Tangle

Guide To Buying & Trading IOTA In Australia

What Is The IOTA Tangle

Tangle is the evolution of blockchain tech that powers Bitcoin right now. In layman terms, the tangle is similar to the blockchain of Bitcoin supporting features such as a distributed ledger & secure transactions. However, it differs to blockchain as it does not work on blocks but instead, off a Directed Acyclic Graph (DAG).

DAG Vs Blockchain

DAG technology enables features such as zero fee transaction, offline transactions & scalability which are missing from blockchain. On blockchain, transactions are bundled into a block which is then verified by miners. As transactions increase, demand for miner verfirification also increases and the result is increased fees & a system that is not really scalable.

How Tangle Works

On Tangle, transactions verify themselves so there is no need for miners. However, to achieve verification, the transaction must first verify two other transactions which is randomly chosen from the network. The result is a tech that is able to scale with no costs(transactions verify each other). As the network grows, so will it’s power as there are more transactions that can verify other transactions.

Visual Representation of Tangle