals and visions seem unrealistic, as the multi-billion-dollar market of IoT is quickly served by alternatives.
Technology of Sui Could Help IOTA to a Comeback
But with “IOTA Rebased,” the IOTA Foundation is now restarting. Some months ago, IOTA already signaled an interest in integrating a few elements of Sui. The developers of Sui (still in private beta phase) work on a modern blockchain with simplified contracts and a modular approach. The focus is on efficiency and scalability. Reports suggest that the IOTA Foundation has secured consulting from to leading experts from Sui, who are supposed to help rethink and support IOTA’s technical approach from the ground up.
Details on the Start of IOTA Rebased
The approach of IOTA Rebased, which will launch on May 5, focuses on combining Tangle with features from Sui. Though technical documents have not been published yet, insiders reveal that the transaction validation in Tangle is now transitioning to Sui’s model to allow decentralized apps (dApps). This concept contrasts with previous plans, which mostly worked without smart contracts. If the new approach succeeds, there will be development possibilities for decentralized finance (DeFi) that were previously hard to imagine.
Conclusion: IOTA Rebased as a Second Start
Despite significant skepticism from parts of the crypto industry regarding IOTA’s new self-marketing as “IOTA Rebased,” interest in this project is guaranteed, as has been demonstrated even in the time before the upcoming reboot on May 5. If IOTA can utilize the know-how of Sui in new ways, it is highly conceivable that the cryptocurrency could regain relevance in the medium term. However, the crucial question remains about the extent to which the new version of IOTA fits the use-cases, as its predecessor aimed relatively far with a future between IoT and data economy.
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