Blockchain predecessors have always had several limitations regarding scalability, security, forking and more, resulting in dissatisfaction among users. Tezos was created to address these issues with the older blockchain technologies, and Tezos’ creators expect it to advance blockchain technology and spark a DeFi revolution.
Through its distinctive infrastructure and procedures, Tezos seeks to address the concerns with DeFi, including transaction costs and challenges with smart contracts.
What is Tezos?
Tezos blockchain is an open-source blockchain network built for smart contracts, assets and decentralized applications development that can advance by upgrading itself. It hosts its digital token named Tez (XTZ). Tezos blockchain environment aims to be modular and upgradeable without needing hard forks, which means that Tezos blockchain can execute new changes to the network without forking or splitting the chain.
Tezos has its own native smart contract language called Michelson, which enables formal code verification by mathematically proving the properties of a program like smart contracts.
The working function of the Tezos blockchain environment
Tezos blockchain network is secured and managed by Tezos bakers. Like the Bitcoin or Ethereum miners, Tezos bakers secure the network, validate transactions and distribute block rewards. Rather than physically mining the blocks using heavy computational devices, Tezos bakers create new blocks virtually via a mechanism called Liquid Proof-of-Stake.
One of the requirements to become a baker in Tezos is possessing a minimum amount of XTZ tokens. XTZ holders with at least 6000 XTZ are qualified to become Tezos bakers who can then stake their cryptocurrencies to add new blocks to the Tezos blockchain.
However, if you want to avoid involving in the complexity of baking blocks, you can still benefit from Tezos staking. Tezos cryptocurrency holders can delegate their crypto to a baker and earn between 5-6% per year via Tezos staking.
Feature of Tezos blockchain
Tezos blockchain environment has numerous unique features that distinguish it from other blockchain networks. Its features include:
- Self-amendment – This unique feature of the Tezos network allows the chain to evolve and upgrade itself without forking. It diminishes the possibility of hard fork and fraction in the community and aids the protocol to enhance itself over time.
- On-chain governance – Tezos allows all network stakeholders to participate in protocol governance. The election cycle offers a systematic and formal procedure for stakeholders to agree on recommended protocol amendments.
- Formal verification – Tezos enables formal verification, a technique to enhance the security and reliability of smart contracts by mathematically verifying their properties. This technique can help prevent costly bugs.
- Decentralized innovation – To foster strong participation in protocol improvement, Tezos implements a funding method for the actively participating people or groups. Encouraging this active, open, diverse developer ecosystem can help decentralize network maintenance.
Tezos blockchain development services
Tezos blockchain environment is one of the ideal blockchain ecosystems for web3 development services. Developers can leverage it to build innovative applications, assets and smart contracts with high-grade features and long-term upgradeability. Let us look into various Tezos blockchain development services.
Smart contracts development
Tezos utilizes some unique, high-level programming languages like Michelson, SmartPy and LIGO to develop and deploy smart contracts to the chain. These languages provide more approachable syntaxes and the usual developer experience. Moreover, by facilitating formal verification, Tezos smart contracts assure safety and minimal bugs that have costly consequences.
Offering its token standards such as FA1.2, FA2 or NyX standard, Tezos blockchain environment supports tokenization. The benefits of developing tokens on Tezos include institutional-grade smart contracts, secure custody and upgradeability.
With the Tezos blockchain, developers can build robust and scalable wallets that support XTZ or Tezos tokens. These wallets can be seamlessly integrated with any existing application or platform.
Tezos dApp development
Tezos can be leveraged to build powerful dApps tailored to specific business needs. Due to its unique features of self-amendment, upgradeability and on-chain governance, it provides the right environment for dApp deployment.
Through its on-chain governance and self-amendment approach, Tezos is an innovative platform that offers solid technical advancements. It has undergone significant improvements to become a highly flexible network with cutting-edge technology because it is a blockchain network built to evolve. Its appeal is further enhanced by its ability to update without a hard fork. In this ideal ecosystem, developers can create dApps, smart contracts, and other decentralized products and services for high-value use cases.