Tezos (XTZ): What is it?
Tezos crypto by Crypto Nation – August 23, 2021
By Crypto Nation – August 23, 2021
Tezos crypto card summary:
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Tezos fundamental data
- Name: Tezos
- Symbol: XTZ
- Type: Blockchain, Enterprise Solutions
- Consensus: Liquid Proof of Stake (LPoS)
- Year of creation: 2014
- Founder: Arthur Breitman
- Official website: tezos.com
- Mainnet: Yes – tzstats.com
- Whitepaper: tezos.gitlab.io
- Code: gitlab.com/tezos/tezos
- Twitter: @tezos
Tezos market data
Below are the basic market informations regarding this cryptocurrency:
- Price: It is expressed in dollars ($). There is also its percentage change (%) over the last 24 hours.
- Rank: Ranking of this cryptocurrency among all those referenced on CoinMarketCap. This is done according to the market cap.
- Market cap: Market capitalization represents the total dollar ($) value of all coins in circulation.
- Volume: It represents the total dollar ($) amount of the cryptocurrency in question traded over the last 24 hours.
What is the goal of the Tezos project?
Tezos was designed by a French company for the establishment of smart contracts and decentralized applications.
Its protocol is based on a central account register with the associated cryptocurrency Tez (XTZ). Other blockchains can connect to interact with the Tezos blockchain like Bitcoin or Ethereum.
Tezos differentiates itself on several points from its competitors with, in particular, a completely decentralized internal governance system. It is therefore not mainly made up of minors, like the external governance systems.
The language used, Michelson, is also a particularity of Tezos because it makes it possible to easily and formally verify the contract code.
Finally, Tezos is based on a consensus of Liquid Proof Of Stake, a customized PoS, which also improves its scalability.
The objective of setting up Tezos as a “self-modifying cryptographic register” was clear in the Whitepaper, in particular according to the following 3 aspects:
- Create a network protocol.
- Design a specific transaction protocol.
- Design a consensus protocol around a single chain.
Origin of the project
The origins of Tezos dates back to August 3, 2014, with the publication of the document “Tezos: a self-modifying cryptographic register”.
The project is introduced by LM Goodman, the former pseudonym of Arthur Breitman.
On September 2, 2014, the Whitepaper was published , thus providing a concrete basis for this project.
What is its use?
Early blockchains like Bitcoin and Ethereum put governance in the hands of development teams and mining communities, making the process of these cryptocurrencies quite centralized.
This can lead to a lack of flexibility and scalability at the blockchain level.
This is why Tezos has decided to build a network where the decision-making process is intrinsically present within the blockchain allowing stakeholders to have their word to say on important decisions, by proposing improvements that may be validated or not by the community.
Management of the economy (as of 08/22/2021)
Currently, approximately 860 million tokens are in circulation. The new tokens are issued in particular via staking rewards.
The number of tokens is currently unlimited on the network, but a fixed limit is expected in the future, according to the Whitepaper.
At Tezos’ ICO in 2017, nearly $ 230 million were raised, making it one of the biggest raises of the time.
80% of this initial offer went to investors and 20% were split equally between the Tezos Foundation and Dynamic Ledger Solutions.
Diagram of the evolution of the cryptoactive
Where to store your cryptocurrency
If you prefer to take your cryptocurrencies out of centralized exchanges, you can store your Ether through various solutions:
- Atomic Wallet, a very complete and secure software wallet.
- Trust Wallet, bought by Binance, it has become the benchmark mobile wallet.
- Ledger, very secure wallet hardwares, the best known being the Ledger Nano S.
- Trezor, the wallet recommended by Tezos.
More details on the different types of cryptocurrency wallets on our dedicated page, accessible by clicking here.
Our opinion on this project
Tezos benefits from an experienced team, who waited 4 years after the 2014 ICO to launch the mainnet, in 2018.
With a very interesting internal governance model, as well as its customized Proof of Stake consensus, liquid proof of stake, Tezos has serious arguments to highlight.
This project is therefore promising, despite its still very weak ecosystem, compared to the competition.
Very focused on business and the professional world, Tezos will undoubtedly have great opportunities to develop significantly in the coming years.
