View profile

Future of finance: Algorand in 5 🖐

Future of finance: Algorand in 5 🖐
By Fernando Gutierrez • Issue #64 • View online

What is Algorand (ALGO)? 🌳
Algorand is a blockchain platform focused on innovative financial products, protocols, and exchanges of value.
Most of its usage comes from partnerships with companies that integrate the protocol to create tokens, NFTs, stablecoins, securities, or currencies.
The Algorand blockchain is secure, flexible, performant, low fee (fixed at 0.001 ALGO, which is around 0.001 USD at current prices), and carbon negative.
It can do above 1000 transactions per second and block finality is achieved in less than 4.5 secs. A 2021 update will improve that to 46000 transactions per second and 2.5 seconds block finality.
Algorand offers stateless and stateful smart contracts, atomic swaps, and issuance of assets.
Algoraland Standard Assets (ASA) allow fungible or not fungible asset issuance that competes with the Ethereum ERC20 standard.
The issuer has a granular set of controls to fulfill any business or compliance need. Users are protected from unwanted transfers because those can have risky legal and tax consequences.
The consensus mechanism is Pure Proof of Stake (PPoS).
Block producers are randomly selected among holders (weighted by their stake) to participate in committees that validate and publish the blocks. They know if they participated after the fact so they can’t misbehave.
ALGO is used to pay for transactions and smart-contract computations. All participants in consensus formation receive tokens instead of just validators like in PoS.
It has a fixed supply, and all tokens are minted already, but they unlock gradually.
A few links
Last few words
Of course, this is not financial advice yada yada yada.
If you were not clear about that without me saying, you’re probably beyond salvation, but I had to try. If you invest, you’re on your own.
I’m catching up with crypto concepts and projects daily for 50 days straight. Please reply to this email if there is something that you would like me to cover.
Or just to say hi, that would be nice 😀
Cheers!
Did you enjoy this issue?
Fernando Gutierrez

I'm catching up with crypto projects and concepts in a few paragraphs for at least 50 days straight.

In order to unsubscribe, click here.
If you were forwarded this newsletter and you like it, you can subscribe here.
Powered by Revue