Skip to main content

Is Algorand a good investment? 5 reasons that speak for it



Algorand is a leading blockchain project aiming to become the world's greenest platforms. It is an intelligent chain of contracts that uses the Algorand Virtual Machine (AVM), which offers numerous possibilities for scaling and accelerating projects. According to its website, Algorand can process over 1,000 transactions per second (tps).

Algorand is recognized as one of the largest smart contract platforms in the world. According to CoinGecko, it has a total market cap of over $4.7 billion. Like most digital coins, ALGO has not had a good year as its price has plummeted more than 60%. It's also down over 77% from its all-time high and is trading near its lowest level since February 2021.


There are numerous reasons why the Algorand price has fallen sharply over the past few months. First, there is a significant risk that the Federal Reserve will adopt a more hawkish tone. In fact, the bank has already done so by conducting two rate hikes.


The last rate hike in May was a whopping 0.50%. The bank also decided to raise interest rates further and implement a quantitative tightening policy. Historically, cryptocurrencies like Algorand tend to underperform during periods of high interest rates.


Second, Algorand struggles with increasing competition and the fact that its ecosystem is slightly smaller than its peers. Some of Algorand's biggest competitors are Ethereum, Cronos, Solana, and Cardano. While these networks have a Total Value Locked (TVL) in the billions, Algorand has a relatively small one.


With that in mind, let's look at some of the top reasons why Algorand is a good investment.


Algorands World Cup presence

The World Cup is one of the biggest sporting events in the world with billions of viewers worldwide. Recent data shows that over 1.1 billion viewers watched the final between France and Croatia. This is a remarkable number considering that the world has a population of more than 8 billion. Also, the World Cup is watched by more people than those who watch Formula 1 and the Super Bowl.


In May 2022, Algorand announced that it had signed a deal with FIFA to become a main sponsor of the World Cup. As a result, its logo is seen by millions of people around the world. At the same time, FIFA will use Algorand's technology to create its blockchain initiatives such as Non-Fungible Tokens (NFT).


Therefore, we believe that the Algorand price will steadily recover during and after the World Cup. This will happen as more people decide to buy the coin during the games.


While this is a good catalyst, it's worth noting that cryptocurrencies, which have appeared in most events, have only had a temporary boost. For example, Cronos, formerly known as Crypto.com Coin, only saw a marginal gain when the company sponsored the Super Bowl.


Its growing ecosystem

Algorand is a good investment due to its growing ecosystem across the board. Like Solana and Avalanche, Algorand has been adopted by all manner of developers. These creators create applications across all industries including Automated Market Makers (AMM), Analytics, Decentralized Autonomous Organizations (DAO), DEX, Governance, Oracle, and NFTs, among others.


The catalog of all apps created in Algorand has grown rapidly in recent months. Some of the most popular blockchain platforms built with Algorand include AlgoFund, AlgoLaunch, Choice Coin, Algofi, Flex NBA, The Drag Racing League, and Folks Finance, among others. While most of these projects are still in their infancy, chances are they will continue to grow in the years to come.


It is a Proof of Stake platform

The other reason the Algorand price will continue to perform well is that it was created based on pure Proof-of-Stake (PoS) consensus. This is a protocol that allows new coins to be minted through the use of validators. It differs from a proof-of-work methodology, which allows coins to be created by solving complex mathematical solutions.


Proof-of-Stake is said to be a better approach, which explains why Ethereum is migrating from its PoW platform to PoS.


There are several advantages of Algorand as a PoS platform. First, it allows investors to earn a return simply by holding the coin. This process, known as staking, allows people to earn up to 12% APY. Second, Algorand makes it significantly faster. It can handle over 1,000 transactions per second, while Ethereum can only handle less than 20.


In addition, Algorand's PoS system helps make it climate-friendly. In fact, the platform uses ClimateTrade to offset its carbon footprint. ClimateTrade is often used by companies looking to reduce their footprint.


Algorand is widely used

In addition, Algorand is offered by most brokers and exchanges. It is available on leading centralized exchanges such as Coinbase, Crypto.com and Binance. These are some of the most popular exchanges in the world. At the same time, it is possible to buy and trade Algorand on leading decentralized exchanges such as Uniswap and PancakeSwap.


Learn more about how to trade cryptocurrency .


Algorand has a strong community

Finally, Algorand has one of the largest communities in the blockchain industry. His main Twitter account has over 250,000 followers, which is more than most cryptocurrencies. A closer look at its network also reveals that it has millions of wallets. At the same time, Algorand launched a $250 million grant program to incentivize developers.

My Top Picks
Honeygain - Passive earner that pays in BTC or PayPal
MandalaExchange -The Best no KYC crypto Exchange! 
BetFury - Play And Earn BFG for daily Bitcoin and ETH dividends!
Pipeflare - Faucet that pays in ZCash and Matic, Games pay in DAI
Womplay - Mobile dApp gaming platform that rewards in EOS and Bitcoin
Cointiply - The #1 Crypto Earning Site
Torum - Join the latest Social Network and earn TRM for Free! 
LiteCoinPay - The #1 FaucetPay earner for Litecoin 
LBRY/Odysee - YouTube Alternative that lets you earn Money by viewing videos!
FaucetPay - The #1 Microwallet Platform
FREEBTC - The #1 FaucetPay earner for Satoshi's
FaucetCrypto - An earning/faucet site that pays out instantly
FireFaucet - An earning site that pays better for some than Cointiply
DogeFaucet - Dogecoin Faucet
xFaucet - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BCH, BNB, ZEC, FEY - Claim every 5 minutes
Konstantinova - BTC, ETH, LTC, Doge, Dash, Tron, DGB, BNB, ZEC, USDT, FEY, 25 Claims Daily

Comments

Post a Comment

Popular posts from this blog

The 5 largest platforms for non-fungible token (NFT) collectibles

  Since the beginning of 2021, non-fungible tokens (NFT) have had no holding back and the sector is setting new records almost every day.  More and more artists, stars and brands are realizing the potential - NFT are well on their way to catapulting the crypto space into the mainstream.  But which collectibles are currently the most popular? What are NFT? NFT are unique tokens that cannot be exchanged one-for-one for an equivalent token.  Any asset that is tokenizable can be an NFT.  This includes, for example, (digital) works of art, trading cards, game items and crypto domains.  Theoretically, however, real estate or securities can also be mapped as NFT. NFTs can be used to transparently map ownership structures on a public blockchain.  This allows them to store value just like real objects, even if additional copies are easy to make.  For example, the original picture of the Mona Lisa is significantly more valuable than a photo, as everyone kno...
11 comments
Read more

CARDALONIA: THE CARDANO METAVERSE OPENS THE GATES!

  Have you ever been to Cardalonia? With these words, the Cardano Metaverse called Cardalonia starts the gates. In this 3D world, developers and users can interact with each other. First of all, users have to create an individual character with which they can move online. After that you can enter one of the worlds built by developers with this character. You can also purchase your own land in the Cardano Metaverse via the marketplaces in Cardalonia . This is secured by Cardano's blockchain technology and therefore offers a relatively secure transfer of ownership. Since these are only digital plots of land, it is not yet entirely clear when the plots of land are purchased whether they can also be sold again in the future. A possible profit cannot be estimated at the moment. In Cardalonia, the cryptocurrency Lonia is used. The maximum amount of tokens in circulation is 100,000,000. The team consists of Alice Sand (Co-Founder), Vasil Air (CTO) and Dustan Water (Fullstack Developer). T...
Post a Comment
Read more

Cardano: This is the vision that founder Charles Hoskinson has

  The Altcoin Cardano has tended to decline in recent weeks.  The Alonzo upgrade was supposed to bring improvements, but it soon turned out to be a disappointment.  Cardano founder Charles Hoskinson presented his vision for the cyber motto in a live Twitter video. • Cardano in the last few months under pressure • Charles Hoskinson explains his Cardano vision via Twitter • Security and privacy at the center The cryptocurrency  Cardano  has had a difficult few months.  While founder Charles Hoskinson's cyber motto has had a strong run in 2021, it has been steadily downhill in recent months.  Cardano is faced with some difficulties.  The so-called Alonzo upgrade went live in mid-September, for which crypto fans had high hopes, but which soon turned out to be a disappointment.  The upgrade should make it possible to use smart contracts on the cryptocurrency as well.  It soon turned out, however, that although these were entered into Cardano,...
Post a Comment
Read more