Xtz Coin: A Smart Investment Choice?

Tezos (XTZ) is a blockchain network with a native digital token called a tez or tezzie. It is a decentralised blockchain for assets and applications that can evolve by upgrading itself. It is governed by holders of its native cryptocurrency, the XTZ token, and is capable of running smart contracts, making it a versatile platform for various applications like DeFi, NFTs, and crypto gaming.

Tezos has had a bumpy road, facing legal issues and infighting between its creators and the Tezos Foundation. However, it has also had some notable successes, such as raising $232 million in its initial coin offering (ICO) and securing partnerships with major brands like Manchester United and Red Bull Racing Honda.

As of August 2024, the live price of the Tezos token is around $0.69, down from an all-time high of over $9.18 in 2021. Its price movement has been bearish over the last couple of years, but it is expected to recover by the end of the year, with a forecasted price of $3.15 by the end of 2024.

Tezos has a unique governance system that allows stakeholders who own enough XTZ tokens (called bakers) to propose and vote on changes to the blockchain. It also has a self-amending protocol that allows for seamless upgrades without requiring hard forks, which can be disruptive. Additionally, Tezos uses a Proof of Stake (PoS) consensus mechanism, which is more environmentally friendly than the Proof of Work (PoW) mechanism used by cryptocurrencies like Bitcoin.

When considering whether to invest in Tezos, it's important to remember that the cryptocurrency market is extremely volatile, and forecasts can be wrong. It's crucial to do your own research and only invest what you can afford to lose. However, Tezos has some key advantages, including its self-amending governance system and the ability to earn staking rewards, that could make it a smart investment for those looking for a cryptocurrency with strong technology, development, and community support.

XTZ's price history and future projections

Price History

Tezos (XTZ) was conceived in 2014 by Arthur and Kathleen Breitman, who also founded a startup called Dynamic Ledger Solutions to develop the Tezos blockchain. The Tezos mainnet launched in 2018 after a series of delays.

In its early days, XTZ's price surged by more than three times its ICO price when it was first listed on a major exchange in October 2017. By the end of 2017, its price had spiked to as high as $12.19. However, it suffered a drastic loss in 2018, reaching a trading value of $2, and the bearish phase continued till the end of the year, with the value dropping below $0.476.

In 2019, XTZ's price fluctuated between $0.48 and $1.70. The year 2020 saw XTZ facing stiff resistance at $3, and its price concluded the year at $2.

In 2021, XTZ's price surpassed $5 by mid-March and continued to rally up to $8 until May. However, after the market crash, the price plunged back to $2.30 on July 22. It then made a parabolic move to clinch an all-time high of $9.18 on October 4, 2021, before undergoing a steep fall to around $4.75 due to bearish activity.

In 2022, XTZ commenced the year with a price of $4.352 but concluded the year at $0.700 due to turbulence in the business. As of August 10, 2024, the price of XTZ is $0.688439, with a market cap of 982,666,265 XTZ.

Future Projections

Despite the volatile price history of XTZ, crypto experts and analysts remain optimistic about its future prospects. Here are some future price projections for XTZ:

• By the end of 2024, the maximum price of XTZ is expected to reach $0.780, with a potential average of $0.687. The minimum price could be $0.594.
• In 2025, the minimum price of XTZ is predicted to be around $1.09, with a maximum expected price of $1.30. The average trading price might be $1.12.
• For 2026, the expected minimum and maximum prices for XTZ are $1.60 and $1.85, respectively, with an average trading cost of $1.64.
• In 2027, the minimum XTZ price might drop to $2.27, while the maximum can reach $2.69. The average trading cost is anticipated to be around $2.34.
• By 2028, the XTZ price is projected to be between $3.27 and $3.95, with an average of $3.36.
• For 2029, the estimated average XTZ price is $5.03, with a potential minimum of $4.90 and a maximum of $5.67.
• In 2030, XTZ is expected to be traded between $6.97 and $8.61, with an average cost of $7.17.
• By 2040, XTZ could experience a significant surge, potentially reaching as high as $551.28.
• By 2050, the XTZ price is anticipated to reach a maximum of $754.53, with a minimum of $663.88 and an average of $690.44.

Tezos' unique features

Tezos has several unique features that set it apart from other blockchain platforms. Here are some of its key features:

• On-chain governance: Tezos allows holders of its native coin, XTZ, to vote on the network's future direction. This voting feature is designed to avoid community splits and hard forks, which can lead to depreciation.
• Self-amendment: Tezos is a self-amending decentralised platform, which means it is much easier to upgrade and always open to adding the latest innovations to its network.
• Liquid staking: Tezos offers a unique method called 'liquid staking', which provides unprecedented liquidity and flexibility for users.
• Low energy consumption: Tezos has a low carbon footprint compared to other blockchain platforms due to its use of the Proof-of-Stake consensus algorithm. This makes it more environmentally conscious and sustainable.
• Baking: Tezos uses a system called "baking" to validate transactions, which is a variation of the proof-of-stake model. This allows owners of XTZ tokens to delegate their tokens to "bakers" who validate transactions and receive staking rewards.
• Formal verification: Tezos uses a unique language, Michelson, to write smart contracts. This facilitates a formal verification process that reduces bugs and vulnerabilities, offering greater security.
• Open-source platform: Tezos is an open-source platform that embraces long-term upgradability, open participation, collaboration, and smart contract safety.

Tezos' partnerships

Tezos has had success in finding notable partnership agreements. Here are some of the highlights:

McLaren Racing

Since June 2021, Tezos has been the Official Blockchain Partner of McLaren Racing. Tezos-branded text and imaging appear on the official McLaren race suits of McLaren F1 drivers and the racing cars themselves. With a cumulative TV audience of more than 1.5 billion viewers in 2021, F-1 Racing offers Tezos exposure to a massive global audience.

The Cleveland Cavaliers

The NBA team launched their “My Cavs Locker NFT Experience” in collaboration with NFT pioneers Sweet, who built out the Cavaliers’ offerings on the Tezos blockchain. With a global sports memorabilia market currently measured in the tens of billions of dollars annually, the potential for digital sports artifacts in Web 3.0 is sky-high.

Manchester United

Tezos became the Official Blockchain Partner of Man U’s men’s and women’s squads in February 2022. Tezos is powering innovative engagement experiences for its diverse global community and transforming the ways the club, fans and players interact.

Red Bull Racing Honda

Red Bull Racing Honda signed a multi-year partnership for Tezos to build its first NFT fan experience.

Ubisoft

Ubisoft has partnered with Tezos to add NFT items to its games.

Misfits Gaming Group

Misfits Gaming Group announced a partnership with Tezos, which will be the company's official blockchain.

Tezos' competition

Tezos (XTZ) is a blockchain platform that supports decentralised applications (dApps) and smart contracts. It is a direct competitor to Ethereum, which is the largest blockchain for DeFi. Tezos also faces competition from other smart contract platforms, such as Solana, Cardano, and Avalanche, all of which have larger market shares.

Tezos has a self-amending governance system, which is an innovative feature that gives stakeholders control and helps it avoid issues that other blockchains have faced during upgrades. This system also allows Tezos to upgrade itself without needing to split into separate blockchains (hard forks).

Tezos also offers staking rewards, where users can earn passive income by holding XTZ in a wallet and participating in the network's governance process. This is another potential advantage over its competitors.

In addition, Tezos has a strong team of developers and a growing ecosystem of applications and projects built on its platform. Its focus on security and smart contract functionality make it an attractive option for businesses and developers looking to build decentralised applications.

Overall, Tezos has key advantages that could help it succeed in a highly competitive market. However, it is important to remember that the cryptocurrency market is extremely volatile, and there are no guarantees of success for any blockchain project.

Tezos' security and compliance

Tezos (XTZ) is a blockchain network linked to a digital token called a tez or a tezzie. Tezos is designed to power the Web3 revolution and is an open-source platform that addresses key barriers facing blockchain adoption for assets and applications. It is governed by holders of its native cryptocurrency, the XTZ token.

Tezos is unique in its governance system. It is an open-source blockchain platform capable of self-amendment. Stakeholders who own enough XTZ tokens are called bakers and can propose changes to the blockchain. If a change is approved, it can be tested and activated. This system of self-amendment helps Tezos avoid disruptive hard forks.

Tezos promotes its security as one of its strong suits. It is a popular choice for security tokens, a type of cryptocurrency that is a digital asset representing an asset with real-world value. Multiple companies in this space, including tZero and Elevated Returns, are using the Tezos blockchain. Tezos also touts its formal mathematical verification of smart contracts, multi-signature contracts, ease of network upgrades, and specialized tools and support for security token compliance.

Tezos has a security policy in place that encourages responsible vulnerability research and disclosure. The Tezos Foundation values the input of security researchers acting in good faith to help the Tezos ecosystem maintain a high standard for security, availability, and community privacy.

In terms of regulatory compliance, Tezos is a decentralised blockchain that allows for formal verification, a technique that uses mathematics to prove the correctness of the code governing transactions. There will be secure applications and smart contracts on the Tezos blockchain, while also avoiding some of the shortcomings of similar alternative chains.

The Tezos token does not satisfy the Security and Exchange Commission (SEC)'s current criteria of a security. It is not governed by a controlling central authority, but rather by the majority of its users, much like Bitcoin. This decentralised element is a core reason why the Tezos token is unlikely to be labelled a security by the SEC.

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