Is Algorand a Good Investment?

tl;drAlgorand is a proof-of-stake (PoS) blockchain that supports smart contracts. Its protocol uses Pure PoS, through which users are selected on a random and secret basis to propose blocks and vote on proposals. In that way, the blockchain ensures that each user’s influence on the choice of a new block is proportional to the user’s stake in the system. Founded by MIT professor and Turing Award recipient Silvio Micali in June 2019, Algorand is designed as a scalable and secure blockchain free of potential governance issues such as forks. The network’s Algorand 2.0 update, released in late 2019, adds decentralized finance (Defi) features and smart contracts. Algorand's (ALGO) price today is $1.88 with a 24-hour trading volume of $422,614,013. ALGO price is down -1.2% in the last 24 hours. It has a circulating supply of 6.2 Billion ALGO coins and a total supply of 6.62 Billion. At the time of writing this post (Sep 13, 2021), ALGO's Return On Investment (ROI) over the past year was 516%, underperformed in 'Cryptocurrency, Smart Contract Platform' categories which had 1483% growth over the past year. It underperformed in the crypto market which had 12604% growth over the past year. ALGO's Twitter account saw a growth of 63% over the last months in the number of followers, which is considerable. Also, the number of ALGO Reddit subscribers increased by 67%. However, the Telegram channel users had a 115% growth over the last months. ALGO 's Market Capitalization rank followed an overall increasing trend, starting at the rank of 36-45 on July-Aug 2021, reaching 44 in September 2021. However, by the time of writing this post, ALGO 's market cap rank is about 14, and its value is $2,333,191,860 Billion. Moreover, its liquidity score is 65% above the market's average score, making it relatively easier to sell in bear markets.
Is Algorand a Good Investment?
Is Algorand a Good Investment?
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Introduction

Algorand is a proof-of-stake (PoS) blockchain that supports smart contracts. Its protocol uses Pure PoS, through which users are selected on a random and secret basis to propose blocks and vote on proposals. In that way, the blockchain ensures that each user’s influence on the choice of a new block is proportional to the user’s stake in the system. Founded by MIT professor and Turing Award recipient Silvio Micali in June 2019, Algorand is designed as a scalable and secure blockchain free of potential governance issues such as forks. The network’s Algorand 2.0 update, released in late 2019, adds decentralized finance (Defi) features and smart contracts here.

Introducing the Algo - possibly one of the most important native tokens ( coins ) in the world of cryptocurrencies today. The Algo is the native token of the Algorand blockchain. As such, the Algo has all the key features of the Algorand blockchain itself.

  • It's super-fast: every transaction with Algo is complete in ~4 seconds.
  • It's scalable: whether you are the first transaction or the 10 millionth transaction in a day, your Algo transaction will still take place in ~4 seconds
  • It's secure: Algorand and Algo transactions are secured by the unique Pure Proof-of-Stake consensus that powers the Algorand blockchain.
  • It’s almost free to use: unlike many blockchains, where every transaction is hugely expensive, every Algo transaction today, no matter the size, costs a fraction of a penny.

How Does Algorand Work?

One thing that makes Algorand distinctive is its use of “pure-proof-of-stake”. This is distinct from “proof of work,” where the blockchain is maintained through computers solving complicated math problems in order to generate new blocks and confirm transactions. This is roughly how Bitcoin mining works.

While cryptographically quite secure, this method requires a lot of computing power and energy use to work properly, according to environmentalists and proponents of alternative set-ups. The distinction between proof of work and proof of stake is one of the main dividing lines between cryptocurrency types. With pure-proof-stake, transactions and new blocks can happen faster and more efficiently. Algo holders are randomly selected who then “validate and approve” each subsequent block in the chain. This group of users is randomly selected every time there’s a new block.

This process allows the Algorand blockchain to be global, decentralized, and secure, according to the network’s developers. The more Algo a user holds, the more likely they are to be selected to verify and validate new blocks and transactions. This process allows Algorand to approve and process transactions in seconds, as opposed to minutes with Bitcoin.

Financial Analysis:

Algorand's (ALGO) price today is $1.88 with a 24-hour trading volume of $422,614,013. ALGO price is down -1.2% in the last 24 hours. It has a circulating supply of 6.2 Billion ALGO coins and a total supply of 6.62 Billion. At the time of writing this post (Sep 13, 2021), ALGO's Return On Investment (ROI) over the past year was 516%, underperformed in 'Cryptocurrency, Smart Contract Platform' categories which had 1483% growth over the past year. It underperformed in the crypto market which had 12604% growth over the past year.

Projects with public Github account have more transparency and reliability. Regularly, investing in projects with multiple contributors and commits is considered a safer and better investment (this means they are busy working and building the project). According to its Github account, there are 60 contributors to the development of ALGO.

Another critical factor in the success of any project is gaining public attention. Our data shows that ALGO's Twitter account saw a growth of 63% over the last months in the number of followers, which is considerable. Also, the number of ALGO Reddit subscribers increased by 67%. However, the Telegram channel users had a 115% growth over the last months.

Over the last five months, ALGO 's Market Capitalization rank followed an overall increasing trend, starting at the rank of 36-45 on July-Aug 2021, reaching 44 in September 2021. However, by the time of writing this post, ALGO 's market cap rank is about 14, and its value is $2,333,191,860 Billion. Moreover, its liquidity score is 65% above the market's average score, making it relatively easier to sell in bear markets.

You are saying that Algorand Token is the best cryptocurrency to invest in?

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