AN OVERVIEW OF THE ALGORAND PLATFORM
A quick glance at the state of things today will show exactly how much effect the digital technologies have had on the entire world system, over a short period of time.
Take for instance the cryptocurrency, a form of digital cash which is rapidly replacing the physical fiat currency, and believe me, it is currently being chosen over any other means of exchange, as a result of its reliability, use cases and efficiency as a legal tender or means of exchange. The cryptocurrency didn't achieve this level of success alone, it owes its great achievement to the new technology called the Blockchain technology.The Blockchain isn't so much of a new technology as it has been in use for a while now and is in fact elevating every system it finds its way into.
Due to its design and inability to be altered, it fits perfectly as a tool of great innovation in the different systems of the world, and has proven its worth as well as potential to those that have adopted it. As much as all these prevailing technologies are emerging, a whole lot of them are unable to efficiently guide the world into a new era of digitalization, and so need systems that will help chart the course for this new era.
Majority of such platforms have been created with the aim of making use of the technologies being developed today, to create more meaning and benefits for users in this digital era.Sadly, none of such platforms has what it takes to achieve this difficult feat, until Algorand platform came alongAlgorand protocol stands tall as a system which will use an advanced Blockchain to fulfill this purpose.
Let's deeply take a look at…
THE ALGORAND PLATFORM AND ITS USE CASES
Algorand is a decentralized foundation which recognizes the need for a fully decentralized and flawless Blockchain to feature in the global revolution. It knows exactly what it means to be part of something big, so it does not want anyone to miss out on the numerous benefits of the Blockchain, and so it has created both a permissioned and permissionless Blockchain system, for the massive participation of the global population.This superior Blockchain developed by Algorand is called the Algorand protocol, and since it is designed to be permissionless, every barrier to entry into the Blockchain industry and related projects is completely eliminated.
So now, on Algorand, every user wether existing or new can build on the Blockchain without any form of complications or difficulty, as the entire process has been simplified and made public by Algorand. Algorand protocol with its great level of security, decentralization and easy to use design, makes room for the development of life changing applications with real world uses in improving the global system.
SOME OF THE USE CASES OF ALGORAND PROTOCOL
- The cryptocurrency as created with the Blockchain technology is unable to function ineffectively as a means of payment due to the few conspicuous features which it faces.The first of these is the storage issue, which has to do with the level of data needed by potential users before entering the cryptocurrency industry.Storage is very important as it helps users of cryptocurrency prevent double spending.
- Secondly, Bootstrapping is another huge challenge for designing a cryptocurrency, as it has to do with the amount of data a potential user has to download before being a part of the system.Both storage and Bootstrapping are crucial in reducing double spending by helping stop users from spending on the same thing more than once through the tracking of their transactions record.
- Despite the fact that they are both needed in the system, when creating a digital currency, bootstrapping and storage has proven to be very costly for the users and this obviously will scare users away from the system, and so this needs to be minimized if the system is to perform effectively. So that is why Algorand protocol has stepped in, and has facilitated the creation of "vault". The vault is one of the unique applications of the Algorand protocol, which is a better and an improved cryptocurrency design created to remedy the problem of bootstrapping and storage resulting from the high cost which is required to run them. It lowers greatly the cost of bootstrapping and storage initially faced on the regular cryptocurrency system, by making use of the Algorand protocol, a highly advanced Blockchain with great capabilities when compared to the regular Blockchain.
- Vault uses the Algorand consensus mechanism (Proof-of-stake), to sever the tracking of double spending from account balance and create a system where only new transactions are allowed to appear on the Blockchain, pushing away older transactions records.This will help reduce the cost of running the system as it reduces the level of data needed by users to join, and the account balance is no longer dependent on the transaction record, thereby rendering zero balance void.
- Additionally, with the help of Algorand protocol in the design of vault, it adopts adaptive sharding that validates all nodes of the system, based on the Markel tree model to make bootstrapping easier and cheaper for the entire system.With all these setbacks eliminated by the Algorand developed system called vault, the creation of a reliable and productive cryptocurrency is now made possible.
That is why Marshall Island has also settled for Algorand Blockchain as the facilitator of its Central Bank Digital Currency (CBDC).
As cryptocurrency is the currency of the future, Algorand protocol has brought the future to the world and has fully equipped the global system to take advantage of the advancement in technology and the digital revolution.
CONCLUSION
Algorand protocol has become a very superior Blockchain and unlike most Blockchains with empty promises and undefined use cases, it has actual application.Carefully looking at its use cases, it is obvious that Algorand is aiming for a borderless economy where everyone gets to participate and contribute, that is the true definition of decentralization. Once it is globally adopted, a great achievement will be reached by the world at large.
