How To Buy Algorand (ALGO)?

A common question you often see on social media from crypto beginners is “Where can I buy Algorand?” Well, you’ll be happy to hear it is actually quite a simple and straightforward process. Thanks to its massive popularity, you can now buy Algorand on most cryptocurrency exchanges, including Coinbase and Binance in 3 simple steps.

Step 1: Create an account on an exchange that supports Algorand (ALGO)

First, you will need to open an account on a cryptocurrency exchange that supports Algorand (ALGO).
We recommend the following based on functionality, reputation, security, support and fees:

In order to sign up, you will need to enter some basic information, such as your email address, password, full name and, in some cases, you might also be asked for a phone number or address.

Note: On specific exchanges, you might need to complete a Know Your Customer (KYC) procedure in order to be able to purchase cryptocurrency. This is most commonly the case with licensed and regulated exchanges.

Step 2: Deposit funds into your account

Many cryptocurrency exchanges will allow you to purchase Algorand (ALGO) with fiat currencies, such as EUR, USD, AUD and others. Furthermore, they will also provide you with multiple deposit methods through which you can fund your fiat account, such as credit and debit cards, ewallets or direct bank transfers.

Note: Some payment methods will have higher fees than others, such as credit card payments. Before funding your fiat account on your chosen exchange, make sure to do your due diligence to find out the fees involved with each payment method to avoid unnecessary costs.

Step 3: Buy Algorand (ALGO)

This process is similar across almost every cryptocurrency exchange. All you have to do is find a navigation bar or a search bar, and search for Algorand (ALGO) or Algorand (ALGO) trading pairs. Look for the section that will allow you to buy Algorand (ALGO), and enter the amount of the cryptocurrency that you want to spend for Algorand (ALGO) or the amount of fiat currency that you want to spend towards buying Algorand (ALGO). The exchange will then calculate the equivalent amount of Algorand (ALGO) based on the current market rate.

Note: Make sure to always double-check your transaction details, such as the amount of Algorand (ALGO) you will be buying as well as the total cost of the purchase before you end up confirming the transaction. Furthermore, many cryptocurrency exchanges will offer you their own proprietary software wallet where you will be storing your cryptocurrencies; however, you can create your own individual software wallet, or purchase a hardware wallet for the highest level of protection.

For more in-depth instructions, our ‘Absolute Beginner’s Guide To Cryptocurrency Investing‘ will take you through the process step-by step. In addition to providing instructions for sending and receiving your cryptocurrency.
And if you’re completely new to crypto our beginner, intermediate and advanced level articles will get you up to speed with everything you need to know about the cryptocurrency space starting out. 

Simplecryptoguide.com

What Is Algorand (ALGO)?

Algorand is a self-sustaining, decentralized, blockchain-based network that supports a wide range of applications. These systems are secure, scalable and efficient, all critical properties for effective applications in the real world. Algorand will support computations that require reliable performance guarantees to create new forms of trust.

The Algorand mainnet became live in June 2019, and was able to handle almost 1 million transactions per day as of December 2020.

What are the benefits and Unique Selling Points of Algorand?

The heart of Algorand, and what makes it stick out, is its deceptively simple consensus mechanism that results in Pure Proof of Stake. This allows it to solve the “Blockchain Trilemma” as defined by Vitalik Buterin, co-founder of Ethereum and de-facto spokesperson. (For more on this part, refer to the section on Pure Proof-of-Stake.)

• Transactions per Second: ~1k (by end of 2021 -> 46k)
• Transaction Finality: ~4.5s (by end of 2021 -> ~2.5s)
• Transaction Cost: 1000 microAlgos/0.001 Algos, approximately $0.0015 or 0.15 cents (2021-05-14).
• Guaranteed to never fork!
• Layer 1 Smart Contracts, part of the consensus protocol
• Algorand Standard Assets being first-class citizens (Fungible & Non-Fungible Tokens)
• Carbon Neutrality
• Easy Staking

The combination of all of these properties makes Algorand uniquely suited for a number of applications.

Who Are the Founders of Algorand?

Silvio Micali is a professor of computer science at the Massachusetts Institute of Technology, and the founder of Algorand. He is a recipient of the Turing Award (in 2012) for his fundamental contributions to the theory and practice of secure two-party computation, electronic cash, cryptocurrencies and blockchain protocols. This makes him one of the foremost creators of crypto in the world.

In 2017, Professor Micali published the original Algorand paper alongside Professor Jing Chen (陈婧).

He has been on the faculty at MIT, Electrical Engineering and Computer Science Department, since 1983. Silvio’s research interests are cryptography, zero knowledge, pseudorandom generation, secure protocols, and mechanism design and blockchain. In particular, Silvio is the co-inventor of probabilistic encryption, Zero-Knowledge Proofs, Verifiable Random Functions and many of the protocols that are the foundations of modern cryptography.

What is the difference between Algorand Inc. and the Algorand Foundation?

The Algorand Foundation and Algorand Inc operate independently from each other.

• The Algorand Foundation: a not-for-profit, community organisation. Focuses on protocol governance and token dynamics, along with supporting grassroots, open-source development on the Algorand ecosystem.
• Algorand Inc: focuses on developing the Algorand Protocol on layer-1, and enabling Enterprise adoption of Algorand blockchain technology.

What is Algorand’s environmental impact?

Algorand is Carbon Neutral.
Algorand uses a specific kind of Proof-of-Stake (PoS) in its block proposal and consensus mechanism which makes it far more efficient that not just the wildly inefficient Proof-of-Work, but also other blockchains that rely on PoS.

Algorand development updates in 2023

Algorand has had a significant year of development in 2023, marked by several key updates and partnerships that are shaping its ecosystem:

• Partnerships and Ecosystem Support: In June 2023, DWF Labs partnered with the Algorand Foundation, committing to a $50 million ALGO token purchase agreement to support the Algorand ecosystem. This partnership aims to provide liquidity and fund projects building on Algorand, particularly in areas like DeFi, art and music, gaming, oracles and bridges, and infrastructure. Additionally, Algorand has been involved in various other partnerships, such as with e-Money for issuing European currencies and stablecoins, and with the Exodus cryptocurrency wallet for tokenized share sales​​.

• Drone Racing League Collaboration: Another exciting development is the partnership with the Drone Racing League (DRL), which involves a $100 million deal. DRL plans to launch a Play-to-Earn drone racing game in the metaverse using Algorand’s technology​​.

• Transactional Milestone: Algorand started 2023 on a high note, crossing one billion transactions on its network. This milestone reflects the growing utility and adoption of the Algorand network. Decentralized projects have been crucial in helping Algorand achieve this significant landmark​​.

• Protocol Updates and Performance Enhancements: Algorand introduced a protocol update (go-algorand 3.16) that decreases the average round time to 3.3 seconds, enhancing transaction speeds and finality. This update aims to improve the user experience by reducing transaction completion times and maintaining the immediate finality of transactions​​.

• Python Integration in Algorand: Algorand announced a developer preview of Python on Algorand, set to be part of the AlgoKit 2.0 upgrade. This integration is expected to drastically lower engineering costs and make Algorand more accessible to a wider range of developers. Python’s simplicity and popularity could open the doors to millions of developers in the blockchain space. The full public release of this integration is expected in February 2024​​.

These developments indicate Algorand’s commitment to expanding its ecosystem, improving transaction efficiency, and making blockchain technology more accessible and applicable to a variety of use cases.

Official website: https://www.algorand.com/

Best cryptocurrency wallet for Algorand (ALGO)

There are plenty of different crypto wallets available. The best one for you depends on your general trading habits and which provides the most security in your situation. There are two main types of wallets: hot storage wallets (digital) and cold storage or hardware wallets (physical). Both have their pros and cons, and there is not necessarily a right or wrong answer when it comes to figuring out which crypto wallet is best for you.

HOW DO I DECIDE WHICH cryptocurrency WALLET TO USE for Algorand (ALGO)?

Deciding which type of wallet to use depends on a variety of factors, including:

• How often you trade. In general, hot wallets are better for more active cryptocurrency traders. Quick login ability means you are only a few clicks and taps away from buying and selling crypto. Cold wallets are better suited for those looking to make less frequent trades. 
• What you want to trade. As mentioned earlier, not all wallets support all types of cryptocurrencies. However, some of the best crypto wallets have the power to trade hundreds of different currencies, providing more of a one-size-fits-all experience.
• Your peace of mind. For those worried about hacking, having a physical cold wallet stored in a safe deposit box at the bank or somewhere at home, provides the safest, most secure option. Others might be confident in their ability to keep their hot wallets secure.
• How much it costs. It is important to investigate the costs associated with each wallet. Many hot wallets will be free to set up. Meanwhile, cold wallets, like any piece of hardware, will cost money to purchase.
• What it can do. While the basics of each cryptocurrency wallet are the same, additional features can help set them apart. This is especially true of hot wallets, many of which come with advanced reporting features, insights into the crypto market, the ability to convert cryptocurrencies and more. Security features can also be a good differentiator.

For a more in-depth overview of cryptocurrency wallets visit our “Cryptocurrency Wallets Explained” guide.

If you’re going to be dealing in larger volumes of crypto, investing in cold storage might prove advantageous.
Most widespead examples of this being the Ledger Nano and the Trezor.

Ledger manufactures cold storage wallets designed for users who want increased security. Their wallets are a physical device that connects to your computer. Only when the device is connected can you send your cryptocurrency from it. Ledger offers a variety of products, such as the Ledger Nano S and the Ledger Nano X (a bluetooth connected hardware wallet).

Trezor is a pioneering hardware wallet company. The combination of world-class security with an intuitive interface and compatibility with other desktop wallets, makes it ideal for beginners and experts alike. The company has gained a lot of the Bitcoin community’s respect over the years. Trezor offers two main models – The Trezor One and Trezor Model T (which has a built in touch screen).