Tezos (XTZ) Continues 40% Coinbase Surge After French Finance Minister Namedrops Altcoin

The Tezos coin price saw 40% gains over the past four days, sending XTZ to a new five month high in the process. The surge continued leading into Thursday, after the French Minister of Economy and Finance namedropped Tezos as one of the French projects which has caught his eye in recent times.

Tezos has been on the rise since January, and the most recent price pump came shortly after Coinbase announced it would be initiating staking (baking) rewards for XTZ holders on the platform.

Tezos: A French Nugget?

Speaking at the Paris Blockchain Week Summit, the French finance minister, Bruno Le Maire signalled France’s intention to make the most of the blockchain technology in the coming years. He said:

“The development of the blockchain ecosystem is a priority for the government: it is a potential technology that can contribute to the modernization of our businesses and our economy.”

When asked if any of France’s blockchain startups had drawn his attention, he singled out Tezos for its potential to overcome certain ‘defects’ presented by public blockchains. He said:

“France has some nuggets on the entire value chain of new services to companies, hardware and protocols. I am thinking in particular of Tezos and which allows the development of a blockchain protocol overcoming the known defects of public blockchains.”

Le Maire wasn’t pushed to elaborate on what the known defects of public blockchains are, but his words signal an intention long suspected by Bitcoin and crypto adherents – namely, that financial institutions would indeed jump into blockchain, but on their own terms. See JP Morgan’s JPM coin for another example of this.

Tezos, Baking, Gingerbread

Perhaps Le Maire was referring to the governance model on Tezos when he referred to addressing the ‘known defects’ of public blockchains. Tezos governance involves a type of staking called baking. ‘Bakers’ must lock up 10,000 XTZ coins in order to ‘bake’ blocks and earn rewards, and dishonest bakers are automatically kicked out of the network.

On April 10th, a recipient of a Tezos Foundation grant, Zednode, released an application called Gingerbread – a dashboard application which simplifies the process of interacting with Tezos baking. The app is open source and can be downloaded on Github – read more here.

Tezos Price – XTZ/USD

From Sunday to Thursday Tezos saw 40% growth as the coin price climbed from $0.963948 all the way up to $1.35. That’s a new five month high, and returns XTZ to its value prior to the November-December dump of 2018.

Zooming out further we see that XTZ has been on the rise since December, climbing from the $0.31 range, and recording 326% growth in the intervening period.

CoinMarketCap notes almost $10 million of XTZ trades at time of writing – the majority coming against USDT and Bitcoin. More conservatively sourced data from OpenMarketCap suggests the true XTZ trade volume is closer to $3.6 million.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Author:
Greg Thomson is a freelance writer who contributes to leading cryptocurrency and blockchain publications like CCN, Hacked, and others.