IOTA Rebased Proposal Nears Approval: 98% Support Move-Based Smart Contract

• IOTA Rebased, the most significant upgrade in IOTA’s history, is on the cusp of approval with 98% community support, with voting expected to close on December 16.
• IOTA Rebased will bypass the lengthy production timeline of the previously explored IOTA 2.0 by providing L1 programmability, allowing for faster and more efficient development.

The IOTA Rebased proposal is on the cusp of approval, with 98% of community members supporting the upgrade. The voting period, which started on December 2, 2024, is set to close on December 16, with token holders casting their ballots using the IOTA Firefly or Bloom wallet.

IOTA Rebased represents a significant departure from the previously explored IOTA 2.0, offering L1 programmability and faster development timelines. By adopting established DLT technology, the IOTA Foundation aims to enhance the network’s flexibility and programmability, paving the way for complex applications written via smart contracts.

A Technical Breakdown of IOTA Rebased

According to its official report, the proposal involves a major shift, transitioning from a UTXO to an object-based ledger model using the Move Virtual Machine. The MoveVM will enhance programmability, enabling the creation of financial instruments and other applications that require complex resource management. With the upgrade, developers will process over 50,000 transactions per second.

The MoveVM implementation is designed to provide a robust and efficient platform for developing smart contracts on the IOTA Rebased network. At its core, the MoveVM leverages resource-oriented programming to ensure secure and flexible digital asset management, allowing developers to create complex applications with ease. The VM’s strong data abstraction capabilities simplify complex tasks, making it easier to manage and prevent errors.

Furthermore, the implementation includes static verification, which detects vulnerabilities before code execution, significantly enhancing security. Additionally, MoveVM supports formal verification, enabling rigorous validation of contract logic and ensuring that smart contracts operate as intended. 

As we reported, IOTA Rebased is preparing to launch its new tokenomics model, which is designed to drive network participation, long-term sustainability, and decentralized security. This approach to compensation will see validators and their delegators receive newly minted tokens, with 767k new IOTAs minted per epoch, resulting in a 6% growth in supply over the first year. Built on the Sui-based protocol, IOTA Rebased inherits design principles from IOTA 2.0, including parallel execution, a DAG-based mempool, and Proof-of-Stake validation. 

IOTA Rebased is approaching, and the ecosystem is already showing growth, with the Layer 2 EVM platform reaching $86M in TVL in just six months. To accelerate adoption, IOTA committed $28M to DeFi development over the next two years. One notable collaboration that IOTA has made is with the Trade and Logistics Information Pipeline in Kenya.

Despite the positive developments, IOTA has experienced a reversal this week, becoming one of the worst-performing top-100 cryptocurrencies, currently trading at $0.4239 with a 14.15% increase in the past day and an 11.6% decline in the last 7 days.