Should You Buy Tezos in 2025?

Tezos at a glance

How much does 1 Tezos cost?

The price of Tezos is up this week. As of now, Tezos (XTZ) is trading at £0.63, with a daily change of +1.7% and an increase of 5.2% over the past seven days. Its market capitalisation stands at approximately £616 million, and the average daily trading volume over the last three months is about £32 million. With a circulating supply of 981 million XTZ, Tezos ranks 67th by market cap and holds a market dominance of 0.04%. The fluctuating performance highlights both the volatility and the potential opportunities surrounding Tezos for UK investors.

Our full review of the Tezos cryptocurrency

After analysing the most recent trends for Tezos (XTZ) — as well as its three-year price action and ecosystem evolution — we have leveraged proprietary algorithms to cross-reference on-chain analytics, technical indicators, market data and the shifting competitive landscape. This robust multifactor approach surfaces key insights into Tezos’s medium- and long-term potential as a digital asset. So, why could Tezos position itself once again in 2025 as a strategic entry point in the smart contract and Layer-1 blockchain ecosystem?

Recent Performance and Market Context

Price Evolution

Tezos (XTZ) has demonstrated remarkable resilience over the last cycle, recovering from the broad bearish pressure of 2022–2023 and steadily regaining momentum in early 2024. After bottoming out near £0.50 in late 2022, XTZ staged a recovery, posting a year-to-date increase of approximately 31% as of Q2 2024, trading around £0.87 at the time of writing. This steady price performance is underscored by an increase in average daily trade volume, which has recently reached £42m, and solidifies its position as one of the top-50 cryptoassets by market capitalisation (ca. £850m–£880m).

Positive Catalysts

• Recent successful protocol upgrades: Notably ‘Mumbai’ and ‘Oxford 2’, both introducing gas optimisations, improved throughput, and greater developer usability.
• Rising influx of developers and deployment of new dApps in DeFi, gaming, and tokenization niches.
• Strategic partnerships and integrations: Collaborations with gaming studios, art institutions (notably through Tezos-powered NFT platforms), and enterprise solution providers.
• On-chain governance upgrades, setting Tezos apart by empowering its community to adopt innovations without hard forks.

Favourable Macro and Sectoral Dynamics

Tezos also benefits from a supportive macro environment:

• Institutional repositioning toward digital assets as regulatory clarity improves in major markets, including the UK and the EU.
• Rising interest in alternative Layer-1 networks as developers and investors seek platforms that balance security, efficiency, and decentralisation.
• NFT and DeFi market rejuvenation, particularly with user-friendly blockchains that feature low transaction costs and robust security.

Technical Analysis

Key Crypto Indicators

• Relative Strength Index (RSI): XTZ's RSI hovers between 52 and 62 on the daily, indicating a healthy momentum without signs of overextension.
• MACD: The recent bullish crossover on the weekly timeframe suggests medium-term upside potential, especially as the MACD histogram grows increasingly positive.
• Moving Averages: XTZ trades above the 50-day and trending near the 200-day SMA. Bullish convergence of these moving averages could signal further acceleration.

Critical Support and Reversal Signals

• The £0.80–£0.85 zone has consolidated as a robust support, with historical buy interest intensifying during volatility spikes.
• Breakout attempts from the £0.95–£1.00 range, if confirmed on weekly closes, would validate a new bull phase.
• Upward trends in trading volume and long/short ratios further reinforce a constructive technical structure.

Favourable Market Momentum

Technical setups point towards an emerging inflection point: compressed volatility, coupled with strengthening demand on dips, is classic for pre-breakout phases.

Fundamental Analysis

Growing Adoption and Strategic Partnerships

Tezos is quietly assembling a unique narrative:

• Developer Ecosystem Momentum: New dApp deployments (notably in DeFi and gaming), combined with hackathon activity and grant programs, signal a growing network effect.
• Enterprise and Institutional Integration: Ongoing partnerships — including high-profile NFT platforms (FXHash, Objkt) and collaborations in asset tokenization with major names in finance and real estate — foster sustainable adoption.
• Self-Amending Protocol: Unique on-chain governance enables seamless protocol evolution, ensuring consistent resilience and forward-compatibility.

Attractive Valuation and Network Metrics

• Market Cap/Fully Diluted Valuation (FDV): At close to £880m in market cap and £1.05bn in FDV, Tezos trades at a significant discount to comparable Layer-1s, with less speculative risk.
• Total Value Locked (TVL): While DeFi activity on Tezos is still ramping up (~£85m TVL), its pace is accelerating following recent protocol optimisations.
• Network Activity: Average daily active addresses have increased by 24% YoY; NFT minting activity remains robust.

Structural Advantages: Technology & Community

• Energy-Efficient Proof-of-Stake: Advanced, eco-friendly consensus sets Tezos apart in ESG-conscious circles.
• Strong, Global Community: A mature, engaged community ensures sustainable ecosystem support, while developer participation is notably higher than industry averages.
• Modular, Upgrade-Ready Design: By facilitating regular, non-disruptive upgrades, Tezos minimises the governance risk often associated with other Layer-1s.

Volume & Liquidity

• Consistently strong volumes (>£40m daily average, with liquidity on major exchanges including Binance and Coinbase) signify active market participation and healthy entry/exit flexibility.
• Positioning: While not occupying top-10 status, XTZ's mid-cap tier presents outsized upside potential relative to risk. Its dominance of core NFT and staking verticals uniquely positions it among established Layer-1s.

Catalysts and Positive Outlook

Upcoming Protocol Upgrades

• The ‘Djakarta’ update (expected Q4 2024) will introduce substantial scalability improvements and a new layer for privacy features, broadening institutional and DeFi appeal.
• Rollup advancements: Facilitating faster execution and paving the way for expanded DeFi and gaming capabilities.

Integration and Ecosystem Expansion

• Major wallet and institutional custody providers (Fireblocks, Ledger Enterprise, Copper) are set to integrate full XTZ staking and DeFi features by early 2025.
• Interoperability layers with Ethereum, Polygon, and Solana, increasing cross-chain dApp and liquidity presence.

Regulatory Tailwinds

• MiCA in the EU and increasingly constructive FCA stances improve the investment case for proof-of-stake platforms like Tezos, given their eco credentials and transparency.
• Growing interest from listed asset managers and fintechs in tokenizing real-world assets on Tezos, leveraging its compliance strengths.

Expanding Use Cases

• NFTs and gaming vertical: Strategic partnerships with luxury brands and sports franchises — as well as grants supporting Web3 gaming launches — extend Tezos’ reach well beyond its 2021–22 base.
• Decentralised identity and real-world asset tokenisation: Ongoing pilots with public and private sectors underline XTZ’s long-term relevance.

Investment Strategies (Time Horizons)

Short-Term (0–6 months)

• Opportunity lies in targeting a re-test of primary support (£0.80–£0.85), adding on dips ahead of the Djakarta protocol upgrade.
• A tactical trade on technical breakouts above key resistance (£0.99–£1.05) could capture early upside waves.

Medium-Term (6–24 months)

• The medium-term narrative is underpinned by the anticipated protocol upgrades and accelerating dApp deployment: accumulating through volatility phases could yield optimal entry points.
• Historical cycles show strong mean reversion after protracted consolidations, and Tezos’s current position in the Layer-1 hierarchy presents asymmetrical reward-to-risk potential.

Long-Term (24+ months)

• Tezos’s modular design, pioneering governance, and expanding partnership network justify strong conviction for longer timeframes.
• As regulatory frameworks crystallise and the next adoption wave emerges, early positioning could prove highly advantageous.

Ideal Positioning

Layer entries at technical pullbacks or ahead of protocol upgrades (‘Djakarta’ late 2024, further rollup launches 2025) align with both systematic and fundamental-driven accumulation.

Tezos Price Projections (2025–2029)

Is It the Right Time to Consider Tezos?

Tezos currently stands at a compelling inflection point: the convergence of solid technical structure, accelerating on-chain activity, and imminent protocol upgrades justifies a renewed interest in this digital asset. Its distinctive strengths — including institutional-grade security, ESG-friendly proof-of-stake, an engaged developer community, and vibrant momentum in NFTs, DeFi and asset tokenization — set it apart in an increasingly crowded Layer-1 landscape. With projected strong price performance over the next five years, expanding real-world adoption, deep liquidity, and upcoming protocol catalysts, Tezos seems to represent an excellent opportunity for forward-looking investors.

The fundamentals justify a renewed focus: Tezos could well be entering a new bullish phase, and the convergence of technical and fundamental catalysts amplifies the case for strategic positioning. As always, managing risk is paramount, but the current setup presents a rare combination of undervaluation, technical momentum, and ecosystem growth that merits close consideration. The next protocol upgrade scheduled for Q4 2024 could be the defining catalyst for Tezos’s trajectory in the coming cycle – and those seeking an optimal entry into the next generation of blockchain infrastructure may find this an opportunity not to overlook.

How to buy Tezos?

It’s simple and secure to buy the cryptocurrency Tezos (XTZ) online through a regulated platform in the UK. As a private investor, you have two main options: a classic “spot” purchase, where you directly own real Tezos coins in a secure wallet, or trading Tezos via CFDs (Contracts for Difference), which lets you speculate on the price without actually holding the coin. Each approach has its own features, risks and costs, explained below. For a detailed side-by-side comparison of platforms available in the UK, see the comparison tool further down this page.

Spot Purchase: Buying Tezos Directly

Buying Tezos “at spot” means you purchase and directly own real XTZ tokens, which are held either on the platform or transferred to your private crypto wallet. The usual fee for this method is a fixed commission per transaction, typically ranging from 0.5% to 2% of the amount invested and usually charged in GBP.

Key Example

Example: Suppose the price of Tezos is £0.75 per coin. With an investment of £1,000 and about £5 in fees, you can purchase roughly 1,326 XTZ tokens (£1,000 – £5 = £995 / £0.75 ≈ 1,326 coins).

✔️ Profit scenario: If Tezos rises by 10%, your holding is now worth £1,100. Net result: £100 gain (before fees), or +10% on your investment.

Trading Tezos via CFD

Trading Tezos via CFD (Contract for Difference) allows you to profit from price movements without actually holding XTZ. Here, you speculate on the price—up or down—using leverage if you wish. Fees generally include the spread (difference between buy/sell price) and overnight financing costs if you hold your position for more than a day.

Key Example

Example: You open a CFD position on Tezos with £1,000 and use 5x leverage, giving you £5,000 exposure to XTZ.

✔️ Profit scenario: If Tezos rises by 8%, your position gains 8% × 5 = 40%. Result: £400 gain on your original £1,000 stake (before fees and financing costs).

Key Tips Before Investing

Always compare platform fees, spreads, security features, and terms before making any investment decision. The right method—spot purchase or CFD—depends on your goals, risk appetite and investing experience. If you need help choosing, remember to consult the detailed comparison lower on this page to find the best solution for you.

Our 7 tips for buying Tezos

The latest Tezos news

Tezos-based digital securities platform Equisafe secures UK registration, enabling compliant asset tokenization in Britain. French fintech Equisafe, which utilizes Tezos for its end-to-end asset tokenization platform, announced on June 24 its successful registration as an Official Trust & Corporate Service Provider in the UK, underlining British regulators’ openness to compliant crypto asset infrastructure. This milestone may encourage more UK-based organizations to explore digitizing securities and assets on Tezos, bolstering institutional interest and ecosystem credibility while enhancing the network’s position in the competitive regulated asset space.

Tezos successfully completes the Nairobi protocol upgrade, improving smart contract efficiency and scalability for UK blockchain developers. On June 25, the Nairobi protocol—Tezos’s 16th major upgrade—was activated following community consensus, introducing improved transaction throughput and significantly reducing fees for certain operations. These technical enhancements can benefit UK Web3 startups and developers by optimizing cost-efficiency and application performance, which is critical for adoption within the British digital finance sector.

British digital asset management firms have reaffirmed their commitment to integrating Tezos-powered solutions for tokenized fund initiatives. Several London-based wealth management houses and fintechs have in recent days reiterated—via official statements and partnership updates—their interest in harnessing Tezos smart contracts and governance features for regulated tokenized fund products. This sustained attention comes at a time when FCA guidelines clarify the compliance pathways for crypto-backed financial products in the UK, indicating a positive institutional trajectory for Tezos engagement among British asset managers.

Tezos’s developer ecosystem in the UK has seen a surge, with new hackathon programs and university collaborations launched over the past week. Among recent educational events, the University College London (UCL) Blockchain Society, in partnership with Tezos Foundation, launched a July hackathon focused on decentralised finance (DeFi) solutions using the Tezos protocol. This local expansion in developer outreach not only strengthens the UK’s blockchain talent pipeline but also signals growing stakeholder confidence in Tezos as a core blockchain infrastructure for new financial applications.

UK crypto exchanges report stable Tezos trading volumes, supported by regulated GBP trading pairs and positive sentiment post-upgrade. The primary FCA-registered UK exchanges have maintained steady XTZ/GBP liquidity and orderbook depth throughout the past week, with several reporting a moderate uptick in demand for Tezos following the Nairobi protocol upgrade. This reflects both regulatory confidence in Tezos’s compliance credentials and an improving perception among British investors seeking exposure to next-generation proof-of-stake (PoS) assets.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.