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Small cryptocurrency Tezos gains traction, is Bitcoin in trouble?



Bitcoin has registered better performance than most other financial assets in 2020. Its price recently recovered after plummeting in March amid the coronavirus driven sell offs and has now gained 30% so far this year.
However, the little know digital currency Tezos, trading under the sticker XTZ, has almost doubled in price since January and it is expected to climb even further.

Tezos has risen about 91% since the beginning of the year. It was trading at $2.60 currently with market capitalization of close to $1.817 billion.
In January, Tezos was the 15th most vulnerable crypto asset by market capitalization, according to CoinMarketCap data. Since then it has managed to rise to the top ten most valuable cryptocurrencies and could surpass some of its competitors with its current momentum.

Small cryptocurrency Tezos gains traction, is Bitcoin in trouble?

Tezos was designed as a “self-amending cryptographic ledger”, it does not rely on mining (Proof-of-Work), but instead utilizes a Proof-of-Stake based consensus model. Recently it has emerged as a favorite for tokenized real-estate and security tokens.

Since the recent Bitcoin halving, mining for BTC has become more difficult. Many have suggested that bitcoin minors may decide to transfer their computing power to other cryptocurrencies and potentially boosting their expansion.

However, because of the different consensus model, Tezos cannot be mined like Bitcoin. This makes the it more scalable and less resource-intensive. Token holders are also stimulated for participation in network security and receive additional tokens as a reward.

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Small cryptocurrency Tezos gains traction, is Bitcoin in trouble?

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