Insight 22 Nov 2024

Missed out on Bitcoin? Don’t miss Tezos

Screenshot 2024-10-17 at 7.01.09 pm Leo Treasure
IMG_4546

Ah, Bitcoin — the OG of the crypto world. Maybe you heard about it too late or didn’t jump in when it was all the buzz. But hey, crypto is about the future, not just the past. If you’re looking for the next big thing, let me introduce you to Tezos. This blockchain gem has some serious tech that makes it more than just another digital asset. Let’s dive in.

What Makes Tezos Unique?

On-Chain Governance: Coin Voting

In most blockchains, big decisions—like updates or fixes—require messy off-chain debates, often leading to community fragmentation (like Bitcoin vs. Bitcoin Cash). Tezos does it differently. Decisions on which code to upgrade occur on-chain via coin voting. If you hold and delegate or/and stake Tezos (XTZ), your tokens are directly counted in your baker's vote. No closed door meetings, no drama—just smooth progress.
If you have a Ledger Nano S+ and acquire 6,000 XTZ, have stable power and Internet and a Mac or are comfortable running a UNIX operating system you can run a Tezos baker validator node and vote directly and on behalf of others who delegate and stake to you.

Adaptive Issuance: Incentives Done Right

Tezos takes a revolutionary approach with Adaptive Issuance. No other blockchain does this. Tezos has a dynamic supply system that adjusts based on network participation. This system dynamically adjusts the creation of new coins (issuance) to the lowest amount necessary to incentivize a healthy level of staking. What does that mean? It ensures the network stays secure without overpaying stakers, reducing inflation and maximising efficiency.

Here’s the kicker: Adaptive Issuance reduces the opportunity cost of not delegating, making it easier for XTZ holders to use their tokens in DeFi applications while still supporting the network. This balance between security and usability is unique to Tezos and sets it apart from other blockchains that force users to choose between staking rewards and liquidity.

It’s not just smart economics—it’s a game-changer for how blockchains incentivise participation.

16 Seamless Upgrades (Without Forking)

Tezos has added features like smart rollups and improved performance. No forks, no confusion—just better tech with every step. Those aren’t buzzwords; that’s real innovation. If you’re tired of blockchain hype, Tezos is the tech you’re actually looking for.

Staking vs. Delegating: What’s the Deal?

Here’s where Tezos gets really interesting: staking. With Tezos, you can delegate your tokens to a baker (validator) and earn rewards without locking up your funds. But if you’re ready to stake your tokens directly, you can double your rewards, currently around:

Current Stake APY:
12.92%

This rate adjusts as more people stake. Right now, only about 20% of XTZ holders are staking. So, the early birds are enjoying the highest rewards. Don’t sleep on this. Unlock period is just 11 days.

Introducing Etherlink: The EVM-Compatible Rollup

Tezos isn’t just about Tezos. It’s playing well with Ethereum, too, thanks to Etherlink, an EVM-compatible rollup. Unlike other Layer 2 solutions, Etherlink doesn’t rely on governance tokens or centralised multi-sig contracts. It’s decentralisation done right—no training wheels needed.

Why Etherlink Matters

  • Speed: 500ms soft confirmation time.
  • Cost: Transactions cost a fraction of a cent.
  • Security: Built on Tezos’ battle-tested tech with permissionless fraud proofs.

Etherlink is already nearly a stage 2 rollup. This means it’s not just fast and secure—it’s also non-custodial. Your assets are as safe as they would be on a Layer 1 blockchain, with no middlemen required.

Why Tezos? Why Now?

You missed Bitcoin. Maybe you even missed Ethereum when it was cheap. But Tezos is still here, quietly building, innovating, and delivering tech that other blockchains can only dream of. With its on-chain governance, scaling roadmap, and pioneering features like Etherlink, Tezos is positioning itself as the blockchain of the future.

If you’re looking for a blockchain that’s more than hype, you’re looking for Tezos. Don’t miss it this time.