"doesn't plan on using PoW to secure the chain" - IOTA uses PoW to secure the network (it's not really a chain), that's exactly how the network is secured. Every transaction performs a small PoW.

"the only thing they have to show for it is a whitepaper" - say whaaat? IOTA is a functioning digital currency with feeless transactions. You can watch the transactions on the network here: https://thetangle.org/live