ALGO price
Some of the tokens have been allocated to the organizations that are developing the Algorand platform. The allocation includes the following:
There are three pools of the token that will be dispersed over time to users:
ALGO’s price started at $2.19 when it launched in Jun 2019, but the price quickly dropped to as low as $0.19 in August 2019, according to market data provider CoinMarketCap. As the crypto market picked up again in 2020, ALGO’s price surged, reaching a peak of $1.71 in February 2020. ALGO’s price hit its all-time high of $2.37 in June 2021.
How Algorand works
The Algorand blockchain operates using a type of consensus mechanism known as proof-of-stake (PoS). Simply put, a proof-of-stake blockchain gives users who stake an amount of the native cryptocurrency on that network (lock up tokens in a smart contract) the ability to validate transactions and create new blocks. For doing that, validators receive interest payments on their staked assets.
More specifically, Algorand’s consensus protocol works by selecting a block proposer and a set of voting committees at each block round to propose a block and validate the proposal, respectively. The proposer and committees are randomly chosen from the pool of all token holders (the accounts that hold ALGO), and the likelihood of being chosen is proportional to the account’s stake in the network (i.e., how many ALGO it has relative to the whole).
Key events and management
Venture capital firms Union Square Ventures and Pillar Venture Capital have also invested in Algorand.
