Most people have heard of Bitcoin and an increasing number of investors know that Ethereum was the first successful venture into smart contracts. While Ethereum was one of the earliest pioneers, it didn’t invent the smart contract. Essentially, a smart contract is just a program that runs on a blockchain. This is why it’s possible, though highly inefficient, to put smart contracts on Bitcoin.
Knowing these developments is crucial for understanding the other important blockchains. One in particular is really beginning to make waves. If you are familiar with the more popular cryptocurrencies, then you have likely heard of Tezos. It was recently ranked number 11 by CoinMarketCap. Those in the industry speak fondly of it. Now, the young, nimble blockchain appears to be coming into its own.
It’s important for blockchains to distinguish themselves. Tezos has always demonstrated a unique approach to the fundamental principles of decentralized ledger technology. Now it’s proving it. Launched in 2017, Tezos has a developmental history that dates back to 2014.
While many blockchain organizations promise a peer-to-peer, permissionless governance some time in the future, Tezos delivers it now. This is also technically true of both Bitcoin and Ethereum, but Tezos improves upon scalability and applications. Also note that many claim that Bitcoin’s mining operations are becoming centralized.
Billy Banbrough wrote an article for Forbes in which he discussed the recent success of Tezos. He cited its 400% climb from $0.40 last February to over $2 this month. A key element that Banbrough points to is how Tezos outperforms Bitcoin. Investors who are familiar with the crypto markets understand just how important an indicator it is for a blockchain to sustain a higher return than Bitcoin.
On most days, the majority of cryptocurrencies will rise and fall with Bitcoin. Any coin that can independently sustain higher prices (even merely over a month’s time) is an indication of serious investor interest. In the case of Tezos, the project can be characterized as conservative.
This is all the more reason to be excited about the year-long sustained rally. Other reasons include the consistent development and new project launches on a developer respected blockchain. The ease of staking Tezos might just be another great advantage for long-term investor commitment. The fondness of the decentralized application (dapps) community might be what ultimately makes Tezos that special blockchain we have been waiting for.