Weiss, the crypto ratings agency, has called Tezos’ scaling plans “unimpressive and lackluster”, while at the same time upgrading Bitcoin to A- from B. The agency lauds the market performance of both tokens in its latest pack shuffle, but it doesn’t pull any punches when it comes to Tezos’ fundamentals, despite upgrading it to a B-.
Tezos’ Run Applauded by Weiss
Weiss discussed the subject of Tezos in a series of tweets on Friday after the token, XTZ, hit $2.19, a price not seen since July 2018. This represented a 64% move since the turn of the year, and, at the time, put it on the cusp of the top 10. Over the weekend the token saw another jump, landing it in the top 10 at the expense of ADA, with Weiss offering a brief explainer on the token’s success:
Reason for #Tezos‘ success can be summed up in 4 key success factors: Flexible governance, bug-free code, 5% crypto “dividends” paid to #XTZ token holders, and decentralization.
— Weiss Crypto Ratings (@WeissCrypto) February 8, 2020
#Tezos stands alone as the most decentralized #POS crypto on the planet by far. It is one of the key factors why #XTZ has become so successful as a smart contract platform in less than two years of operation.
— Weiss Crypto Ratings (@WeissCrypto) February 8, 2020
However, Weiss wasn’t completely sold on Tezos, explaining its one key drawback (in their eyes) – throughput:
One area where #Tezos notably falls short is processing speed, which maxes out at just 50 transactions per second. Future updates may take care of this, but the proposals we’ve seen so far are unimpressive and lackluster.#XTZ #crypto #cryptocurrency
— Weiss Crypto Ratings (@WeissCrypto) February 8, 2020
They’re not wrong – in days where blockchain is supposedly knocking on the door of the likes of Visa in terms of transactions per second (the payment giant can process 65,000 transaction messages per second), only being able to process 50 sees them fall way short of what is required for anything like mainstream adoption.
Supporters rallied round the project, stating that updates were on the way that would take care of this issue:
Tezos working on it. Marigold a scaling solution for $XTZ is being worked upon
— CryptoIntelligenceIndia Yꜩ (@nirajhodler) February 8, 2020
Huh, that’s 7 times faster than BTC
— Bru (@_hauntology_) February 8, 2020
Bitcoin Halving Gets Weiss Excited
Talking of Bitcoin, Weiss also upgraded the big orange to an A- rating from a B, a change it put down to “improving fundamentals and positive price action ahead of Bitcoin’s next halving.”
This upgrade represents a continued uptrend from Bitcoin in the rankings since they were first introduced in January 2018, when it ranked BTC as C+ while blogging site token STEEM controversially received a B-. Not only has BTC overtaken its less illustrious colleague, STEEM has been downgraded all the way to BTC’s original rating of C+. Many would argue it’s about time. Whether or not the ratings actually matter to anyone however is another discussion altogether.
That’s great. But Weissrating… who cares about it ?
— Cisco (@cisco_gdz) February 7, 2020
