An RTD senses temperature with a metal coil or film, usually platinum. As the metal warms, its electrical resistance rises. The measuring circuit sends a small current through the element and measures its resistance. The IoT device then uses an RTD equation to turn that resistance into a temperature reading. The change is almost a straight line, but precise measurements need an equation that accounts for its slight curve.
Watch the connecting wires: their resistance can affect the reading, especially with a low-resistance RTD. Include lead compensation in the measurement setup.