- As Dominik Schiener explained in a statement, the current low prices on the crypto market are also influencing the IOTA foundation.
- The sustainable development as well as the current work on IOTA are not affected due to alternative financing options.
The current situation on the cryptocurrency market is not just a difficult situation for investors, but also for the crypto projects themselves. If they are financed by their own tokens and thus pay developers and other employees, the current low prices are a heavy burden. While the prices remain that low, more tokens need to be sold to pay bills for employees and other obligations. The IOTA foundation is also currently facing this challenge.
IOTA’s sustainable development is not at risk
From a purely technological point of view, IOTA is a promising project, with technology still largely under development. With the Coordicide, Qubic or even the Colored Tokens, the projects that promise a broad acceptance and a wide range of applications are not completed yet. Therefore, it is even more important that research and development continues on schedule.
In the current episode of the HelloIOTA Roundup, Christian Müller asked Dominik Schiener how the IOTA foundation is dealing with the current situation. The co-founder of IOTA explained that the current situation is a major challenge, but that the work on IOTA’s roadmap will not be affected:
The current market is obviously not great for our entire industry (and the global economy for that matter), and all of us need to work on contingency plans to mitigate the current risks. Our primary objective is obviously the long-term sustainability of the IOTA Foundation while ensuring that our execution and roadmap delivery today continues unaffected.
As Schiener further explained in the statement, the IOTA Foundation is currently very cautious about spending IOTA tokens. Furthermore, the foundation is currently looking for alternative financing options. According to Schiener, the only good thing about the current situation is that it opens up new ways of raising funds.
In this way, it can be avoided that the treasury of IOTA has to be touched in the foreseeable future. As soon as more details are available, the IOTA foundation will provide more detailed information in accordance with its guidelines on transparency:
We are making good progress an on this and as soon as we have a definite answer, we will obviously communicate it to the community.
Moreover, Dominik Schiener also assured in the statement that the current situation will not affect the introduction of IOTA in the industry:
As final comment, throughout the history of IOTA we have shown our resiliency and perseverance even under the most extreme conditions. This extraordinary situation right now, while it poses certain risks, will not impact the success of IOTA. We are doing everything in our power and through our network to alleviate current concerns and come out of this market stronger than before.
Fundamentally nothing has changed about our plan to be the first enterprise-ready permissionless ledger, and we will continue onwards on our path of tech maturity and adoption for IOTA across industries.
At the time of writing, IOTA (MIOTA) is trading at $0.128 USD and has posted an increase of approximately 10 percent over the past 24 hours. Over the last 30 days, however, the price has dropped by 55 percent.
The entire episode of HelloIOTA Roundup can be watched hereafter:
https://youtu.be/3Yr9ebfhK7s
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