What is Tezos (XTZ)?

Deep Dive

1. On-Chain Governance & Self-Upgradability

Tezos pioneered on-chain governance, allowing stakeholders to propose and vote on protocol upgrades via a four-stage process. Approved changes are automatically implemented, avoiding disruptive hard forks (CoinMarketCap). This system has facilitated over 15 protocol upgrades since its 2018 launch, including scalability improvements like Etherlink, an EVM-compatible Layer 2 solution.

2. Technology & Security

The blockchain uses Liquid Proof-of-Stake (LPoS), where users delegate tokens to validators (“bakers”) or participate directly. With a minimum stake of 6,000 XTZ (~$3,100), it prioritizes accessibility—nodes can run on devices as simple as a Raspberry Pi. Tezos emphasizes formal verification, a mathematical method to audit smart contracts, reducing vulnerabilities in high-stakes applications like DeFi.

3. Ecosystem & Use Cases

Tezos supports real-world asset (RWA) tokenization, such as uranium via uranium.io, and hosts a thriving NFT art ecosystem partnered with institutions like the Museum of the Moving Image. Its Etherlink Layer 2 enables Ethereum-compatible DeFi, attracting projects like Midas ($11M TVL in tokenized T-bills) and Curve Finance.

Conclusion

Tezos combines adaptable governance, developer-friendly security, and niche real-world applications—from commodities to digital art. As blockchain adoption grows, can its self-amending model maintain relevance against faster-evolving competitors?