{"id":6462,"date":"2022-08-22T21:49:16","date_gmt":"2022-08-22T18:49:16","guid":{"rendered":"https:\/\/godex.io\/blog\/?p=6462"},"modified":"2022-11-11T16:33:30","modified_gmt":"2022-11-11T14:33:30","slug":"what-is-algorand-algo-algo-review","status":"publish","type":"post","link":"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review","title":{"rendered":"What is Algorand (ALGO)? Algo review"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_25_1 counter-hierarchy counter-decimal ez-toc-grey\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" style=\"display: none;\"><label for=\"item\" aria-label=\"Table of Content\"><i class=\"ez-toc-glyphicon ez-toc-icon-toggle\"><\/i><\/label><input type=\"checkbox\" id=\"item\"><\/a><\/span><\/div>\n<nav><ul class=\"ez-toc-list ez-toc-list-level-1\"><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#algorand_background\" title=\"Algorand Background\">Algorand Background<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#what_is_algorand_algo\" title=\"What Is Algorand (ALGO)?\">What Is Algorand (ALGO)?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#how_does_algo_work\" title=\"How Does Algo Work?\">How Does Algo Work?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#where_to_store_algorand_coins\" title=\"Where to Store Algorand Coins?\">Where to Store Algorand Coins?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#algorand_pros_and_cons\" title=\"Algorand Pros and Cons\">Algorand Pros and Cons<\/a><ul class=\"ez-toc-list-level-3\"><li class=\"ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#algorand_pros\" title=\"Algorand Pros\">Algorand Pros<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#algorand_cons\" title=\"Algorand Cons\">Algorand Cons<\/a><\/li><\/ul><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#does_algorand_have_a_future\" title=\"Does Algorand have a future?\">Does Algorand have a future?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-2\"><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#faq\" title=\"FAQ\">FAQ<\/a><ul class=\"ez-toc-list-level-3\"><li class=\"ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#is_algo_crypto_a_good_investment\" title=\"Is ALGO crypto a good investment?\">Is ALGO crypto a good investment?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#can_algo_be_mined\" title=\"Can ALGO be mined?\">Can ALGO be mined?<\/a><\/li><li class=\"ez-toc-page-1 ez-toc-heading-level-3\"><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/godex.io\/blog\/what-is-algorand-algo-algo-review\/#is_algo_legit\" title=\"Is ALGO legit?\">Is ALGO legit?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"algorand_background\"><\/span><span style=\"font-weight: 400;\">Algorand Background<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Let us start with a little comeback. In 2015 Vitalik Buterin launched Ethereum, a home for many blockchains. Using the universal token ERC-20, every developer could launch an application based on Ethereum.\u00a0 It opened a new stage in the crypto world development.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Ethereum became a home for many crypto projects, but with growth it faced the issue of scalability. Ethereum network uses proof-of-work protocol for transaction verification. It means with the network growth the transactions become slow. Besides, the P-o-W protocol is linked with high energy consumption and negative environmental impact.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Of course, Ethereum could not stay a sole network for crypto applications. Many companies decided to compete with Ethereum using the lessons from the pioneer network. Algorand is one of Ethereum competitors, a blockchain platform and a native cryptocurrency. It uses Proof-of-Stake protocol and has negative environmental impact. The experts consider ALGO as a good coin for portfolio.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"what_is_algorand_algo\"><\/span><span style=\"font-weight: 400;\">What Is Algorand (ALGO)?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">In 2017 a professor at MIT and well-known cryptographer Silvio Micali, founded his own blockchain platform with the digital currency, <a target=\"_blank\" rel=\u201dnofollow,noopener\u201d href=\"https:\/\/www.algorand.com\/\">Algorand<\/a> and ALGO. His main idea was to create a blockchain platform for quick transactions, like MasterCard or Visa, and unlike slow and energy consuming Ethereum.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Algorand can host other crypto projects. Correspondingly, it became a home for crypto projects and currencies, and became the direct competitor to Ethereum.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Key fact about Algorand:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It functions as major payment processor<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Algorand uses Proof-of-Stake protocol<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">ALGO is a native token for Algorand platform<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">7 billion ALGO are in circulation now, the total supply is $10 million<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Any fork or split on the Algorand blockchain is prohibited<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"how_does_algo_work\"><\/span><span style=\"font-weight: 400;\">How Does Algo Work?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As every platform that can host numerous crypto projects, Algo removes the barriers between the projects and strives to increase trust in the network.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">ALgorand also compresses blockchain information to increase the transaction speed. As a result,<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Also, Algorand immediately finalizes transactions within the network. It uses the modernized Pure Proof-of-Stake protocol \u2013 it means that the system uses the validators randomly within the pool to increase the security level.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"where_to_store_algorand_coins\"><\/span><span style=\"font-weight: 400;\">Where to Store Algorand Coins?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">You can store ALGO, or <a target=\"_blank\" rel=\u201dnofollow,noopener\u201d href=\"https:\/\/godex.io\/coin\/algo\">Algorand coins<\/a>, in dozens of cold and hot wallets. One of them is MyALGOwallet, which is the best for browser access. Ledger, one of the most popular wallets in the world, is also compatible with ALGO coins. You can also use Trust Wallet or Atomic wallet. People from Algopulse \u2013 online media related to Algorand \u2013 recommend Pera Wallet.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Remember that ALGO holders, who keep their ALGO coins in wallets, get a reward <\/span><span style=\"font-weight: 400;\">every time a new block is added to the Algorand blockchain.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"algorand_pros_and_cons\"><\/span><span style=\"font-weight: 400;\">Algorand Pros and Cons<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As each financial asset, ALGO coin has its pros and cons. While Pros are dominating for ALGO, this coin looks attractive for the investors. However, they also should be aware of the contras and weak places.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"algorand_pros\"><\/span><span style=\"font-weight: 400;\">Algorand Pros<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">\u00a0<\/span><span style=\"font-weight: 400;\">Decentralized platform. As you know, all fiat currencies depend on many factors: national economy, central bank policy, market competition between the countries, and more. Also, fiat money is relatively easy to control by the government. Algorand as the decentralized financial system realizes the long-term dream about money without governmental control.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">High technology. Global economy becomes more transparent, seamless, and digital, and it needs high-tech financial solutions to reduce trading and financial barriers between the countries and get the competitive benefit of the competitors.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Scalability. Ethereum faced the issue of low transaction speed with the growth. It uses Proof-of-Work protocol and it cannot scale without losing the transaction speed. That is why Ethereum plans to switch to Proof-of-Work protocol. At the same time, Algorand uses a modified version of Proof-of-Stake protocol, pure-Proof-of-Stake protocol. The average transaction time in Ethereum network is 14 seconds, for Algorand it is 4 seconds.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Science behind the project. Algorand cooperates with the world-known companies for the better algorithms in the project.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Environment protection. Many crypto currencies are harmful for the environment because of the huge energy consumption for mining and other transactions. ALGO has got the negative carbon footprint, it means that it pays a package to environment protection more than it consumes.<\/span><\/li>\n<\/ol>\n<h3><span class=\"ez-toc-section\" id=\"algorand_cons\"><\/span><span style=\"font-weight: 400;\">Algorand Cons<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">As each crypto currency, ALGO can demonstrate the price volatility. Sudden jumps up and down can be risky for short-term investors.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">After the collapse of Terra platform, the future of algorithmic coins is unclear. Terra has many common features with Algorand: its price was defined by the complex algorithm, and it provided the services of financial transactions. When Terra collapsed in May 2022, investors stepped down from algocoins. It seems that currently, the algorithmic model cannot guarantee liquidity.<\/span><\/li>\n<\/ol>\n<h2><span class=\"ez-toc-section\" id=\"does_algorand_have_a_future\"><\/span><span style=\"font-weight: 400;\">Does Algorand have a future?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As we mentioned above, the world needs decentralized payment systems badly. So, any project that offers DeFI solution, can live for years. Moreover, the PPOS protocol behind Algorand makes it a \u201cgreen cryptocurrency\u201d, secure, scalable, and fast. So, the ALGO coin has a good perspective for a long life and development.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">From the other side, the recent collapse of Terra platform resulted in the growing skepticism among the investors towards algorithmic coins. Probably, the idea of the decentralized financial platform is not mature enough, so its future is vague and unclear.<\/span><\/p>\n<p>&nbsp;<\/p>\n\n\t<div class='traid_link'>\n\t\t<div class='traid_link-info'>\n\t\t\t<p class='traid_link-header'>Get <\/p>\n\t\t\t<p class='traid_link-text'>Start a Cryptocurrency exchange. Try our crypto exchange platform<\/p>\n\t\t<\/div>\n\t\t<a target='_blank' href='https:\/\/godex.io\/exchange\/btc-to-algo'>Exchange ><\/a>\n\t<\/div>\n\t\n<h2><span class=\"ez-toc-section\" id=\"faq\"><\/span><span style=\"font-weight: 400;\">FAQ<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"is_algo_crypto_a_good_investment\"><\/span><span style=\"font-weight: 400;\">Is ALGO crypto a good investment?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Yes, ALGO is a good investment. This crypto currency has a great idea behind it. Quick transaction processing is in great demand in the crypto world. While the traditional payment systems like Visa or Mastercard can easily adjust to the growing number of clients, many blockchain platforms face the problem of slow transaction processing.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Waiting for hours until the transaction approval is inappropriate in the modern world. However, a proof-of-work protocol left not enough room for improvement. Algorand uses a proof-of-stake consensus protocol, so it can process transactions immediately. So, this project has a future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Many experts even think it is currently undervalued. Now it is trading at $0.33-0.34, but it has a potential to grow. Some optimistic forecasts predict ALGO prices to grow ten times in five years.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"can_algo_be_mined\"><\/span><span style=\"font-weight: 400;\">Can ALGO be mined?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Algorand platform uses a proof-of-stake consensus mechanism. It means it uses validators (stakeholders) instead of miners. So, ALGO is rather validated than mined.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to the initial plan, only 10 million ALGO coins will appear, while 7 millions are already in circulation.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"is_algo_legit\"><\/span><span style=\"font-weight: 400;\">Is ALGO legit?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Both Algorand and ALGO are legit. The legitimacy of trading and ownership for ALGO depends on the country, but in general ALGO is as legal as Bitcoin. It is also a promising and scalable technical project.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, the investors should be careful and attentive. There is at least one fraudulent project that pretends to be a part of the ALGO ecosystem. We mean \u00abAlgorand ecology\u00bb that has no affiliation with the Algorand community. This project illegally uses Algorand name to win the trust of the investors, but it appears to be a scam.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Table of Contents Algorand BackgroundWhat Is Algorand (ALGO)?How Does Algo Work?Where to Store Algorand Coins?Algorand Pros and ConsAlgorand ProsAlgorand ConsDoes Algorand have a future?FAQIs ALGO crypto a good investment?Can ALGO be mined?Is ALGO legit? Algorand Background Let us start with a little comeback. In 2015 Vitalik Buterin launched Ethereum, a home for many blockchains. Using [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":6463,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[132,133],"tags":[1832,1079,505],"yst_prominent_words":[],"class_list":["post-6462","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-currencies","category-crypto-talks","tag-algorand","tag-crypto-talks","tag-cryptocurrency"],"lang":"en","translations":{"en":6462},"pll_sync_post":[],"_links":{"self":[{"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/posts\/6462","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/comments?post=6462"}],"version-history":[{"count":2,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/posts\/6462\/revisions"}],"predecessor-version":[{"id":6787,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/posts\/6462\/revisions\/6787"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/media\/6463"}],"wp:attachment":[{"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/media?parent=6462"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/categories?post=6462"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/tags?post=6462"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/godex.io\/blog\/wp-json\/wp\/v2\/yst_prominent_words?post=6462"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}