What is TEZOS? According to the Tezos website, “Tezos is a new decentralized blockchain that governs itself by establishing a true digital commonwealth.”
Tezos (XTZ) is a blockchain network linked to a digital token, which is called a tez or a tezzie. Tezos is not based on the mining of tez. Instead, token holders receive a reward for taking part in the proof-of-stake consensus mechanism.
A commonwealth is a group that chooses to be linked together because of their shared goals and interests. The main aim of Tezos is to make their token holders work together to make decisions that will improve their protocol over time. The native Tezos token is XTZ.
There are a lot of features in Tezos that makes it unique. We will cover them later in the guide. For now, let’s give you a little background on the project.
The co-founders, Arthur Breitman, and Kathleen Breitman, have been developing Tezos since 2014 with a core group of developers. The company is headquartered in Switzerland. As we have already said, they raised a $232 million in an uncapped ICO in just 2 weeks, accepting contributions of both bitcoin and ether. Shortly after their historic ICO, Tezos ran head first into a lot of management issues. To understand these management issues, you must know that the Tezos-founding company is named DLS (Dynamic Ledger Solutions) and the company that holds all the funds collected during the ICO is named “Tezos Foundation.”
Arthur and Kathleen Breitman got into a public squabble with the President of Tezos Foundation, Johann Gevers. Apparently, Gevers, who was in control of the funds, refused to disburse the funds to the Breitmans. This dispute led to mayhem within the community and the estimated exchange rate plummeted. The Breitmans released a scathing statement on Gevers which included words like “self-dealing, self-promotion and conflicts of interest”.
Eventually, after a lot of drama and undesirable media attention, Gevers left the company after receiving more than $400,000 in severance. Now things are finally sailing smoothly. So, on that note, let’s get into the bare details.