Tezos Staking Reaches A New ATH at Over 80%; Top 5 Exchanges Holding 18% of XTZ Supply

One of the hottest cryptocurrencies in the crypto sphere, Tezos (XTZ) has been enjoying a rally throughout 2020. In mid-February, XTZ jumped 183% YTD only to fall 65% during the March sell-off.

Since then, the 10th largest cryptocurrency has risen 113% and is now trading at $2.75. This growing interest in the cryptocurrency has been because of baking or staking. Already, the network-wide staking ratio reached a new all-time high of 80.11% in mid-May.

However, much of this staking is via exchanges, as such the custodial staking trend remains unbroken but slowed down “significantly” in Q2.

Top five cryptocurrency exchanges combined hold 18% of total Tezos supply in staking and more in non-staking wallets.

Coinbase particularly is controlling 11.2% of the Tezos network consensus, after gaining another 13% month-over-month, over 8.2 million XTZ.

The growing staked XTZ has the staking yield falling to its all-time low of 0.94% with the inflation rate at 5%. Alexander Eichhorn, Founder at Blockwatch Data noted,

“Absolute inflation in Tezos is almost constant, so inflation rate slowly decreases over time.”

“However, since the amount of coins generated per block is dynamic to discourage attacks the future inflation rate may fluctuate slightly.”

“Long-term holders who dominate Tezos are very loyal to their bakers,” wrote Eichhorn. He found 77.5% of active delegators never switch their bakers while 14% do so multiple times.

Adoption seeing an increase as well

When it comes to growth, 35.5k new funded accounts joined in April, while many small investors entered the ecosystem, whales were few. But still, the top 1k accounts hold 63% of total supply with 78% of supply not moved for over 3 months now.

The network meanwhile has been seeing less growth in developer activity in terms of deployed contracts and calls but “the rising gas usage suggests, the contracts that are developed are getting more sophisticated.”

Interestingly, the largest private bank in Brazil Banco BTF is set to launch its $5 million real estate tokens on Tezos.

In February, last year, $10 million were issued on Ethereum blockchain but they “don't want to be tied to just one blockchain,” and “want to have other options, other blockchains that might serve better the pieces of tokenization and issuing tokens that represent real assets.”

The Zug-based Tezos Foundation meanwhile is on a hiring spree to reduce its involvement in daily decision-making. David Fuchs, the former digitization manager at Swiss bank Vontobel is also being hired as a head of the enterprise adoption in Europe, the Middle East, and Africa.

In 2017 Tezos raised $232 million via initial token offering (ICO) and $25 million of the proceeds were paid to the Foundation to settle a US lawsuit over the ICO. As such, the Foundation runs independently of Tezos founders Arthur and Kathleen Breitman.

Tezos (XTZ) Live Price

1 XTZ/USD =$2.9135 change ~ -5.66%

Coin Market Cap

$2.08 Billion

24 Hour Volume

$71.42 Million

24 Hour VWAP

$3

24 Hour Change

$-0.1649

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

AnTy
AnTy
AnTy has been involved in the crypto space full-time for over two years now. Before her blockchain beginnings, she worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,440FansLike
2,795FollowersFollow
4,189FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

China’s Largest Mining Chip Maker, SMIC, Gains Regulator’s Approval On $2.8B IPO

One of China’s biggest semiconductor manufacturer, SMIC, announces plans to raise a $2.8 billion public sale IPO on the Sci-Tech Board of the...

Bitcoin Flash Crashes to $8,600 with BitMEX Shenanigans at Play Again

Bitcoin doing bitcoin things! Today, Bitcoin had yet another moment like March 12, although the price didn’t crash that low. https://twitter.com/100trillionUSD/status/1267835341987340288 Yesterday, Bitcoin jumped as high as...

AVA Labs Integrates Chainlink’s Decentralized Oracles to Improve DeFi Dapps Development

AVA blockchain, becomes the latest platform to add Chainlink, a decentralized oracle system to its platform. The integration of Chainlink to the Dapp blockchain...

Binance Korea to Improve KYC/AML Framework With Coinfirm's Compliance Solution

Binance South Korea unveiled a unique partnership with Blockchain analytics firm, Coinfirm that will help Binance remain compliant with the strict AML framework...

2nd Largest BTC Mining Pool, Poolin, Collabs With BlockFi, To Boost Crypto Lending Service

Poolin and BlockFi have formed a partnership as the latter aims to extend loans to the mining pool. Bitcoin (BTC) and mining equipment...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today