Today marks a pivotal moment for the IOTA network as its highly anticipated Rebased mainnet upgrade officially commenced. The migration from the original Stardust mainnet to the new IOTA network is now underway, signaling the beginning of a transformative phase for the cryptocurrency.
IOTA co-founder Dominik Schiener expressed his enthusiasm on X, stating, “This is the most exciting day in IOTA’s history.” He highlighted the decade-long journey alongside the community to realize this vision. As the upgrade progresses, key exchanges like Binance and Bithumb have temporarily suspended deposits and withdrawals of IOTA network tokens to ensure a smooth transition. Binance has assured users that trading of related tokens will continue uninterrupted.
Enhanced Performance and Staking on the Horizon
The upgraded IOTA network promises significant advancements in speed and efficiency. IOTA anticipates achieving an impressive 50,000 Transactions Per Second (TPS) with a finality time of under 500 milliseconds. This leap in performance positions IOTA to handle a substantial increase in network activity.
Furthermore, the new network introduces staking through a delegated proof-of-stake mechanism, a highly anticipated feature for the coin investors. The projected Annual Percentage Yield (APY) for staking is estimated to be between 10% and 15%, offering a compelling incentive for participation. Users are not required to migrate their tokens but will need to load existing wallets into new ones, emphasizing the importance of safeguarding private keys and mnemonic phrases.
IOTA Poised to Compete in DeFi and RWA
The integration of Move-based smart contracts in the upgraded the coin network is a game-changer, enabling it to compete with established blockchain platforms like Ethereum, Solana, and Tron. Analyst DeFiMaximalist noted that the inclusion of both MoveVM and EVM is a “huge step,” placing IOTA alongside projects like Aptos and Sui.
Also Read: IOTA Rebased Mainnet Goes Live — Can the Momentum Spark a New Rally?
However, IOTA distinguishes itself with its focus on real-world adoption, leveraging its parallelized DAG ledger and layered programmability. This unique architecture positions IOTA as a strong contender for Decentralized Finance (DeFi) and Real World Asset (RWA) adoption. Adding to its deflationary nature, fees generated on the network will be burnt.
While the upgrade sparks excitement, IOTA’s price action has been relatively muted, with an 80% surge in trading volume contrasting with a slight price decline over the past week. Currently priced at $0.2 with a market capitalization of $774 million, the coin ranks as the 85th largest cryptocurrency globally as it embarks on this new chapter.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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