Algorand is just one of several more recent initiatives that aim to increase the range of potential applications for cryptocurrencies by speeding up transaction processing and shortening the time it takes for a transaction to be considered final on the network.

Algorand, which will launch formally in 2019, aims to attain these characteristics by making choices that depart from the way cryptocurrencies have typically been created.

The most significant feature is that everyone who has a specific quantity of the ALGO money in their wallets gets given some of it by Algorand, which it puts into its economy with each new block.

Additionally, Algorand gives users the ability to generate tokens that may stand in for both new and old assets as well as smart contracts, which are computer programs that create decentralized apps.

Such characteristics were effective in luring a variety of entrepreneurial investors to initial private sales of ALGO undertaken to finance the platform’s growth.

What makes Algorand valuable?

Algorand is a brand-new public blockchain, therefore although original, its technology has not yet undergone extensive testing in actual market settings.

If users think that Algrorand’s technological features will make it likely that developers who want to create and release new varieties of decentralized apps would choose it as their blockchain of choice, they may discover value in the ALGO token.

If investors think that proof-of-stake blockchains, which minimize the cost of participating in a blockchain’s operation, will ultimately prove more popular in the market, they may also regard Algorand as a potential addition to a cryptocurrency portfolio.

Economy of Tokens

The non-profit Algorand Foundation, which is in charge of managing and funding the protocol’s development, claims that there will only ever be 10 billion ALGO units produced.

Algorand runs a block explorer that keeps track of the quantity in circulation.

Who is the creator of ALGO?

Algorand was founded by computer scientist Silvio Micali, a professor at the Massachusetts Institute of Technology (MIT), and is likely unique in that it was founded by a renowned academic who already had a renowned career at the time of its inception.

For his work with Shafi Goldwasser, Micali, for instance, received a 2012 Turing Award, a prestigious honor in the field of computer science.

Micali is credited for making cryptography a more “precise science,” based on the Association for Computing Machinery, which bestows the medal each year, via work that codified fundamental ideas about some of the crucial building elements of the discipline.

In 2017, Micali collaborated with Jing Chen, a professor at Stony Brook University, to write the Algorand white paper. Other scholars and cryptographers have developed this fundamental work in white papers that are accessible on the project’s official website.

The Algorand Foundation, a company based in Singapore established to promote the technology, provided funding for this project in exchange for an allocation of ALGO tokens.

Who or what uses Algorand?

The main goal of the Algorand blockchain’s public version is to provide other programmers the ability to build novel cryptocurrency-powered apps.

The platform has also been utilized in microfinance, copyright, and real estate. The official website of the Algorand Foundation has a more thorough overview of use cases.

Algorand’s code is open-source and may be copied, cloned, or utilized in various ways in private or permissioned blockchains.

Distribution of all tokens:

• 3.0 billion – Estimated number of algorithms to enter the market during the next five years, first through auctions

• 1.75 billion – Estimated benefits for participation

• 2.5 billion – Runners in the relay (distributed over time)

• 2.5 billion – Algorand, Inc. and the Algorand Foundation

• 0.25 billion – End user grants (distributed over time)

Link: https://www.algorand.com/