Tezos Smart Contract Addresses Triple In A Single Year

February 1, 2022 8:34 pm Comments

The Tezos (XTZ) network is continuing to experience solid growth based on the recorded metrics of the blockchain and its expansion into many different use cases.

According to data published by CoinMetrics, the amount of Tezos smart contract addresses was able to triple from January 2021 to January 2022 going from an initial 200 to a current 600.

The reasons why many speculate for the rapid increase in demand include the ecosystem experiencing growth due to the expanding NFT industry as well as the increasing appetite for blockchain based gaming where gamers play to potentially earn tangible digital assets as rewards.

Finbold reports:

The spike in smart contract addresses points to constant activity within the Tezos ecosystem potentially driven by the soaring non-fungible tokens (NFTs) activity and support for blockchain gaming.

The growth has also reflected on Tezos active addresses that have soared to surpass the 45,000 mark as of January 2022.

It is worth mentioning that one of the recent upgrades on the network resulted in Tezos reducing its smart contract fees by 75%, attracting new projects in fields such as decentralized finance (DeFi).

For DeFi, a solid structure and low fees are crucial to attracting more users.

However, with Tezos making progress with upgrades, the network is facing competition from other potential ‘Ethereum killers’ like Cardano and Solana.

However, Ethereum might sustain its dominance in the space considering the network is also undergoing critical upgrades like the proof-of-stake migration.

Besides the impressive increase in smart contracts, this was not the only growth metric that Tezos had achieved in the past year.

Recently, the company announced that they now have a recorded six million contract calls just in the month of January which is a monthly record for the blockchain network.

In regards to the NFT space, Tezos has also been gaining a lot of traction recently in the past few months such as collaborating with the well-known clothing brands on launching NFTs.

Recently, the Tezos company had collaborate with famous apparel brand GAP on releasing a set of NFT collectibles where the demand was so high that the collection ended up being sold out instantly upon launch.

Demand for them was so high that they were almost sold out instantly upon launch.

Funding into the Tezos project has also shown that investor confidence remains strong as the company continues to utilize the funds in order to provide consistent upgrades to the blockchain network in order to achieve steady adoption.

Finbold adds:

With the continued network development, the value of Tezos will likely be impacted. By press time, XTZ was trading at $3.62 and had made significant gains of 24.33% in the last seven days.

XTZ has generally enjoyed a positive price action to rank among the best-performing assets amid the ongoing market volatility.

Although the token is trading below the over $9 all-time high set in 2021, investors will be looking for increased use cases of the blockchain as key drivers for a new price rally.

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