What Is Algorand (ALGO)?

Algorand (ALGO) is a distributedledgerthat aims to remove the technical barriers in the blockchain and has a permissionless consensus mechanism. 

According to the Algorand whitepaper, the current blockchain faces the main challenges of the “blockchain trilemma”: security, scalability, and decentralization.

Algorand relies on randomness to solve the blockchain trilemma and uses the pure proof-of-stake (PPoS) algorithm built on a Byzantine agreement. A Byzantine agreement is a protocol for communication that allows the distributed system users to reach a consensus in the presence of malicious actors. PPoS helps achieve greater scalability without compromising the decentralization and security of the network while preventing a potential 51% attack. 

• Decentralization: Algorand does this by selecting validators randomly from all token holders. The PPoS algorithm automatically picks the nodes belonging to the next group that becomes eligible to add blocks. Everyone can be selected by the system, thus maintaining decentralization on the platform. This ensures security (an important element in the trilemma), and no one knows who the next validators will be. On the platform, the PPoS algorithm uses staking to allow every token holder to potentially become a block validator. Thus, all users hold an equal chance to be chosen by the system. In this way, the network ensures decentralization. 

• Scalability: Currently, Algorand processes over 1,200 transactions per second and aims to process 3,000 transactions per second with instant finality.

• Security: Algorand is an unforkable blockchain that enables a high level of security.

ALGO is the native utility token of the Algorand network. The token is used to secure the consensus used to build each block on the platform and pay for every transaction. The platform aims to use the token to govern the growth of the Algorand ecosystem and as governance rewards for those who commit to voting as part of governing.

History of Algorand (ALGO)

Silvio Micali is the founder of the platform and has been an MIT faculty member since 1983 in the Electrical Engineering and Computer Science Department. He is the co-inventor of probabilistic encryption, zero-knowledge proofs, verifiable random functions. Steve Kokinos is the CEO and responsible for the overall business vision and strategy. W. Sean Ford is the COO and responsible for go-to-market execution and operations, including product management, engineering, marketing, and global community development. He also ran the Integration Management Office for LogMeIn's acquisition of Jive Communications in early 2018.

The Algorand Foundation is a not-for-profit organization with a vision of a frictionless, borderless economy built on public, decentralized blockchain technology. The Algorand Foundation has built the Algorand blockchain protocol in partnership with Algorand Inc.

On the Algorand platform, every user receives rewards proportional to their stake for every block committed to the chain. Through this process, Algorand aims to encourage users to join the Algorand platform and accelerate the path to decentralization.

How Many Algorand (ALGO) Tokens Are There?

The total max supply of ALGO is 10 billion.

How to Buy Algorand (ALGO)

Algorand (ALGO) can be traded at an exchange like Coinbase.