Could the price of IOTA (MIOTA) reach $5 before the end of 2018? For those at the heart of the project, the answer is a resounding yes. After forging new partnerships with the Norwegian University of Science and Technology (NTNU) and Nordic Semiconductors, the non-profit is now looking to increase the utility of its Decentralized Acyclic Graph (DAG). As we’ve seen over the last 18 months, cryptocurrencies are often forced to live and die by the whims of traders and casual investors. Despite many of the leading projects offering a chance to change the way we process data and handle control of large networks, the value of Bitcoin, Litecoin, et al, is largely determined by media hype.
The Price of Cryptos is Based on a Buy/Sell Culture
Indeed, when an announcement is made, traders rush to buy or sell based on the weight of what’s been said, rather than what’s been demonstrated. The result is a shift in price purely because more people are buying and selling. Perhaps the best example of this in recent months is Ripple. For all its promise, we’re yet to see xRapid proven on a commercial scale. Yet, despite the lack of evidence, the price of XRP has continued to fluctuate. In reality, this dynamic is unsustainable. For blockchains to live on, they’ll eventually need to show they’re a valuable mainstream tool. Only when this happens will prices stabilize and movements be based on more than hype.
However, until the next wave of breakthroughs, playing the trading game seems to be the way to buoy the financial health of a crypto. This fact hasn’t been lost on the IOTA team. In announcing its latest partnerships, the creators explained that the deals will allow them to set-up data marketplaces. Under the new system, students at NTNU will be able to use internet-enabled devices on the Nordic Semiconductors network to mine data. By using the devices, students will be helping to solve real-world problems and, in turn, generating data on the IOTA platform. This data can then be bought and sold in the new marketplaces. Essentially, what IOTA is doing is tapping into the culture of buying and selling that’s swept across the crypto industry in recent times.