Tangle: It refers to the alternative technology developed by the cryptocurrency called IOTA, which, unlike the blockchain technology, allows the transfer of assets without any transaction fees and where verifications are carried out by the users.
In this blog post, I will try to explain how Tangle works, its advantages and disadvantages, the innovative applications that IOTA offers and its future potential.
The working logic of Tangle is as follows: Every time a user wants to send a transaction to Tangle, he must first verify the two previous transactions on the network. This verification process takes place on the sending user's own computer and requires very little processing power. Thus, every new transaction in Tangle contributes to the security and speed of the network. In this way, Tangle has no transaction fees and no scalability issues.
The advantages of Tangle are:
- As there are no transaction fees, it is possible to transfer even very small amounts of assets. This is an ideal solution for machine economy. For example, scenarios such as a sensor receiving IOTA in exchange for data sharing or an electric vehicle paying a charging station with IOTA may be realized.
- As there is no scalability issue, as the number of transactions increases in Tangle, the network gets faster and has more processing capacity. This provides a suitable infrastructure for the Internet of Things (IoT). For example, it is possible with Tangle for millions of devices to exchange data and values with each other.
- Because it is a distributed network, Tangle has no central authority and is resistant to any hacking or censorship. Also, in Tangle, data is immutable and reliable.
The disadvantages of Tangle are:
- The security and speed of Tangle depends on the number of transactions on the network. If the network does not have enough transactions or if the network is fragmented, Tangle may become vulnerable to attacks or transactions may be delayed. Therefore, time is necessary for the Tangle to grow and mature.
- Tangle's technology is still new and experimental. This brings some technical difficulties and uncertainties. For example, Tangle has a mechanism called coordinator, which temporarily approves some transactions to protect the network. However, this mechanism increases centralization and is subject to some criticism. The IOTA team says it plans to remove the coordinator, but it's unclear when and how that will happen.
- The tools and standards required for the use and integration of Tangle are not developed enough yet. This limits the number of apps and devices that use Tangle. The IOTA team is running various projects and partnerships to use Tangle more easily and securely, but it is necessary to wait to see the results.
As a result, Tangle offers a different and innovative approach from blockchain technology. IOTA develops solutions for machine economy and IoT using Tangle. Tangle's potential is huge, but it hasn't been fully realized yet. Tangle's success depends on technical developments, support from users and partners.