The IOTA platform is re-inventing distributed ledger technology from the ground up with smart contracts. It allows the safe exchange of information and value without imposing any costs. Cryptocurrency investors have taken an interest in IOTA due to its unique use cases, including blockchain technology and the internet of things. In the trading environment, IOTA is more likely to operate with computers than with people. Investors believe that IOTA will be extremely scalable and future-proof for managing the massive amounts of data generated by almost a billion Internet of Things (IoT) devices, and it will be capable of processing about a thousand transactions per second. Furthermore, the platform provides tamper-proof data protection while requiring minimal system resources.

IOTA and Bitcoin are both cryptocurrencies, but they serve different purposes and operate on distinct technologies. Bitcoin is a decentralised digital currency designed for peer-to-peer transactions, using blockchain technology and a proof-of-work (PoW) consensus mechanism, which requires significant energy for mining. In contrast, IOTA focuses on the Internet of Things (IoT) and uses a unique Tangle structure, a directed acyclic graph (DAG), that enables feeless microtransactions and scalable machine-to-machine (M2M) payments. Unlike Bitcoin, IOTA does not rely on miners or blocks, making it faster and more energy-efficient. While Bitcoin is primarily a store of value and medium of exchange, IOTA aims to facilitate data integrity and micropayments in IoT ecosystems. Both have different use cases, with Bitcoin dominating financial transactions and IOTA targeting IoT efficiency.