What is Algorand (ALGO)?
Algorand (ALGO) is a Layer-1 blockchain that picks block validators through a random draw weighted by stake, without giving larger holders a built-in advantage. Its native coin, ALGO, is what validators commit to the network and what users pay to execute transactions.
What sets Algorand’s consensus apart?
Algorand uses Pure Proof of Stake (PPoS), a mechanism where a secret lottery selects a new committee for every block from the entire pool of staked ALGO. No minimum stake is required to participate, and the selection process prevents any single actor from predicting or controlling who will validate the next block. As a result, the network can scale to hundreds of thousands of nodes while finalising blocks in seconds without forks.
How is ALGO used across the network?
ALGO covers the small fee for every transaction on the chain. It also doubles as a governance token; anyone holding ALGO can vote on protocol upgrades. Every token or NFT minted on Algorand — known as Algorand Standard Assets (ASA) — relies on ALGO as the base trading pair, because the ASA standard lives directly on Layer-1 rather than inside a separate smart contract.
Developers can plug ALGO into DeFi pools, use it as in-game currency, or programme it into decentralised applications. Because ASA transfers inherit the same speed and security guarantees as plain ALGO payments, applications built on Algorand do not need to worry about sudden congestion on a secondary token layer.
Who built Algorand and how does it handle quantum risk?
The project was founded by Silvio Micali, an MIT professor and Turing Award-winning cryptographer. His academic background shaped the network’s cautious approach to long-term security: Algorand began rolling out quantum-resistant Falcon signatures in 2022 and processed the first quantum-resistant transactions on mainnet in 2025. The upgrade protects both the chain’s historical records and live asset transfers against potential future quantum attacks, making it one of the few live public networks taking this threat seriously.
