- Market Cap of $1,3 billion
- Daily trading volume of $48 million
- Self-amending blockchain that does not require a hard fork.
- Ability to process higher transactions than Bitcoin/Ethereum (40 transactions per second).
- High threshold for becoming a validator at 8000 XTZ results in an efficient governance model.
- Can be updated easily when required.
- Has faced regulatory issues in the past.
TEZOS (XTZ) in a nutshell
The Tezos network is a full-fledged blockchain that runs using the Delegated Proof of Stake (DPoS) consensus model. The Tezos network was launched to solve the shortcomings frequently witnessed by the first generation of cryptocurrencies, namely Bitcoin and Ethereum. To prevent hard forks each time a bug was encountered, Tezos built in a self-amending contract which is run through a decentralized governance model. This allows the network to be upgraded without going through a hard fork.
The native cryptocurrency Tezos (XTZ) also known as Tez can be used as a medium of exchange or for governance purposes inside the network.
The total supply of XTZ is capped at 763,306,930 tokens but the supply can be changed as Tezos is a constantly upgrading network.
The distribution mechanism is explained below.
- ICO: 79.59%
- Early Bakers: 0.41%
- Tezos Foundation: 10%
- Dynamic Ledger Solutions (DLS): 10%
Has XTZ Token been audited and doxxed?
Yes. The XTZ token was audited by Least Authority and has been doxxed. The team behind the XTZ Token publishes regular documentation via press releases and is active on social media channels.
Trust & Fairness: 4
Exchanges & Swaps: 5
Overall Rating: 4.25
Detailed Review of Tezos (XTZ)
The XTZ token is used inside the Tezos ecosystem which allows users to deploy decentralized applications (dApps) and run smart contracts. The Tezos network was originally built to provide a decentralized network that would be self upgrading and amendable. This was in response to the frequent attacks by malicious actors on other blockchains such as Ethereum where a hard fork was carried out. Tezos set out from the very beginning to formulate a consensus network that would not require a hard fork and could be changed and amended easily as and when required.
The Tezos network uses a special Delegated Proof of Stake consensus system which it called the Liquid Proof of Stake model. Under this mechanism, anybody with 8 XTZ can run a node and anybody with 8000 XTZ can become a validator. However, validators can delegate their function to other users without letting go of their token ownership, a process that is known as baking. All network players get rewarded in the form of XTZ tokens for securing the network. A strong governance model ensures that proposals can be moved and the chain can be amended whenever necessary.
The native token XTZ token can be used for payment for goods and services, for governance purposes, and for staking.
Where to Buy XTZ Token?
The XTZ token can be bought on almost all popular exchanges such as OKEx, Binance, Digifinex, Coinbase, Nominex, WazirX, Gate.io, FTX, Huobi Global, KuCoin, Bithumb, Kraken, Crypto.com, Gemini, Bitfinex, Coinone, Poloniex, Phemex, LBank, Upbit, Paribu, CoinDCX, LATOKEN, and BitForex.
You can buy XTZ either through cash via P2P (peer-to-peer), credit or debit cards, or through other cryptocurrencies.
If you already hold some crypto, then you can use the coins to purchase XTZ directly through supported decentralized exchanges such as PancakeSwap. All you need to do is connect your wallet such as Metamask and select the appropriate coin pair that you wish to use for purchasing XTZ (for example BNB/XTZ). The decentralized exchanges are a quicker and easier method that guarantees anonymity as you do not have to deposit fiat currencies or complete a KYC process before purchasing the Tezos token. You can also use XTZ for purchasing other altcoins through the decentralized route as explained above.
What Can you do With the Tezos Token?
Deploy dApps or issue tokens: The XTZ ecosystem supports the building of dApps and can be used to run decentralised applications and also issue tokens. It is a strong rival of Ethereum and plays host to many popular dApps and even stablecoins.
Hodl as a long-term investor: You could also simply hodl it and gain from its price appreciation in the long term. The token also generates passive income for its holders as it can be staked (baked).
Swap XTZ to other tokens: You can use XTZ and directly swap to other altcoins on a decentralized exchange. The process is quick and simple and is described below.
How to Swap XTZ to other altcoins
Simply head over to a decentralized exchange and connect your wallet. Then, select the amount of XTZ you wish to spend (factoring in transaction fees) and swap it for another crypto token. You will receive the tokens in the same wallet.
How to Buy XTZ?
In order to buy XTZ, you will need to use a centralized exchange or a decentralized exchange. Decentralized exchanges (DEXs) are simple and easy to use and do not require any registration. The process of token swap on DEXs has been explained above.
For purchasing XTZ on a centralized exchange, you will need to register and create an account with the exchange and then deposit fiat currencies or crypto assets that can be used to buy XTZ. You will need to complete the Know Your Customer (KYC) procedure to open an account on a centralized exchange.
Steps to open an account on a centralized exchange:
1. Go to the exchange site where XTZ is listed and click on the Register button.
2. Then select your country of residence and proceed to the registration interface. Here, you will need to provide your email ID/phone number and a password that will be used to login into the newly created account.
3. Click on the agree to terms and conditions button and wait for the verification mail or message.
4. Clicking on the verification tab will take you to your new account. You will need to provide documentation such as a driving license, passport, or other government-issued IDs to confirm your identity and address. A utility bill and national ID may also be accepted in some cases. This process is known as the KYC regulation and it is in place to prevent the risk of fraud and to ensure that the site is safe for all users.
5. Once this additional step is completed, the exchange will activate your account and you can deposit funds to start trading. You can select fiat currencies or cryptocurrencies supported by the exchange to deposit funds to buy XTZ.
6. Most exchanges support multiple payment methods including credit/debit cards, bank transfers, third-party payment processors, and P2P transfers.
Upcoming Events/Future Roadmap
The XTZ ecosystem upgrades continuously and does not have a roadmap since it's always evolving.
The all-time high price of one XTZ was $9.12 on October 4, 2021. It is currently trading at $4.34 at the time of writing (Source: CoinGecko). The all-time low price was $0.350476 on December 7, 2017. Comparing the all-time low and all-time high prices, we get returns of about 1164% which are very impressive returns. The XTZ token is slowly establishing its position as a leading cryptocurrency and with its self-amending features and strong governance model, it has cemented its position in the top fifty cryptos by market cap. The XTZ price can be checked on sites like CoinGecko and CoinMarketCap.