Tezos is a decentralized, open-source blockchain launched in 2018 that facilitates peer-to-peer cryptocurrency transfers, smart contract deployment, and NFT creation. Its native cryptocurrency, XTZ (commonly called "Rabbit Coin"), powers this ecosystem. This guide explores Tezos' functionality, XTZ price trends, and investment potential.
XTZ Price Trends and Market Data (Updated July 2023)
- Current Price: $0.8378
- 24-Hour Range: $0.8216–$0.8468
- Market Cap: $787 million (Rank #59)
- All-Time High: $9.12 (-90.79% from peak)
- Circulating Supply: No hard cap (5.51% annual inflation)
Understanding Tezos (XTZ)
1. Core Technology
Tezos operates on Liquid Proof-of-Stake (LPoS), a variation of PoS that allows token holders to delegate validation rights without transferring ownership. Key features include:
- Self-amending protocol: Upgrades without hard forks
- On-chain governance: Stakeholders vote on network changes
- Energy efficiency: 10,000x less energy than Bitcoin
2. XTZ Token Utility
- Staking rewards: Earn ~5.51% APR through "baking" (validation)
- Network security: 8,000 XTZ required to become a baker
- Governance rights: Voting weight proportional to staked amount
3. Adoption Landscape
Tezos hosts:
- Stablecoins (tzBTC)
- DeFi platforms (Tezsure)
- Enterprise solutions (e.g., Societe Generale's CBDC experiments)
Should You Invest in XTZ in 2023?
Pros:
✅ Active developer community (300+ monthly GitHub commits)
✅ Institutional backing (Draper Associates, Polychain Capital)
✅ 80% of supply staked → Reduced sell pressure
Cons:
❌ Competition (Ethereum, Solana)
❌ No supply cap → Inflation risk
❌ Regulatory uncertainty (SEC previously classified XTZ as security)
How to Buy XTZ
Step-by-Step Guide:
- Choose an Exchange: Select a platform supporting XTZ/USDT pairs
- Fund Account: Deposit USDT via bank transfer or crypto deposit
- Place Order: Buy at market price or set limit orders
FAQ: Tezos (XTZ) Explained
Q: Is Tezos better than Ethereum?
A: Tezos offers lower fees and formal governance, but Ethereum has stronger network effects.
Q: Where to store XXTZ securely?
A: Use Ledger hardware wallets or Kukai web wallet.
Q: What's the long-term price prediction?
A: Analysts project $2–$5 by 2025 if adoption continues.
Q: Can I mine XTZ?
A: No – Tezos uses staking, not mining.
Conclusion
Tezos presents a unique blend of governance flexibility and developer-friendly infrastructure. While its inflationary model raises questions, the active staking community and institutional interest make XTZ a compelling case study in blockchain evolution.
❗ Disclaimer: This is not financial advice. Cryptocurrency investments carry high risk.