The Berlin-based IOTA Foundation has announced a partnership with Nova to help startups in distributed ledger technology (DLT). The aid provides financing on the one hand and a mentoring program on the other. Among other things, the young companies get access to an IOTA test lab.
The program targets startups that rely on the IOTA tangle for distributed ledgers. Liverpool-based Nova was founded in 2014 and describes itself as cofoundry, which translates freely as a cofounder. Nova has so far supported a good 80 tech startups, of which a good half continue to exist after three years. According to the IOTA Foundation, the average survival rate for startups is only 10 percent after three years. In addition to the financial start-up aid Nova advises the young companies in the first funding year in the different phases from market research to product development.
Cryptocurrency without blockchain
Unlike many cryptocurrencies, IOTA does not build on a blockchain. Instead, the IOTA tangle is used, a directed acyclic graph (Directed Acyclic Graph, DAG) in which each node represents a transaction. The edges are for validation and each node points to two other nodes.
The IOTA Foundation was founded in 2015 and has been a foundation under German law since 2017. It cooperates with, among others, Bosch, Deutsche Telekom and VW.
Simplified comparison of Tanlge (right) with the Blockchain shown on the left (Image: IOTA Foundation)
Further details on the statute initiative of the IOTA Foundation in cooperation with Nova can be found in the official communication.