Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

IOTA: Why is Silicon Valley Failing in Crypto and IoT?

CryptocurrencyJul 15, 2021 01:00PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
IOTA: Why is Silicon Valley Failing in Crypto and IoT?

The distant future, described in sci-fi books, is already here. Big fin-tech companies are working with developing the Internet of Things (IoT) market, and it is booming. The ethical questions stay open, as there are still no well-defined regulations in the IoT market.

In his book “The 4th Industrial Revolution,” Klaus Schwab describes the near future, when technology and the Internet of things, interconnected with every person’s daily life, will change the current known social order in societies.

The author points out that technology itself is a tremendous opportunity to serve progress and innovation.

On the other hand, if built on a wrong ethical foundation, it could disrupt society.

A Glimpse Into the Future

The real-world application of IoT could be seen in smart homes, automation of climate control, security and camera systems, devices monitoring health, intelligent traffic control, monitoring devices in agriculture, and industrial manufacturing.

Dominik Schiener, the co-founder of IOTA Foundation, in an exclusive interview with DailyCoin, notes that trajectories of future usage of IoT are already visible in daily life:

"Think about ten years ago and how your kitchen looked like. It was all manual. You had to use switches, build your preferences with temperature. Look at the kitchen today where everything is automated and already today through some protocols, your machines can communicate and orchestrate with each other, and that's already a very interesting sort of glimpse into the future." According to Schiener, our economy is already benefiting from this technology but only 10 % of IoT potential is used.

Ethics of Data Usage

The IoT technology gathers information from devices, analyzes it, and helps to optimize the processes. As such, it also piles a tremendous amount of user data that needs to be treated cautiously.

"I'm the first one to say that I have no IoT devices. I do not believe in the current version of IoT simply because it's centralized. Some companies own it out of Silicon Valley who really perceive you as a monetization asset." claims Schiener.

Currently, the IoT data is being treated in a centralized environment. A cloud owned by a company is a decision-maker. Schiener believes that fin-tech behemoths in Silicon Valley enter the crypto space with a wrong mentality, which prevents them from succeeding at the end of the day. Even though they get huge profits, the ethos behind gain is crucial in the crypto universe, which spins around decentralized communities:

"Building distributed ledger, you can come into this space and raise hundreds of millions of dollars from Non-Venture Capital companies, but you need to lift their ethos, you need to be here for a reason, and your reason to be here cannot be money.

If you're here to make money, sure, you're going to make a few hundreds of millions of dollars over a few years. But it's not the objective. You're not going to succeed with that mentality. Your mentality has to be focused on value creation because that is what distributed ledgers were built for," thinks Schiener.

During the Internet revolution years the idea of networks equally everyone connecting was alive.

Unfortunately, it didn’t fulfill its prophecy, as the Internet was centralized in the hands of fin-tech behemoths. According to the co-founder of IOTA we have reached the exact turning point with crypto and IoT so important decisions need to be made.

The Next Phase of Automation is Autonomy

Decentralization is where the crucial part of IOTA Foundation’s work lies. It aims to build a new digital economy by redefining how people and devices connect to share information and value. By creating a standardized and open-source technology, the foundation highlights trust and transparency in managing the IoT.

"It's not about the cloud owning your IoT device, but it's about you owning your assets: Owning your devices, your identity, your data and being able to make decisions with them through IOTA," notes Schiener.

IOTA is a lightweight protocol that can run on IoT devices. IOTA gives every machine a wallet to hold assets, IOTA tokens, earn money, and pay for services. In this way IoT is decentralized; every device is empowered to participate in the consensus of the network.

According to IOTA, the key is leaderless consensus protocol. There are no miners. There’s no block rotation. There’s no validator rotation. Everybody participates in a consensus. Schiener is positive – IOTA can enable this future and the next phase of automation, autonomy.

EMAIL NEWSLETTER

Join to get the flipside of crypto

Upgrade your inbox and get our DailyCoin editors’ picks 1x a week delivered straight to your inbox.

[contact-form-7] You can always unsubscribe with just 1 click.

Continue reading on DailyCoin

IOTA: Why is Silicon Valley Failing in Crypto and IoT?
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email