The IOTA Foundation has announced the launch of IOTA EVM, a Layer2 solution that can seamlessly integrate smart contract capabilities into the IOTA Network.
The announcement of the launch comes only a few months after the launch of the Shimmer EVM. It signals the culmination of extensive testing, audits, and significant enhancements.
The IOTA EVM
The IOTA EVM launch was made possible by a partnership between IOTA, LayerZero, Pyth Network, Stargate Finance, and Supra and offers an array of innovative features that significantly enhance the network’s capabilities. One example of these features is parallel processing, enabled by the protocol’s unique architecture. Parallel processing enables horizontal scalability, facilitating deployment across multiple chains, boosting processing capabilities, and decoupling traditional chain anchoring.
“Today marks a significant milestone: We are thrilled to announce the launch of IOTA EVM, a robust and cutting-edge Layer 2 solution that brings smart contract capabilities to the IOTA network. Since the official release of IOTA Smart Contracts on IOTA’s staging network in September 2023, the IOTA EVM protocol has undergone extensive improvements, rigorous testing, and comprehensive audits. We are delighted to introduce this fully audited, battle-tested solution to IOTA today. IOTA EVM not only offers full EVM compatibility but also introduces innovative functionality by leveraging our unique Layer 1 Native Asset Framework.”
IOTA EVM also facilitates seamless interoperability and facilitates the deployment of Solidity smart contracts. This interoperability is possible across EVM and non-EVM chains, promoting fluid interactions across the IOTA ecosystem.
“IOTA’s #EVM Mainnet Unleashed Today marks a significant milestone for #RWA and real utility: the launch of #IOTAEVM, a fully EVM-compatible Layer 2 solution for the #IOTA network.”
Developers from the IOTA Foundation added that besides parallel processing, the EVM will introduce several other features to help developers create decentralized applications. Other features include smart contracts, cross-chain functionality, and enhanced security. The IOTA EVM also implements native randomness and resistance to MEV (Miner Extractable Value). By preventing front-running, IOTA EVM can align with regulatory demands for market integrity and equal access. However, it faces competition from other players such as Solana, BNB Chain, Arbitrum, Base, Blast, and Ethereum.
Building On The Capabilities Of The Shimmer EVM
The launch of the IOTA EVM mainnet comes only a few months after developers launched its canary network, Shimmer EVM. The Shimmer EVM allows users to test, build, and audit dApps before moving them to the IOTA Network. Shimmer has attracted several developers and has a total value locked (TVL) of around $4.4 million. Some of the projects on the Shimmer Network are Deepr Finance, MagicSea, and TangleSwap.
Focus On Real-World Adoption
IOTA’s commitment to real-world adoption is reflected in its recent initiatives and alliances to help bridge traditional sectors with crypto and crypto-native applications. The IOTA Foundation has collaborated with leading entities, including the World Economic Forum, Tony Blair Institute for Global Change, and Trademark Africa, indicating a concerted effort to revolutionize international trade via the Trade Logistics Information Pipeline (TLIP).
TLIP could bring in a paradigm shift in international trade by ushering in an era where immutable digital counterparts could replace physical stamps on trade certificates. TLIP can establish an unbroken chain of accountability in global transactions by leveraging the immutable nature of IOTA’s distributed ledger technology.
IOTA Rallies
Following the announcement, the IOTA token saw a significant rally, rising by 8%. This was accompanied by a surge in 24-hour trading volume and market capitalization. The rally also helped break a bearish week for the token and saw IOTA’s open interest and derivatives volume rise by 12% and 62%, respectively.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
