Tezos vs Ethereum – Differences and Similarities Between Tezos and Ethereum

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Tezos is also a decentralized blockchain network, just like Ethereum. It allows users to perform peer-to-peer transactions and is a valid and reliable space for making smart contracts. Tezos might look similar to Ethereum, but both are separate blockchains. 

In fact, Tezos is making its place in the market as an alternative to Ethereum. Along with this, the feature that makes it suitable and appropriate for becoming the alternative is its ability to get modified without any hard forks

How is Tezos Different From Ethereum?

Here are the factors that make Tezos completely different from Ethereum:

  • If you ever try to search for an alternative to coins of Ethereum on the internet, you will find many altcoins, including Tezos. Other blockchains are also trying to achieve goals similar to Tezos. Tezos seems to maintain its power and remain a competitor of Ethereum, but it is not based on it.
  • Ethereum separated itself from Bitcoin so that it could upgrade its network and correct the issues with its functions. Tezos also support this idea due to the importance of keeping the protocol evolving for the better. But in Tezos, proposals for upgrades are formally uploaded on the blockchain, and stakeholders vote in favour of or against them. If the proposal gets approved, it is automatically moved to the Tezos test net for confirmation. Voting by stakeholders is held and if it becomes successful, the upgrade is automatically implemented on the main network. The upgrade takes place without a hard fork.
  • Both the blockchains have a vast and advanced smart contract language that creates agreements around their tokens. Ethereum’s aimed to build a very low-level virtual machine EVM first and then develop high-level languages on it, while Tezos has its Michelson language, which has aspects of the low and high-level language.
  • Ethereum relies on proof-of-work, while Tezos on a pure proof-of-stake consensus protocol. Ethereum is also planning to move to proof-of-stake to rely on some bonded validators that create blocks. The validators earn rewards for the block formation on the network but would result in dilution of holdings of other participants. On the other hand, in Tezos’ proof-of-stake model, only the holdings of users who do not take part in consensus algorithms become diluted. 
  • Ethereum aims to be a thin protocol layer, while Tezos tries its best to be a fat protocol layer with several useful features.

Overall, one gets the impression that Ethereum tends to see developers as their users, while Tezos is more focused on the end-users themselves.

Also read: Tezos (XTZ) Price Prediction 2021 and Beyond – Will XTZ Reach $100?


  • Tezos is not based on Ethereum.
  • Tezos is positioning itself as an alternative to Ethereum.
  • Tezos is different from Ethereum due to its working models, upgrading mechanisms, and operating language.
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