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Cardano And Algorand Comes Together, Thanks To Milkomeda A1 Rollup

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Cardano and Algorand are now connected via the launch of  Milkomeda A1 Rollup that went live on the Algo mainnet, an elated Charles Hoskinson tweeted with his trademark style.

The announcement blog referred to it as a milestone as it was the first rollup from Milkomedia to be deployed outside of the Ethereum ecosystem and the first to go live on Algorand.

A blockchain interoperability service called Milkomeda seeks to give non-EVM blockchains like Cardano and Algorand access to the Ethereum Virtual Machine [EVM]. The base currency of the A1 Rollup is wrapped ALGOs, also known as milkALGOs.

On the other hand, Rollup is frequently thought of as a scaling solution. By periodically posting the rollup’s transaction data onto layer 1 in transaction bundles, it reduces the computational load on the layer 1 chain while still making the transaction data accessible to users of that layer 1 blockchain.

Until the latest feature by Milkomeda, Cardano and Algorand were two distinct blockchains that were previously unable to exchange assets or communicate with one another, which now would change for the better.

In addition to that, Cardano-based DEX Blueshift through its partnership with Milkomeda can facilitate cross-chain swaps to ADA assets directly as well as provide its DEX model to the Algorand ecosystem using Milkomeda’s A1 Rollup.

Cardano Use Cases Boost Through Cross-Chain Interoperability

The future of blockchain and cryptocurrencies have changed with the introduction of cross-chain interoperability. The Milkomeda EVM sidechain was crucial to make Cardano, EVM compatible.

There is value in bridging the gap between Cardano and Ethereum even though their respective ecosystems are different. Increased liquidity, usability, and adoption will result from making these chains compatible.

While most other ecosystems may never catch up on their own, it is undeniable that Ethereum is the primary blockchain for dApp and DeFi development.

Even though Cardano has advantages over Ethereum, it makes sense to adopt the EVM. The Milkomeda C1 project has been under development since last year and was eventually launched later.

Milkmedia C1’s primary goal is to integrate Ethereum dApps into the PoS ecosystem. It offers developers an ecosystem that is more effective and affordable and increases the usability of ADA and other Cardano-based tokens.


Who’s Got a Better Use Case: BudBlockz, Hedera or Algorand?

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Most projects which are based on top of blockchain technology will typically come with their own native cryptocurrency.

Each project will also assign a specific use case, or in other words, some sort of utility for the cryptocurrency in order to make it useful and desirable across the ecosystem.

Today, we are going to take a look at three projects and see how their tokens, as well as how the projects as a whole, are utilized. These projects are: BudBlockz, Hedera, and Algorand.

What Is Budblockz and How Does It Work?

BudBlockz is the world’s first online, decentralized eCommerce platform specifically tailored to those that are interested in cannabis, and it enables anyone accesses to the global cannabis markets in a secure, private and decentralized way. 

BudBlockz has its own native cryptocurrency BLUNT. The BLUNT token is used as a medium of exchange between individuals as well as cannabis corporations.

This means that BLUNT can be used to transact with Dispensaries, Farms, CBD manufacturers, and more. Additionally, BudBlockz has the additional utility and functionality of serving the role of the governance token, which means that BLUNT governs the community to enhance fair as well as transparent trading for everyone.

In the future, BLUNT will also be a cryptocurrency that can be staked, allowing customers to be rewarded for holding their tokens and contributing to the long-term vision of BudBlockz.

What Is Hedera and How Does It Work?

Hedera is essentially a network that allows anyone to transact and deploy applications. However, a group of businesses is responsible for overseeing the overall network. The network stands out due to the fact that it has a fast network throughput for its native cryptocurrency, known as HBAR, but only lets approved nodes participate in the process of verifying the transaction history. 

Its governance is allocated to the Hedera Governing Council, which runs the consensus nodes. It also implements its distributed open ledger on hashgraph technology instead of blockchains. 

As such, HBAR is used for the payment of transaction fees, to make micropayments, and to protect the network through its Proof-of-Stake (PoS) consensus mechanism.

What Is Algorand and How Does It Work?

Algorand is a blockchain platform that is designed to function as a payment processor. It utilizes a unique consensus mechanism known as Pure-Proof-of-Stake (PPoS). 

ALGO is the native cryptocurrency for this specific blockchain, and it is utilized as a means of securing the platform as well as rewarding those governing the entire ecosystem. Its supply is capped, where the Algorand Foundation, the non-profit overseeing and funding its development, claims that only 10 billion units will ever get created. 

On Algorand, developers can create new kinds of applications that are powered by cryptocurrency, and the network has been historically used in real estate, microfinance, and similar use cases.

Picking the Project and Token with The Best Use Case

All of these projects fill unique, distinctive roles within the crypto ecosystem. 

Each cryptocurrency that powers each of the three platforms ultimately serves a unique role within them and all of them feature a solid level of utility that will spark demand within each one of them. 

Some projects have been around for quite a while, such as Heder and Algorand, so we have some perspective surrounding their use, but newcomers such as BudBlockz have the potential to overtake the crypto space and surprise users with its use case. 

Learn more about BudBlockz (BLUNT) at the links below:

Official Website: budblockz.io/ 

Presale Registration:: https://app.budblockz.io/sign-up 

Telegram Group: https://t.me/BudBlockz 

Discord Server: https://discord.gg/s7hBFgvTmN 

All BudBlockz Links: https://linktr.ee/budblockz

Best 5 Crypto Tokens to Invest in The Bear Market [2022]

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Ever since the year 2022 got underway, Algorand (ALGO) has been considered one of the crypto assets that are valuable enough to purchase and invest in. One more cryptocurrency that is doing well enough to pique the curiosity of investors following the crypto market crisis is Basic Attention Token (BAT). The most recent crypto project, Guffawli Token (GUFFAWLI), aims to outperform all other cryptocurrencies. In comparison to other decentralized exchanges, it has some unique features.

These are only a few of the various cryptocurrencies now available; it might be challenging to discern which ones are worth investing in. However, you may make smart investment choices if you purchase these three tokens. Read on to learn more about these cryptocurrencies and what makes them good investments.

Algorand (ALGO)

Algorand (ALGO) has successfully provided investors with a high rate of return on their investments. The crypto market crash barely shifted its position. Due to its unique ecosystem, Algorand (ALGO) is expected to see a meteoric spike in value, as has been forecasted by cryptocurrency experts.

Algorand prioritizes speedy transactions and finality through a two-tiered structure and a novel Proof-of-Stake (PoS) consensus mechanism as an open-source blockchain network. As opposed to rewarding only those who create blocks, with Algorand, all ALGO coin holders are eligible to receive block rewards.

Algorand uses a subset of Proof of Stake called Pure Proof of Stake (PPoS). Participating in PPoS, a highly decentralized PoS consensus technique, and contributing to network security requires only one ALGO token. Conversely, the minimum stake on Ethereum 2.0 is 32 Ethereum (ETH), a far more significant barrier to entry. On the other hand, a low minimum staking requirement may be detrimental to the network’s security because participants may not behave responsibly if they have a small amount of money at stake in the network.

Source 

Basic Attention Token (BAT)

Brendan Eich, a co-founder of Mozilla and Firefox, developed the Basic Attention Token (BAT) to use blockchain technology to make digital advertising more open, efficient, and trustworthy. BAT’s white paper was published on February 10, 2021. While the Brave browser is available for download, the project is still in its early stages as of 2022. At present, BAT is running on the Ethereum blockchain. It was included in the Brave web browser to improve communication between users, advertisers, and publishers. BAT attracts consumers, marketers, and publishers for several fascinating reasons.

The Basic Attention Token (BAT) is a blockchain-based system that tracks users’ engagement with media content when they browse the web using the Brave browser. The platform is built on Ethereum and promises to streamline the flow of advertising revenue among publishers, advertisers, and consumers in the digital marketing ecosystem. The idea is to have the reader experience fewer ads more relevant to their interests without violating their right to privacy.

Guffawli Token (GUFFAWLI)

The Guffawli token (GUFFAWLI) has a roadmap in its whitepaper that details its long-and short-term objectives, geared toward creating the Guffawli ecosystem and the eventual implementation of the token in the real world.

The Guffawli token (GUFFAWLI) was developed on the Binance Smart Chain, a major cryptocurrency exchange platform (BSC). Token development took place on this blockchain due to its superior transaction speeds, lower transaction fees, and developers’ ease of transition from Ethereum to the Binance Smart Chain (BSC).

Source 

Additionally, the token’s introduction of the notion of automated liquidity is meant to address issues connected to liquidity pools. For Automated Liquidity to work, smart contracts must govern the transaction when liquidity providers deposit Guffawli Tokens into the pool in exchange for rewards. Since the cryptocurrency market is becoming more stable and can now accommodate substantial volumes of trading activity, this growth in the token’s automated liquidity can be linked to this phenomenon.

To learn more about this new crypto project, see the links below:

Presale: http://smile.guffawli.io/

Website: http://guffawli.io/

Telegram: https://t.me/GuffawliTokenOfficial

FIFA Partners up With Algorand for the 2022 World Cup

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FIFA has agreed to strike a sponsorship and technical partnership with Algorand, a blockchain technology firm.

As a result of the deal, Algorand will become FIFA’s official blockchain platform and offer the official blockchain-enabled wallet solution.

Algorand will be a FIFA World Cup Qatar 2022TM Regional Supporter in North America and Europe, as well as a FIFA Women’s World Cup Australia and New Zealand 2023TM Official Sponsor, according to the sponsorship deal.

FIFA ties up with Algorand

Algorand will also help FIFA improve its digital asset strategy by offering blockchain wallet options and increasing FIFA’s exposure in the football-related NFT business.

Meanwhile, FIFA will work with Algorand to increase its media exposure and provide promotional possibilities for the platform.

Notably, Algorand is the first World Cup sponsor from the United States since 2011, less than a decade after FIFA was repeatedly accused in a US criminal investigation into international football corruption and failed to retain long-term relationships. Coca-Cola, Visa, McDonald’s, and Budweiser are among the well-known brands.

Until recently, practically all sponsorship arrangements for the 2018 and 2022 World Cups had been handled by FIFA with firms from the two host nations, Russia and Qatar, as well as China. FIFA, on the other hand, is presently concentrating its efforts on the technological sector.

In addition to Algorand, FIFA has announced a cooperation with cryptocurrency exchange Crypto.com for the 2022 World Cup final in March.

Overall, it appears that the intersection of sports and blockchain is proving to be a “huge pie” for large cryptocurrency exchanges to compete in order to grow their businesses.

However, while the scope was previously limited to trades between exchanges, there are now signs that more and more single platforms are entering the sports sponsorship competition.

Tezos (XTZ), the incumbent, becomes a sponsor of Manchester United education tools, Terra (LUNA) joins hands with the Washington Nationals of Major League Baseball, and DEX Uniswap collaborates with Esports Team Secret.

Here’s how Algorand Foundation plans to boost DeFi innovation with a $300M fund

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Algorand Foundation has announced the launch of a DeFi fund called ‘Viridis’ on September 10. The fund in question aims to support 150 million Algo to boost the decentralized finance ecosystem on Algorand, according to the official blog post.

To propel the growth of the fund, the foundation introduced the $5 Million Price Oracle SupaGrant and the $5 Million Bridge SupaGrant. The main objective behind the funds is to accommodate the growing demand for the Defi space and support the development of decentralized infrastructure.

Algorand’s SupaGrants program aims at skilled teams of developers and organizations in order to create security and superior solutions for the ecosystem. The program mainly focuses on teams with relevant experience in building advanced solutions such as automated market makers [AMMs], decentralized exchanges [DEX], or bridges. It also intends to utilize its expertise to design an oracle system. Primarily, the teams must have the capacity to be able to maintain the oracle long-term and efficiently respond to security and non-security concerns that may come up.

What is Algorand’s “Virdis” all about

“Viridis” reflects Algorand’s ambitious roadmap to create a green and carbon-free ecosystem and implement the same in its rapidly evolving DeFi domain. Along the same line, the blog post stated,

“And everybody that builds their DeFi applications on Algorand can do so in the knowledge that they are building on the most sustainable, carbon negative, high performance blockchain. Viridis will enable sustainable, green, wealth creation.”

The first $5 million SupaGrant will be used to create two-way bridges from Ethereum and other chains. Once ported to the Algorand blockchain, decentralized applications will require access to market data to handle a wide range of smart contract functions. The second $5 million SupaGrant is involved in seeking proposals for the purpose of integrating the oracle networks with associated price feeds. The remaining funds will be deployed on the further development of the application across this DeFi ecosystem.

Algorand isn’t the only blockchain to have come up with a DeFi fund. Harmony, another blockchain platform, announced a $300 million fund recently.

Besides, ALGO, Algorand’s native cryptocurrency, performed well in September. The token has risen by more than 77 percent in two days, from a low of $1.19 to a press time price of $2.11.

Algorand Becomes Official Chain For USDC After Stablecoin’s Launch On Mainnet

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Goldman Sachs-backed global fintech firm Circle announced the launch of its stablecoin USDC on Algorand’s mainnet. In collaboration with the Centre Consortium, the platform announced that Algorand is now an official blockchain for USDC.

Following this development, Algorand becomes the second major blockchain to have the two most popular stablecoins- Tether [USDT] and Circle’s USD-pegged stablecoin USD Coin [USDC] after Ethereum.

According to the official blog post, the Algorand implementation of USDC will allow on-chain transactions that provide nearly instant settlement finality [5 seconds], with a transaction throughput approaching 1000 tps and current average transaction fees of nearly 1/20th of a cent [USD]. Using public APIs, developers can also swap USDC across Ethereum and Algorand.

Commenting on the new launch, cryptography pioneer and Turing award winner Silvio Micali, Founder of Algorand, Inc stated,

“This is a defining milestone for frictionless mainstream payments as well as sophisticated financial applications. This launch brings together the convenience of USDC and an advanced protocol for global financial exchange in which Layer-1 smart contracts are as simple and secure as ordinary payments.”

Previously in June this year, Circle had partnered with the not-for-profit organization, Algorand Foundation to bring fiat-backed stablecoin capability to the Algorand blockchain, as part of the broader effort from Centre Consortium for the development of Multichain USDC.

Besides, over the past year, USDC has grown significantly making it one of the largest stablecoins in the world. Its market cap stood at $1.83 at the time of writing. Having the two most popular stablecoins is likely to attract more high-value stablecoins on Algorand. Additionally, this launch also opens doors for the foundation to get a boost from Circle’s extensive list of investors with industry giants, such as Bitmain, and Goldman Sachs.

While stating that the launch represents a significant improvement to the stablecoin’s scalability, improving its utility and making it a significantly more useful protocol for solving real-world financial problems, Alesia Haas, Chief Financial Officer at Coinbase also added,

“Expanding USDC from Ethereum to additional blockchains like Algorand will ensure USDC has the flexibility to support everything from emerging DeFi projects to large-scale financial institutions.”

Is an Economic Incentive the Only Way to Keep the Network Decentralized?

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The economic incentive is the motivation a player gets to behave in a particular manner. With needs, wants and desires as the priority for the player, it works towards the preference set by the motivator for a particular incentive. 

As a contingent motivator economic incentives are classified in multiple forms. The top and the most relevant for the cryptospace being the extrinsic incentives – rewards for a particular behavior and punishment for another. 

This type of economic incentive runs on positive and negative reinforcement. 

Economics of incentivizing cryptocurrencies

Bitcoin’s incentive scheme depends on the presumption that individuals are sane players. If these players are rational, they are incentivized to participate in mining, buying and holding BTC. The concept of rationality is significant but often taken for granted.

Silvio Micali, an MIT professor and founder of Algorand says, that the creator of Bitcoin probably never imagined its incentive structure would cause capitalist industrial-scale mining pools. He even believes that the system does not need to reward trivial computations. Miners are compensated for their role while validators who don’t invest in overpriced equipment and excessive electricity are not.

With beliefs such as incentives should be the last resort, Micali is building Algorand. 

“Algorand’s logic is simple: it ties the security of the whole economy to the honesty of the majority of the economy, and makes it impossible for a small subset of the economy to control the fate of the whole economy.”

To give some background, Algorand is a public blockchain that works on a novel version of the Byzantine Agreement [BA]. Here, players are replaced in each round of communication. In this BA protocol, users do not keep any data except for their private keys, which allows Algorand to replace participants immediately after they send a message. 

Vitalik Buterin as the Founder of the second biggest cryptocurrency, Ethereum, believes that such a network wouldn’t work. 

Buterin stated that having no incentives at all means there’s no incentive for someone to not be lazy and go offline. While Micali from Algorand believes that all players on the network are honest, Vitalik’s belief is that the majority of the players are not; emphasizing the crypto phrase: verify, don’t trust. 

A fundamental insight at the heart of economics is that people respond to incentives

Under the assumptions that:

  1. Cryptography can be hacked 
  2. All players are honest
  3. Nevertheless, there will still be bad players and,
  4. Economic incentives significantly influence human behavior

Financial security becomes important!

The economic incentives drive humans to act in a particular way that makes them bet stakes [tokens, computational power, etc.] on the network to provide support for protocol stability with optimal security through a reward structure that prevents its unethical behavior.

Achieving all of this without an incentive model and keeping the network decentralized might be difficult or rather impossible.

All things considered, users are egotistically unpredictable in nature and they may decline to participate because of their concerns on electricity and data transmission consumption. This is why it is necessary that each user participating in the network receives a satisfying reward to compensate for their efforts. However, suitable incentive mechanisms that can meet the diverse requirements of users in dynamic and distributed peer-to-peer environments have yet not been invented. 

 

Disclaimer note: This article is based on the contributor’s opinions/research and does not necessarily represent the views and opinions of Tron Weekly.

 

Monerium and Algorand to Issue E-Money in New Partnership on Blockchain Protocol

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Algorand (ALGO), a blockchain startup that makes use of Proof-of-Stakes is going to do a partnership with Monerium to issue e-money for supporting the Algorand protocol, as announced by both platforms. 

Monerium, which received e-money license in June 2019 from Iceland, announced different Business 2 Business (B2B) e-money use cases. Among the use cases, includes cross border transaction of Euros. According to a press release, the company now supports e-money transactions out of European Union (EU), Iceland, Norway and Liechtenstein in different currencies including US Dollar (USD).

As tweeted by Monerium’s official Twitter account:

 

The company stated that through this partnership, Monerium will promote the mainstream adoption of e-money.

Reportedly, Algorand has gained a significant amount of money through investor interest last year. Moreover, In June 2019, the company accumulated more than $60 million in a token sale on CoinList, and in August, Bakkt Venture namely Investor 11 – 11 also provided the company with a $200 million capital fund focusing on Algorand protocol.

Besides Algorand 2.0 launched in November 2019, has brought a feature, Algorand Standard Asset (ASA). The feature includes the capability for the tokenization of any type of asset including both fungible assets like currencies and utility tokens, non-fungible assets such as tickets, restricted fungible assets like securities, and restricted non-fungible assets like licenses, and certifications. Among other features is Atomic Transfers focusing on the transfer of assets, and Algorand Smart Contracts (ASC1) which aims to create escrow accounts to crowdfunding.

In a statement, Sveinn Valfells, Co-founder and CEO of Monerium said Monerium looks at “supporting new blockchains with mainstream relevance as its priority”. 

“Algorand incorporates key features for many mainstream use-cases, including stateless smart contracts and scaleable proof-of-stake consensus.” added  Sveinn Valfells. 

 More so, echoing a similar concern, COO of Algorand also shared his views and said both firms coincide with their vision  “for real-world use cases that are enabled by advanced blockchain technology.”

“We are thrilled that Monerium will be bringing their solution for e-money to Algorand and we look forward to our community’s ability to leverage the technology for straightforward regulatory compliance,” he elaborated.