Over the years, we have witnessed several blockchain platforms like Ethereum, NEO, and Qtum, that aim to launch autonomous smart contracts and DApps. These platforms have different approaches to implementing their ideas and goals. However, a common challenge faced by these platforms, including Ethereum, NEO, and Qtum, is governance. In 2018, the focus has been on governable blockchains. Governable blockchains refer to blockchains that are not self-governed and rely on a few individuals for their reliability. Tezos, on the other hand, stands out by addressing this problem in a unique way.
Tezos is an open-source decentralized blockchain platform that offers smart contracts and decentralized applications with a formalized governance model. Unlike other platforms, Tezos has a self-evolving governance model, which allows it to adapt to industry needs without the need for hard forks. Tezos is often referred to as a self-amending blockchain because stakeholders can vote on protocol amendments to reach a social consensus. It supports smart contracts and has its own cryptocurrency called Tezos (XTZ), which acts as fuel for the blockchain.
Tezos works through a modular style with a generic and self-amending crypto-ledger. The network protocol, transaction protocol, and consensus protocol are the three layers of the Tezos blockchain. The network protocol is responsible for peer listening and broadcasting, the transaction protocol handles transactions and accounting models, and the consensus protocol reaches agreement on the state of transactions. The network shell acts as a communication bridge between the network protocol and the blockchain protocols. The network shell can amend protocols based on community consensus, allowing for self-amendment and on-chain governance.
One of the key features of Tezos is its self-amendment capability, which allows for blockchain upgrades without hard forks. This is important because hard forks can disrupt network effects. On-chain governance enables stakeholders to vote on proposed protocol amendments, allowing for flexibility based on current needs. Tezos also uses the Michelson programming language for smart contracts and DApps, which enables formal verification. Formal verification ensures that code behaves as expected and helps prevent costly bugs.
Tezos operates on a delegated proof of stake system, where stakeholders must stake Tezos tokens (XTZ) to participate in the consensus. This process, called baking, allows participants to earn more XTZ and secure the blockchain.
The Tezos team, led by its co-founders, has overcome numerous obstacles to launch the platform. The initial token supply was determined based on the number of tokens sold during the ICO, which raised $232 million. Currently, Tezos has a circulating supply of 607,489,041 XTZ, with a value of approximately $1.2 billion.
Buying Tezos cryptocurrency can be challenging, as only a few exchanges offer it. However, new wallet options are being developed. As for the future and roadmap of Tezos, there have been some setbacks and delays, but the team is continuously improving and aiming to launch the mainnet in Q3 2018. Clearer roadmaps and developer documentation will be crucial for Tezos to compete with other platforms like Ethereum and NEO.
In conclusion, Tezos offers a unique approach to blockchain governance with its self-evolving model. It provides smart contracts and decentralized applications, with a focus on on-chain governance and formal verification. While Tezos has faced challenges, its team is determined to overcome them and build a successful platform.