Algorand (ALGO) – Crypto news in French

Algorand (ALGO) - Actualités crypto en français

What is Algorand? (ALGO)

Algorand is one of several recent projects aiming to expand the possible use cases of cryptocurrencies by accelerating the speed of transactions and reducing the time it takes for transactions on its network to be considered final.

Algorand was officially launched in 2019 and seeks to achieve these attributes by making decisions that deviate from traditional cryptocurrency design.

Most notable is that Algorand distributes the ALGO cryptocurrency that it introduces into its economy with each new block to anyone who holds a certain amount of this currency in their wallets.

Algorand also allows users to create smart contracts (programmatic agreements to create decentralized applications) and tokens that can represent new or existing assets.

Such features managed to attract a large number of venture investors into ALGO's first private sales, organized to finance the development of the platform.

Who developed ALGO?

Founded by computer scientist and professor Silvio Micali at the Massachusetts Institute of Technology (MIT), Algorand is perhaps rare in that it was created by an established academic who already had a notable career behind him at the time of its launch.

Micali, for example, received the 2012 Turing Award for his work with his colleague Shafi Goldwasser, a notable award in the world of computing.

According to the Association for Computing Machinery, which gives the award each year, Micali is credited with helping make cryptography a “more precise science” by formalizing fundamental ideas about some of the field's essential building blocks.

In 2017, Micali authored the Algorand white paper in collaboration with Professor Jing Chen of Stony Brook University. This fundamental work has been developed by other academics and cryptographers in white papers available on the official project website.

This work is funded by the Algorand Foundation, a Singapore-based company established to develop the technology and which received an allocation of ALGO tokens for its efforts.

Why is Algorand valuable?

Algorand is a new public blockchain, which means that its technology is new, but it has not yet been tested much in real market conditions.

Users may consider the ALGO cryptocurrency to have value if they believe that due to its technical specifics, Algrorand is likely to be the blockchain of choice for developers who want to design and launch new types of decentralized applications.

Investors may also consider Algorand as a viable part of a cryptocurrency portfolio if they believe that proof-of-stake blockchains, which reduce the costs of participating in operating a blockchain, will ultimately be more successful on the market.

The Token Economy

The Algorand Foundation, the non-profit organization that oversees and funds the protocol's development, says only 10 billion units of its ALGO cryptocurrency will ever be created.

Algorand maintains a block explorer that officially counts its circulating stock.

Below is a distribution plan that the foundation hopes to finalize within five years of implementing the protocol:

Total token distribution

3.0 billion
Algos to be put into circulation (first by auction) during the first 5 years

1.75 billion
estimation of participation bonuses (distributed over time)

2.5 billion
Relay node runners (distributed over time)

2.5 billion
Algorand Foundation & Algorand, Inc.

0.25 billion
End user assignments (distributed over time)

Additionally, the Algorand Foundation has released more details on how distributions work and how long users can expect to receive new funds for their participation in the blockchain.

What is Algorand used for?

The public version of the Algorand blockchain was developed in the first place to enable other developers to create new types of applications powered by cryptocurrency.

The platform has been used in real estate, copyright, microfinance and more. A more detailed summary of use cases is available on the official Algorand Foundation website.

Algorand's code is open source and can be cloned, copied, or otherwise used in private or permissioned blockchains.