There is currently no other blockchain IoT project as encompassing as IoTeX, poised for increased adoption due to its plans to onboard new and legacy internet-of-things devices without building them, concluded a Messari Research report.
The leading provider of crypto market intelligence also said IoTeX aims to bridge the Web3 gap by establishing a single version of the truth for real-world activity and enabling smart devices and machines to capture and ingest what happens in the physical world to communicate these events to Web3 dApps.
Messari’s in-depth report adds that “IoTeX’s Web3 efforts are unparalleled. There are currently no other blockchain IoT projects as encompassing as IoTeX.“
Messari wrote that IoTeX has three competitors, Helium, VeChain, and IoTa. However, Messari says IoTeX “operates at a broader scale — it connects a wider range of IoT-enabled machines in the real world.”
The report adds that “although similar in service offerings, IOTA employs the Directed Acyclic Graph (DAG) to secure the safe control and exchange of data. While IOTA initially seemed to thrive in 2017, it fell behind due to the lack of real-world adoption.”
The crypto market researcher said:
IoTeX is poised for increased adoption as it plans to onboard new and legacy IoT devices without building them. This could spur the development of dapps with real-world use cases while rewarding users who generate these proofs via their IoT devices.
The research firm states that “the forthcoming release of a cross-chain data bridge (W3bstream) may further strengthen the position of IoTeX as the universal hub for machine intelligence in Web3.“
How IoTeX works
Messari writes: “Thanks to the Internet of Things (IoT), devices in the real world are getting smarter — be it wearables, home appliances, or connected cars. The economic value created by these devices may reach $13 trillion by 2030 — that’s more than half of the U.S. GDP in 2021 ($23 trillion).
What currently hinders this potential is that IoT devices are somewhat siloed. Think of an Alexa not speaking with an Apple Watch. Or a Tesla not communicating with local Arduino weather stations. There’s an inherent design limitation preventing IoT devices from communicating with each other. IoTeX aims to bridge this gap by enabling secure communication between various IoT devices.
IoTeX collects raw data from tamper-proof IoT devices via a network of decentralized nodes (W3bstream) to prove activity in the real world, the report notes. IoTeX’s W3bStream enables two-way communications between IoT devices in the real-world and Web3 decentralized applications (dapps).
“In this sense, IoTeX technology serves as a platform for developers to build dapps. At the same time, with MachineFi, IoTeX provides an incentive layer for IoT device owners,” the report indicates. “That is, device owners are rewarded for sharing the real-world activity with dapps. This enables a new generation of dapps powered by real-world data.“
At its core, the report continues, “IoTeX is a smart contract platform for bootstrapping large-scale machine networks in the real world. IoTeX enables dapps that leverage these machine networks for everyday usage. The IoTeX tech stack consists of the IoTeX blockchain, a middle layer, and a suite of tools.“
The IoTeX ecosystem
As of August 11, 2022, there are over 168 dapps on IoTeX.
Use cases include MachineFi, DeFi, GameFi, and NFTs. Messari enlisted the IoTeX dApps examples, including Mimo, a decentralized exchange; StarCrazy, an NFT gaming project; ioTube, a cross-chain bridge connecting IoTeX’s network to major EVM-compatible networks; ioPay, its multichain support crypto wallet; HealthBlocks, a “live-to-earn” dApp; and CityDAO, the first official DAO to own 40-acres that uses IoTeX’s Pebble to track sensor data on its land.
Messari’s report adds:
The IoTeX Foundation launched the Halo Grants Program in October 2021 to accelerate dapp development across DeFi, NFTs, infrastructure, developer tools, and gaming. It also launched an additional $100 million sustainable ecosystem fund in March 2022 to support Web3 and MachineFi-driven projects. And more recently, made a developer portal available publicly.
IoTeX launched MachineFi Lab in June 2022, aiming to develop the MachineFi economy. Following its launch, MachineFi Lab raised $10 million in a round led by Samsung Next, Draper Dragon Fund, and Jump Crypto. Since MachineFi Portal’s beta launch in January 2022, seven dapps have been deployed to its beta. Messari concludes that IoTeX is poised for even greater adoption.
That statement coincides with one from Draper Dragon, whose Senior Associate Kavan Canekeratne recently said that his investment firm “only invests in Web3 companies that will bring the next wave of people into crypto,” IoTeX being one of them.