8 December 2021: Still one of the best blockchains in all of crypto/Web3, Algorand continues to not only expand in real world utility but also on-chain capabilities. Institutional investors are paying closer attention to the Algorand network as key partnerships, roadmap milestones, and network growth are all on the rise. This article will cover some of the recent advances of Algorand and what they mean for the blockchain moving into 2022.
Advancements of the Algorand Network
Over the past several months, Algorand has formulated countless partnerships with both blockchain and non-blockchain-based organizations. These partnerships have strategically created growing utility for the network that has impressed both public & private institutions alike.
A major alliance that Algorand has formed is right in the heart of what is becoming the blockchain city of America - Miami, Florida. Many in the crypto economy have focused on Miami's open-armed stance towards Bitcoin, including becoming the host for The Bitcoin Conference and having Miami Mayor Francis Suarez as a key Bitcoin advocate. What has flown more under the radar is all the developments that Algorand is a part of in the city.
Some key developments between Algorand & Miami are:
- Borderless Capital $500 million ALGO Fund II
- Algorand Miami Accelerator
- Algorand Community Decipher Event
- Miami - PlatnetWatch Air Quality Partnership
In addition to the developments above, Francis Suarez also announced at Decipher that he would actually be taking a partial salary in ALGO. With Algorand's presence in Miami growing, other hedge funds, investments groups, and venture capital funds are taking notice.
Anthony Scaramucci - founder of SkyBridge Cptail and former White House director of communications - has recently stated that he even belives Algorand could flip Ethereum in market cap. SkyBridge Capital also has a partnership with the Algorand network.
Features many investors continue to cite in reasons they are interested in Algorand revolve around three key concepts:
- Highly transparent, fast, and low-costing transactions
- Very first L1 public blockchain to be carbon negative
- Impressive real world utility already surpassing larger competitors
This is something that fundamentally sets Algorand apart from other L1 blockchains. There is no speculation in its underlying market cap. Cardano is a great example of a market cap that has grown on the speculation of the technology and utility catching up to it. Algorand is forming the necessary partnerships, utility, and technology first.
Governance
The other major development that needs to be covered is Algorand's on-chain governance. First launched in October of 2021, Algorand has created a systemic model of democratic governance for all on-chain activities, developments, and upgrades.
Community governance on Algorand includes the following characteristics, per the Algorand Foundation:
- Four quarterly Governance periods per calendar year
- Each governor must commit to keeping a certain Algo balance for each quarterly Governance period.
- There will be at least one voting session in each period.
- Governors must vote in each voting session, but can choose to use a simplified UI to “vote with the Foundation”.
- Every measure to be voted on will have an information pack explaining it.
- Compliant Governors claim rewards for their service at the end of each quarterly Governance period.
- Reward levels are tied to the Algo commitment of a governor.
- Specific Rewards pool for each period, decided by Governance vote.
The very first governance period is set to come to a close at the end of Q4 2021. The second period of governance is set to start in January 2022.
For a detailed guide in how to become a governor on the Algorand network, check out this guide: Algorand Foundation Governance
Regardless of short to medium term price action for ALGO, the Algorand network is forming partnerships, real world use cases, and developing itself in a way that other competitors have only talked about doing. The Algorand Foundation has been extremely transparent and timely with announcements, upgrades, and other news surrounding the blockchain.
The introduction of governance was a big step in the direction of functioning, decentralized collaboration between members of the Algorand community and solidifies the chain as a truly decentralized blockchain network. Algorand continues to be an Ethereum competitor that those serious about decentralization, utility, and functionality need to keep an eye on moving into 2022.
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