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Algorand is one of a number of more recent projects 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 launched in 2019, aims to achieve these qualities by making choices that differ from the way cryptocurrencies have typically been designed.
The most notable feature is that everyone who has a certain amount of the ALGO cryptocurrency in their wallets is given some of it by Algorand, which it introduces into its economy with each new block.
The strategy was effective in luring a variety of venture investors to early private sales of ALGO, conducted to raise money for the platform’s development.
Additionally, Algorand gives users the ability to create tokens that can stand in for both new and old assets, as well as smart contracts, which are computer programs that create decentralized applications.
Algorand to USD Chart
The main goal of the Algorand blockchain’s public version is to give other programmers the ability to build novel cryptocurrency-powered applications.
As such, Algorand’s code is open-source and may be copied, duplicated, or used in other ways in private or permissioned blockchains.
Algorand is a brand-new public blockchain, so despite being novel, its technology has not yet undergone extensive testing in actual market settings.
That said, the platform has been applied to various fields, including microfinance, copyright, and real estate. The Algorand Foundation’s official website has a more thorough summary of use cases.
If users think that Algrorand’s technical features will make it likely that developers who want to create and release new varieties of decentralized applications will choose it as their blockchain of choice, they may find value in the ALGO cryptocurrency.
Additionally, Algorand may also appeal to investors who think proof-of-stake blockchains which lower the cost of participation in a blockchain’s operation, will ultimately outperform other blockchain technologies in the market.
Who is Silvio Micali?
Algorand, developed by computer scientist Silvio Micali of MIT, is perhaps unique in that it was founded by a seasoned academic who already had a prestigious career at the time of its introduction.
For instance, for his work with Shafi Goldwasser, Micali received a 2012 Turing Award, a prestigious honor in the field of computer science.
Micali is credited with helping to make cryptography a more “precise science” through work that formalized fundamental ideas about some of the crucial building blocks of the field, according to the Association for Computing Machinery, which bestows the award each year.
In 2017, Micali collaborated with Jing Chen, a professor at Stony Brook University, to write the Algorand white paper. Other academics and cryptographers have developed this fundamental work in white papers that are accessible on the project’s official website.