These smart contracts have allowed developers to create a vast ecosystem of decentralized applications (dApps), termed as such because they are controlled by the programming logic written into their smart contracts rather than an individual or company. Smart contracts can define rules and automatically enforce them, but interactions with them are not reversible. They function similarly to a vending machine that, when supplied with the correct amount of funds and the right selection, will give the customer the desired item. ![]() Smart contracts are transparent and visible to all parties on-chain. They allow for the automatic execution of a predefined action when conditions are met. What are Smart Contracts?Smart contracts were added to blockchains, starting with Ethereum, in order to convert cryptocurrencies into programmable money. This is managed thanks to the smart contract language TEAL (Transaction Execution & Approval Language) and the implementation of the Algorand Virtual Machine to aid developers. How Does Algorand Work?Algorand is designed to scale without compromising performance and targets enterprise use cases on custom networks. Micali authored and published the Algorand whitepaper in 2017, with contributions from Jing Chen, the Head of Theory Research and Chief Scientist at the Algorand Foundation. With his background alone, Micali could claim to be one of the most qualified people in cryptocurrency, and the Algorand protocol derives mostly from his own work. ![]() Micali is also a 2012 winner of the Turing Award for his contributions to the theory and practice of secure two-party computation, electronic cash, cryptocurrencies, and blockchain protocols. Who are the Founders of Algorand?Algorand was founded by Silvio Micali, a professor of computer science at the Massachusetts Institute of Technology. To remedy the resulting backlash from these hedge funds’ actions, the Algorand Foundation established a program where all ALGO sold in the ICO could be returned for 90% of the value paid.Īround 20 million of the 25 million ALGO sold at the ICO were returned under this program. On June 26, 2016, The Algorand Foundation wrote a letter to the investor community, claiming that early backers' actions-including token selling and short selling-had introduced unnecessary risks into the project. Still, private placement investors who had purchased ALGO between $0.05 and $0.50 began selling. In the 2019 ICO, 25 million ALGO were sold, but the price collapsed immediately afterward as vesting periods ended and early (mostly institutional) investors were able to dump their tokens on retail investors.Īccording to Global Coin Research, Algorand’s vesting terms were for close to two years. This began with $4 million from Pillar Venture Capital and Union Square Ventures in a seed round, then another sale as a venture round, raising over $60 million. However, prior to this ICO, the Algorand Foundation had already funded the project through a series of ALGO auctions to private investors. ![]() With this ICO, the Algorand Foundation became the first organization to conduct a fully transparent global auction on its own blockchain. In parallel, Algorand ran an Initial Coin Offering at $2.4 per ALGO that closed on the 19th of that month. When Was Algorand Launched?Algorand went to the mainnet in June 2019, following its testnet launch just under a year previously. In the short term, a system of Bridges is in development to enable trustless interoperability with Ethereum and Bitcoin. Cost is one significant barrier, and ALGO is able to achieve a very low network fee of just 0.001 ALGO.Ĭompatibility is another major barrier that Algorand is attempting to break down, with the long-term plan of being able to verify other chains via Algorand’s smart contracts. With a block creation time of only 4 seconds, Algorand is one of the fastest blockchains in the industry and focuses on the elimination of barriers. What is Algorand (ALGO)?Algorand is a decentralized, permissionless, pure proof-of-stake blockchain-based network and ecosystem that aims to be a digital money platform featuring speed, scale, security, and transparency.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |