Securing interoperable and sovereign data exchange in the Industrial Internet of Things (IIoT) for machine data exploitation by third parties presents a significant challenge. This work addresses this by integrating IOTA Distributed Ledger Technology (DLT) with the International Data Spaces (IDS) Reference Architecture Model (RAM), creating a decentralized data space optimized for IIoT ecosystems. This research demonstrates the practical implementation of core IDS architectural concepts within the IOTA framework, overcoming theoretical DLT limitations and showcasing IOTA’s capability to enhance data sovereignty and interoperability in the IIoT, moving beyond traditional blockchains, which are constrained by scalability and efficiency issues. It sets the stage for future evaluations and broader applicability studies, paving the way for advancements in secure, sovereign, interoperable, and efficient data management