IOTA is an open-source distributed ledger and cryptocurrency designed for the Internet of Things (IoT). Unlike traditional blockchains, IOTA utilizes a unique data structure called the Tangle, which is a Directed Acyclic Graph (DAG). This innovative architecture enables secure, feeless transactions and allows the network to scale efficiently. By eliminating miners and transaction fees, IOTA facilitates microtransactions and seamless data transfer between machines and devices in the IoT ecosystem.