IOTA token surges after the release of public testnet
Following the announcement of a new initiative, the value of the IOTA cryptocurrency project’s token experienced a significant surge.
In the midst of the overall growth trend in the cryptocurrency market, driven by the release of inflation data in the U.S. and the subsequent rise of Bitcoin (BTC), IOTA also saw an increase in value. This was sparked by the IOTA Foundation unveiling the IOTA 2.0 public testnet, featuring an embedded proof-of-consensus stake mechanism.
Data from CoinMarketCap indicates that the token’s price saw a dramatic spike post the public testnet launch. After a period of stagnation, IOTA saw a 3.8% price hike, reaching $0.2118. As a result of the new initiative, the token’s market capitalization surged by 4.4%, surpassing $692 million.
It is worth noting that trading activity for the token decreased significantly over the past 24 hours, with trading volumes dropping by 2.8% to $12.8 million at the time of reporting.
The project’s developers have highlighted that the primary goal of the initiative is to establish a more secure, scalable, and eco-friendly network. The key change in the latest version involves the elimination of the coordinator responsible for managing consensus. The IOTA Foundation emphasized that this move signifies a shift towards a fully decentralized model.
Moreover, the consensus mechanism implemented aims to enhance the network’s scalability and stability. Users and developers are encouraged to test it out and formulate their own assessments.
In a separate development, last November, IOTA unveiled the creation of a $100 million distributed ledger technology (DLT) foundation regulated by the Abu Dhabi Global Market, known as the IOTA Foundation. The assets will be vested for four years with the primary objective of nurturing the growth of the IOTA ecosystem.
