Review on Algorand by francis fernandez
Algorand: a chain of blocks with multiple uses and technological power
Algorand is a blockchain that guarantees security, scalability, speed and decentralization in the execution of its operations through its native currency known as $ ALGO. This cryptocurrency came into effect on the market in June 2019.
Algorand is defined as a network for the exchange of financial operations between users who use cryptocurrencies.
What is the technology used by Algorand?
Algorand is a digital ecosystem that combines multiple protocols in its infrastructure and operation:
* It is an open source platform that allows any online user to offer their computing power to join their network without permission and become part of the Algorand block consensus. This empowers it as a permissionless blockchain.
* The consensus algorithm called Pure POS is used, which consists of conducting a raffle that works by placing money in participation to create blocks, increasing the possibilities of creating more blocks while there is more money placed, with which it is not necessary to have equipment miners.
* The approval of transactions is carried out through a mechanism of unrestricted raffles, which randomly and mathematically chooses the network server (node) proposing the next block and the 1000 servers that will approve said block.
* The Pure POS consensus protocol does not stipulate a sanctioning mechanism for dishonest participants; which implies that you trust the honesty of the majority.
* The generation of blocks in Algorand is done quickly through the cryptographic classification draws in two stages:
1-Proposal stage: A token is chosen at random and its holder proposes the following.
2-Voting table: A committee of 1000 token holders is chosen at random to validate the block proposed by the initial user.
Pros
- Allows any user to join the network by contributing their computational power without restrictions
- Due to its permissionless blockchain feature; developers have the possibility to design their decentralized applications based on Algorand's technology.
- Block validation is carried out in a participatory way with the approval of the community as a whole.
- It offers speed in your operations because the consensus protocol that confirms transactions takes less than 1 minute to validate them.
Cons
- The Pure POS consensus protocol used by the Algorand network does not include a sanction mechanism for participants who
