What is expected in the development of XTZ?
Tezos is making important progress with these key updates:
- Seoul Protocol Upgrade (September 19, 2025) – Adds built-in multisignature security and improves network efficiency by 63 times.
- Etherlink Ecosystem Growth (Q4 2025) – Expands decentralized finance (DeFi) features and supports liquid staking.
- Tezos X: Better Scalability & Popular Programming Languages (2026) – Boosts Layer 2 performance and adds support for JavaScript and Python developers.
- Uranium Tokenization Project (Long-Term) – Moves into real-world asset markets by tokenizing physical uranium.
In-Depth Look
1. Seoul Protocol Upgrade (September 19, 2025)
What happened:
The Seoul upgrade introduced native multisignature (multisig) support, which means multiple parties can securely manage a single account together—important for institutions managing large funds. It also made the network much more efficient by reducing the data validators need to process daily from 900 MB to just 14 MB, using a technology called BLS signatures. This speeds up transaction confirmation and reduces network load.
Why it matters:
- Positive: Makes Tezos more attractive to institutions by improving security and efficiency.
- Consideration: The efficiency benefits depend on how many validators adopt the new system.
2. Etherlink Ecosystem Growth (Q4 2025)
What happened:
Etherlink is Tezos’ Layer 2 solution compatible with Ethereum’s system, designed to handle more transactions at lower cost. It aims to grow its total value locked (TVL) beyond $60 million by:
- Introducing liquid staking with stXTZ, allowing users to earn rewards while using their tokens in DeFi applications.
- Enabling native XTZ deposits and withdrawals through KuCoin, a popular exchange, making it easier to move assets on and off Etherlink.
Why it matters:
- Positive: More DeFi activity can increase demand for Tezos tokens (XTZ) as collateral.
- Risk: Competing with established Ethereum Layer 2 solutions like Arbitrum could limit growth.
3. Tezos X: Better Scalability & Popular Programming Languages (2026)
What’s planned:
As part of the Tezos X roadmap, this update will:
- Improve scalability with smart rollups, allowing decentralized apps (dApps) to handle more users and transactions smoothly.
- Add support for widely used programming languages like JavaScript and Python, making it easier for developers who aren’t blockchain experts to build on Tezos.
Why it matters:
- Positive: Opens the door for more developers and a wider variety of dApps on Tezos.
- Risk: Delays could let competitors like Solana or Aptos gain an edge.
4. Uranium Tokenization Project (Long-Term)
What’s happening:
Tezos co-founder Arthur Breitman is leading uranium.io, a project to create digital tokens backed by physical uranium. This aims to connect traditional commodity markets with blockchain technology. Early partnerships with firms like Hex Trust are helping to build this bridge.
Why it matters:
- Positive: Positions Tezos as a leader in real-world asset (RWA) tokenization, tapping into a market worth over $10 trillion.
- Risk: Regulatory challenges and the specialized nature of uranium could slow adoption.
Conclusion
Tezos is advancing on multiple fronts—improving core technology with Seoul and Etherlink upgrades, while also exploring new markets and making development more accessible through Tezos X. Short-term growth depends on expanding DeFi, but long-term success will rely on delivering these ambitious projects. The big question: Can Tezos use its strong governance and innovation to outpace Ethereum Layer 2s and other chains focused on real-world assets?
What updates are there in the XTZ code base?
Tezos is steadily improving its technology with important upgrades and expanding its ecosystem.
- Rio Protocol Upgrade (May 1, 2025) – Introduced faster staking cycles and better support for Layer 2 scaling solutions.
- Tezos X Milestones (August 1, 2025) – Improved scalability and enabled cross-chain connections through a tool called Tezlink.
- Etherlink Integration (July 29, 2025) – Added compatibility with Ethereum’s tools, making it easier to use Ethereum apps on Tezos.
Deep Dive
1. Rio Protocol Upgrade (May 1, 2025)
Overview: Activated at block #8,767,488, the Rio upgrade made staking cycles much faster and improved Layer 2 scalability. This means users can participate more easily and the network runs more efficiently.
Staking cycles were shortened to just 1 day instead of several days, which lowers the entry barrier for smaller validators. A new rewards system was introduced to encourage participation in the Data Availability Layer (DAL), which helps Layer 2 solutions like Etherlink handle more transactions. The upgrade also added stricter penalties for inactive validators to keep the network reliable.
What this means: This is positive for Tezos (XTZ) because faster staking cycles make it easier for more people to get involved, and better Layer 2 support can attract more developers. (Source)
2. Tezos X Milestones (August 1, 2025)
Overview: At the TezDev 2025 conference, Tezos co-founder Arthur Breitman shared updates on Tezos X, which focuses on making the blockchain more scalable and able to work with other blockchains.
Tezos X separates the blockchain into different parts: execution, consensus, and data availability. The new toolchain called Tezlink lets developers build on Tezos using familiar programming languages like Michelson and SmartPy, while also accessing liquidity from Etherlink. Early tests show that decentralized apps (dApps) could run 10 to 30 times faster.
What this means: This is neutral for XTZ in the short term because it depends on how many developers start using it. But in the long run, these improvements could make Tezos a strong player in institutional decentralized finance (DeFi) and tokenizing real-world assets. (Source)
3. Etherlink Integration (July 29, 2025)
Overview: Etherlink is a Layer 2 solution on Tezos that is compatible with Ethereum’s Virtual Machine (EVM). This upgrade improved its connection with Ethereum tools like MetaMask and Hardhat.
Developers can now deploy Ethereum smart contracts written in Solidity on Etherlink, while finalizing transactions on Tezos’ main layer (L1). The “Apple Farm Season 2” incentive program, offering $3 million in rewards, led to a 189% increase in monthly transactions, with total value locked (TVL) reaching $47.7 million by August 2025.
What this means: This is positive for XTZ because linking with Ethereum’s ecosystem can bring more users and liquidity into Tezos’ DeFi space. (Source)
Conclusion
Tezos is focusing on making its network faster (Rio), more interoperable with other blockchains (Tezos X), and compatible with Ethereum’s tools (Etherlink). While these upgrades might not immediately affect the price, they set the stage for steady growth in decentralized finance and real-world asset tokenization. The key question is: how quickly will developers use Tezlink to create cross-chain decentralized apps?
Why did the price of XTZ go up?
Tezos (XTZ) increased by 5.24% in the last 24 hours, outperforming the overall crypto market, which rose by 4.52%. This growth is driven by recent protocol upgrades, expansion of Layer 2 solutions, and positive technical signals.
- Seoul Protocol Upgrade – Improved security for institutions and made blockchain validation 63 times more efficient (September 4, 2025).
- Etherlink Layer 2 Growth – Integration with KuCoin increased liquidity, pushing total value locked (TVL) to $60 million (September 11).
- Technical Breakout – Price moved above important Fibonacci levels with bullish momentum indicated by the RSI.
Deep Dive
1. Seoul Protocol Upgrade (Positive Impact)
What happened: On September 4, the Seoul upgrade was launched, introducing multisignature wallets directly into the protocol and drastically lowering the cost of validating transactions by 63 times. This upgrade was developed by Nomadic Labs and Trilitech. It also makes staking and unstaking easier, which is attractive to institutional investors.
Why it matters: These improvements boost security and efficiency, which have been obstacles for businesses wanting to use Tezos for regulated digital assets. The new one-click unstaking feature (though it still requires a 4-day waiting period) makes it simpler for everyday users to manage their holdings.
What to watch: Keep an eye on how many people start using multisignature wallets and whether more validators join the network after the upgrade.
2. Etherlink Layer 2 Momentum (Mixed Impact)
What happened: Etherlink, a Layer 2 solution compatible with Ethereum, saw its total value locked (TVL) jump to $60 million after KuCoin allowed direct deposits of XTZ on September 11. Etherlink supports projects like Apple Farm Season 2, which offers $3 million in rewards, and has integrated with Curve Finance.
Why it matters: Growth in Layer 2 solutions shows increased utility for Tezos, but some of the demand may be temporary due to reward programs like Apple Farm. The 16% increase in 24-hour trading volume fits with traders shifting into alternative cryptocurrencies, as indicated by the Altcoin Season Index at 64.
What to watch: Monitor whether TVL remains high after reward programs end and watch cross-chain activity through LayerZero bridges.
3. Technical Rebound (Neutral to Positive)
What happened: The price of XTZ moved above its 7-day simple moving average (SMA) of $0.674 and is testing the 23.6% Fibonacci retracement level at $0.784. The Relative Strength Index (RSI) is at 52.25, suggesting there is room for further gains, although the MACD indicator is still bearish.
Why it matters: The 5.24% price increase reflects a general market upswing but lacks strong volume support. The 24-hour turnover ratio is 3.5%, which is below the 8% peak seen in July.
Conclusion
Tezos’ recent price rise is supported by strategic protocol upgrades, growing Layer 2 adoption, and favorable market trends. The Seoul upgrade strengthens the foundation for institutional use, but it’s important to watch if Etherlink’s growth continues once reward incentives end. Key point to watch: Can XTZ stay above the 30-day SMA at $0.714 to challenge the resistance level at $0.78?
What could affect the price of XTZ?
Tezos is balancing strong technical progress with broader economic uncertainties.
- Etherlink DeFi Growth – Layer 2 activity jumps to $60 million in total value locked (TVL), boosting XTZ use (Mixed Impact)
- Seoul Upgrade Adoption – New security and efficiency improvements attract institutional users (Bullish)
- RWA Tokenization Risks – Uranium.io gains traction but faces regulatory challenges (Mixed Impact)
Deep Dive
1. Etherlink DeFi Growth (Mixed Impact)
Overview:
Tezos’ Layer 2 solution, Etherlink, which is compatible with Ethereum’s virtual machine (EVM), reached $60 million in TVL by September 2025. This growth was driven by rewards from Apple Farm Season 2 ($3 million incentives) and integration with Curve Finance. The number of daily active users increased dramatically—by 45,000% year-over-year in the third quarter of 2024 (Finbold).
What this means:
More DeFi activity means higher demand for XTZ tokens, used for staking and transaction fees. However, since 63% of Etherlink’s TVL comes from short-term rewards programs, it’s unclear if this growth will last once incentives end.
2. Seoul Upgrade Adoption (Bullish)
Overview:
The Seoul upgrade in September 2025 added native multisignature wallets and reduced the network’s validation data needs by 63 times—from 900MB to 14MB per day. This made the network more efficient and secure, leading to a 9.5% quarter-over-quarter increase in institutional “bakers” (validators) (Cryptobriefing).
What this means:
Better security and efficiency make Tezos more attractive for businesses and large investors. After the previous Rio upgrade in May 2025, XTZ’s price rose nearly 29% in 90 days, suggesting Seoul could spark similar gains.
3. RWA Tokenization Risks (Mixed Impact)
Overview:
Tezos’ uranium.io platform allows trading of tokenized uranium, with $11 million in TVL. However, the European Central Bank’s plan to launch a digital euro by 2029 could lead to stricter regulations on real-world asset (RWA) tokenization (Cointelegraph).
What this means:
If RWA tokenization succeeds, XTZ could become a go-to blockchain for compliant asset trading. But regulatory scrutiny—especially around uranium markets—and competition from central bank digital currencies (CBDCs) pose risks.
Conclusion
Tezos’ future price depends on whether Etherlink can keep users after incentives end and how uranium.io navigates regulations. The Seoul upgrade’s boost in institutional adoption offers a positive baseline, but broader economic factors like ECB policies and Bitcoin’s volatility limit upside potential. Will Tezos’ 63x efficiency improvements lead to more developers joining by the end of 2025? Keep an eye on Etherlink’s TVL without incentives and updates from uranium.io partnerships.
What are people saying about XTZ?
Tezos is showing strong signs of growth and excitement in decentralized finance (DeFi), but some caution remains due to potential overbuying. Here’s what’s happening:
- Etherlink’s $11 million increase in total value locked (TVL) draws institutional attention
- Breaking a 7-month downward trend sparks a 76% price rally
- Shifts in altcoin investments are boosting Tezos’ momentum
Deep Dive
1. Etherlink’s DeFi Growth Signals Strength for Tezos
According to CoinMarketCap, Etherlink’s tokenized yield products have brought $11 million in TVL to its Layer 2 platform. This marks a significant step as institutional investors start engaging with DeFi on Tezos.
Why it matters: This growth shows that Tezos’ Layer 2 solutions are gaining real-world use, attracting new investments (a net inflow of $417,000 on July 19), which supports the network’s long-term value.
2. Technical Breakout Sparks Price Rally
As noted by BRONDOR on CoinMarketCap, Tezos (XTZ) surged 76% in just 2.5 days after breaking a 7-month downtrend. If the price holds above $1.10, it could reach $1.40. This rally is part of a broader trend where alternative cryptocurrencies (“altcoins”) are gaining strength.
Why it matters: The short-term outlook is positive, with technical indicators turning bullish. However, the Relative Strength Index (RSI) is at 91, suggesting the price might be overextended near $1.04, so some caution is advised.
3. Profit-Taking Could Slow Momentum
AMBCrypto reports that Tezos spot netflow reached an 8-month high, with $4.5 million moving to exchanges. This often signals that investors are selling to take profits.
Why it matters: This selling pressure could challenge the recent rally, especially since open interest in derivatives has increased by 343%. Key support at $0.93 needs to hold to maintain momentum.
Conclusion
The outlook for Tezos (XTZ) is cautiously optimistic. Growth in Etherlink’s DeFi platform and strong technical signals support a bullish view, but overbought conditions and increased selling on exchanges suggest some risks. Keep an eye on Etherlink’s TVL, which currently stands at $45.4 million—if it reaches $100 million by the third quarter, it could confirm that Tezos’ breakout is sustainable.
What is the latest news about XTZ?
Tezos is balancing technical improvements with cultural growth. Here’s the latest update:
- Seoul Protocol Upgrade (September 19, 2025) – Enhanced security for institutions and a 63x boost in network efficiency.
- Etherlink Reaches $60M in Total Value Locked (TVL) (September 11, 2025) – KuCoin integration and DeFi growth drive adoption.
- Berlin Digital Art Showcase (November 6–9, 2025) – Over 200 artists mint digital art on Tezos, highlighting blockchain’s creative potential.
Deep Dive
1. Seoul Protocol Upgrade (September 19, 2025)
Overview
Tezos rolled out its 19th protocol upgrade, called Seoul. This update introduced native multisignature (multisig) support, which allows multiple parties to approve transactions, improving security. It also reduced the blockchain’s data usage by 63 times (from 900 MB to 14 MB per day), making the network more efficient. Additionally, unstaking funds became easier with an automatic release after a 4-day security period. The upgrade was developed by Nomadic Labs and Trilitech, focusing on meeting the needs of institutional users who require secure and scalable systems.
What this means
This upgrade is positive for Tezos (XTZ). Multisig support makes it easier for institutions to use the network, while the efficiency improvements lower operational costs. The one-click unstaking feature also enhances the user experience, which could attract more people to stake their tokens. (CryptoBriefing)
2. Etherlink Ecosystem Expansion (September 11, 2025)
Overview
Etherlink, Tezos’ Layer 2 solution compatible with Ethereum’s technology, reached $60 million in total value locked (TVL). This milestone came after KuCoin, a major cryptocurrency exchange, enabled native deposits and withdrawals of XTZ on Etherlink. The integration offers fast transaction confirmations (under 500 milliseconds) and almost no fees. This has boosted activity in projects like Apple Farm Season 2, which has a $3 million rewards program, and liquid staking through Stacy.fi.
What this means
The growing decentralized finance (DeFi) activity on Etherlink strengthens Tezos’ position in the cross-chain ecosystem. KuCoin’s support improves liquidity, making it easier to trade and use XTZ. The launch of stXTZ, a liquid staking token, allows users to earn rewards without locking up their funds, giving Tezos an advantage over competitors like Lido. (Finbold)
3. Berlin Digital Art Event (November 6–9, 2025)
Overview
“Art on Tezos 2025” in Berlin will showcase over 200 digital artists, including well-known names like Lauren Lee McCarthy and Memo Akten. The event highlights NFTs (digital collectibles) minted on Tezos. Partnerships with major museums like MoMA and Musée d’Orsay emphasize Tezos’ role in supporting sustainable and affordable digital art.
What this means
This event offers a positive outlook amid a slow NFT market by focusing on Tezos’ energy-efficient technology and cultural significance. Collaborations with respected institutions could renew interest in using blockchain for creative projects. (Crypto.news)
Conclusion
Tezos is combining strong technical upgrades (like the Seoul protocol and Etherlink growth) with cultural initiatives (such as the Berlin art showcase). This positions Tezos as both a secure platform for institutions and a vibrant space for artists. While these developments are promising, the question remains whether growing DeFi use can balance out challenges in the broader NFT market.