The term 'blockchain' typically evokes thoughts of a digital, distributed ledger that is unalterable and records all data in an open-source manner, creating a trustless and decentralized network. This technology was developed in response to centralized systems that grant a single entity complete control over the entire system. However, the constantly evolving technology landscape requires blockchains to undergo software upgrades to remain up-to-date with the latest advancements and address potential threats. Such upgrades often involve hard forks, which can prompt concerns about the network's decentralisation. Nevertheless, Tezos stands apart from other blockchains in this regard.
Tezos is a Layer 1 (L1) blockchain network, which means that it is a standalone blockchain platform that operates independently of other blockchain networks. Tezos was created in 2017 by Arthur Breitman and Kathleen Breitman with the goal of providing a more secure, transparent, and sustainable infrastructure for building decentralized applications and services. Tezos has its own consensus mechanism, token economics, and smart contract functionality. It uses a proof-of-stake consensus mechanism, which allows token holders to participate in the validation of transactions and the creation of new blocks on the blockchain. Even to develop on Tezos, developers use a programming language called Michelson. Michelson is designed to be secure and facilitate formal verification, which allows developers to mathematically prove the correctness of their smart contracts.
One of the key features of Tezos is its self-amending protocol, which allows the network to upgrade and evolve over time without the need for hard forks or disruptive upgrades. This creates a more democratic and decentralized governance model that gives power to the community, rather than a central authority. The self-amending protocol works through a voting process, where stakeholders can propose and vote on protocol upgrades and amendments. The process is designed to be flexible, transparent, and secure, with multiple checks and balances to ensure the integrity of the voting process and prevent any malicious activity.
The most recent upgrade of Tezos, named Lima, was implemented on December 19, 2022. It includes improved pipelining for higher throughput, consensus keys for bakers to change their signing key without changing their public address, improvements to tickets, Ghostnet fixes, and more. Tezos has announced its next protocol proposal, named Mumbai, which includes features such as smart rollups, zk rollups, reduced block time, and new Michelson operations. The proposal also disables Transaction Optimistic Rollups (TORUs) on Mainnet if Mumbai is voted in by the community.
Surprised at how useful this self-amending protocol can be. So, whenever new technology or threats emerge in the future, we can upgrade the protocol by passing a community proposal. If the community approves the proposal, we can avoid the messy hard forks that often accompany other blockchain updates. If you are experiencing FOMO after reading all this and want to get involved with Tezos, you can contribute by developing on it or by investing in it. However, note that we are not financial advisors.
Despite not receiving as much hype as other Layer 1 blockchains in recent years, Tezos is still an underdog with tremendous potential. Its unique features make its future look bright. Moreover, Tezos has already attracted significant partnerships with various industry leaders, such as Ubisoft, Manchester United, McLaren and recently even Google Cloud partners with Tezos blockchain to bring web3 technology to its customers. These partnerships could lead to the development of innovative decentralized applications (dApps) on the Tezos blockchain, further increasing its adoption and value. As more people become aware of its potential, Tezos could become a major player in the blockchain industry.
