Current Central Systems do not provide security for devices or sensors in the IoT, and because data is currently stored in owner-managed databases, it is difficult to share this data with others without it being able to be modified or lost in other databases. The goal of the IOTA Foundation is to create a trust layer for the Internet of Things (IoT) that allows devices in the IoT to share immutable data and value with each other.
The growing prevalence of the IoT and advances in artificial intelligence (AI) are enabling a true machine-to-machine (abbreviated M2M) economy for the first time. Networked intelligent machines will become self-determined market participants that have their own bank accounts.
M2M participants will be able to manage their own assets to autonomously request or contract services. For example, a machine could rent itself out or pay service technicians, maintenance, spare parts, energy and its liability insurance itself, or buy goods or services at the lowest prices on digital marketplaces. The resulting opportunities are huge and for the first time in history, a machine or device will be able to earn and spend money on its own.
Currently, the relatively high cost of micropayment transactions is a barrier to the growth of an M2M economy. A technology that enables fee-free transactions would kick-start diverse use cases in the M2M economy. A whole new ecosystem would be created, with many new business areas emerging.
IOTA offers this technology and we can assume that in the near future there will be far-reaching changes in all industrial sectors and our society, the roles of active humans and passive machines will change. For example, digital marketplaces will emerge without middlemen, on which different devices will be able to trade data and goods autonomously.