Tezos is an open-source Layer 1 blockchain like Bitcoin and Ethereum. Tezos has been termed as Ethreum’s top competitor when it comes to developing smart contracts. Tezos runs a delegated Proof-of-Stake consensus algorithm to validate transactions making it the environmentally friendly alternative to Ethereum. Tezos also offers lower transaction fees.
Tezos blockchain signed a partnership with Manchester United. The 27 million deal with Manchester United, one of the most successful English clubs, will hopefully solidify the upward rally. Going by the announcement, the English club will adorn its training kit with the logo of the crypto company.
Tezos is abbreviated as tჳ or commonly as XTZ. The price has been rallying lately and could signal the opportune time to buy Tezos:
A steady decline in price levels was observed for the past few days, but the circumstances are different now, and the price function is in the bulls’ control today.Cryptopolitan Price Analysis
Binance exchange offers low fees at 0.1% with attractive entry perks for beginners, even better with referral codes. The Binance trading platform offers deep liquidity for Tezos for both margin and spot trading.
Binance wallet also has a Tezos staking feature.
Where can you buy Tezos?
Tezos is ranked at #45 by market cap and is listed in more than 100 crypto exchanges. Some of these crypto markets include:
- Binance: Binance holds the highest volume of traded Tezos at about 12% during the time of writing with a liquidity score of 659 out of 1000 according to Coinmarketcap.
- Coinbase- Coinbase crypto exchange is a publicly-traded company with the highest crypto trading volumes in the US. You can easily create a Coinbase account.
- Gate.io- Gate.io is a US-based cryptocurrency exchange limited only to New York and Washington DC. The exchange supports the debit card.
- eToro- eToro USA LLC offers social trading a feature that makes entry-level crypto investment for beginners worthwhile.
- Bitfinex -Bitfinex offers 0.2% taker fees and 0.1% maker fees. Bitfinex offers Tezos staking with an annual interest rate ranging between 2 and 5%.
- Huobi Global – Huobi is one of the top-ranking cryptocurrency exchanges in Asia with a low trading fee of 0.1%.
- Kraken – Kraken offers on-chain staking for Tezos with an estimated 5% APY. Kraken has a 1.5% transaction fee(Exchange commission), with trades against stable coins having a subsidized 0.9% transaction fee.
- KU Coin – KU coin has a user base of over 10M people and offers deep Tezos liquidity.
How to buy Tezos on Binance
So how do you buy Tezos at the current price or best price in the Binance crypto exchange?
Step 1: Account Creation
To trade on Binance you need to first create an account. You will be required to have an email and a strong password. The 2-factor authentication is advised after signing up to improve the security of your account before you can buy Tezos XTZ a crypto exchange will ask you to verify your identity. This is necessary because of anti-money-laundering laws.
Step 2: Account Verification
To make any further transactions, you are required to verify your identity. Identity verification can only be completed on app.
Identity verification requires a selfie-and the front and back photo of your identity card or passport.
You can go further to verify your proof of address to expand your withdrawal limits and become a ‘Merchant’ P2P trader.
Identity account verification can take as little as 30 min within a normal working day.
Account Verification helps prevent money laundering on cryptocurrency exchanges.
Step 3: Fund account
There are three ways to fund your Binance account:
- P2P – peer-to-peer trading has been considered the easiest way to deposit into Binance. On P2P you can find many local payment platforms. Binance has a 0% p2p trading fee.
- Fiat currency deposit – you can deposit USD into your Binance account using SWIFT at zero fees, EUR you can use a credit or debit card and has a processing fee of 1.8%. Other supported currencies include GBP, TRY, KZT, AUD, BRL, PEN, RUB, UAH, and UGX.
- Direct deposits – Binance allows direct deposit of Tezos from custodial wallets using BNB smart chain (BEP20), BNB beacon chain (BEP2), and Tezos network. Tezos network takes 10 confirmations for the amount to reflect in the account.
Step 4: Buy Tezos XTZ
To buy Tezos you need to move your coins into the spot wallet. P2P deposits are made to the funding wallet. Binance trading allows both limit order and market orders.
Money in the spot wallet can be used for both margin and spot trading.
Available trading pairs are USDT, BUSD, TRY, BNB, BTC and ETH.
To buy Tezos on the app:
- Click the ‘Markets’ tab at the bottom of the screen.
- On the search box type ‘XTZ’ and select your trading pair.
- On the next screen, select ‘buy’ then input ‘amount’ the number of XTZ you need and set Tezos price.
- Click ‘Buy XTZ’ to buy Tezos.
Step 5: Trade/ stake Tezos
Now you have Tezos XTZ in your spot account. You can choose to sell at a later date, withdraw to an external wallet or stake your Tezos in the app.
Binance offers a 7.12% APY for locking up Tezos XTZ for 30 days. Interest is calculated and paid out daily.
Advantages of buying Tezos
- Tezos leverages Michelson and OCalm languages to assure top-notch security similar to that used in aerospace and nuclear industries. Unless you lose your private keys.
- Tezos uses community consensus to make decisions or changes to the Tezos blockchain empowering collaborative innovation.
- Tezos is available in top-tier exchanges with high liquidity making the exchange of value easy for everyone. Some of these cryptocurrency exchanges support credit or debit cards.
- Tezos is eco-friendly due to its proof of stake protocol. Creating an NFT using Tezos smart contracts has been equated to posting on Twitter in terms of energy usage.
- Tezos’ on-chain upgradeability makes it flexible to adapt and adjust to new environments.
- Crypto analysts remain bullish about the future price of Tezos, this however is not investment advice.
- Tezos update to ‘Ithaca 2’ in April 2022 will ease Tezos scalability, enable fast finality and lower validator requirements, making Tezos XTZ network development all the more worthwhile.
- You can easily stake Tezos to receive new tokens from staking rewards and trading fees.
Risks of buying Tezos
Tezos has had its fair share of criticism leading to contentious lawsuits over a mismanaged Initial Coin Offering. This occurred as a result of:
- The $232M Initial Coin Offering (ICO) allegedly took advantage of a naive user market back in 2017 by providing an uncapped and unnecessary ICO.
- The move was followed by allegations of abuse of funds as the team disagreed on how the funds were to be utilized.
- The allegations plagued Tezos’ market share after a civil lawsuit was launched. The lawsuit spanned years later, closing with Tezos Foundation surrendering $25m without admitting to doing any wrong.
While the lawsuit was closed, critics remain on edge about the future performance of Tezos.
Other risks include:
- With high crypto assets volatility, Tezos investments can nosedive at any moment without notice.
- Unlike holding Tezos on hardware wallets like Ledger nano, having funds in a non-custodial crypto wallet can be compromised by hacks or rug pools.
- High competition from other projects like Cardano, Solana, and Polkadot.
- Tezos like other blockchains are susceptible to hacks, glitches, and human error.
- Cryptocurrency trading remains largely unregulated, and the future of crypto remains uncertain.
Should you buy Tezos?
Blockchain technology is growing and the value of major cryptocurrencies is growing as the technology solves more problems. Tezos network is growing as a result of its flexibility and adaptability making it a choice for new devs into Web 3. Tezos is making strides into Web3, metaverse and NFT‘s.
Tezos is competing for Ethereum’s market share and its real use cases have seen it rise over the years overshadowing its early ICO problems.
Editorial opinions and price analysis suggest Tezos’ value will rise long term. However trading cryptocurrencies has its market risk for new traders, make a thorough research before making crypto investments. XTZ coins are highly volatile.