Algorand has similar characteristics to Ethereum but is technically designed to offer faster and cheaper transactions. One of the more obvious differences is that Algorand uses Pure Proof-of-Stake (PPoS), which means that anyone who wants to participate in the network and has ALGO can be randomly selected to verify blocks. This is in contrast to Ethereum, where 32 Ether is required to participate in staking and thereby act as a node in the network. Another difference is that Algorand is built in two layers, where simpler transactions are handled in the first layer and more complex ones in the second. Algorand is an eco-friendly blockchain and strives to become carbon-negative. Its consensus mechanism requires very little energy, and through smart contracts, ALGO from transaction fees is allocated to be used for carbon offsetting.

What determines the price of ALGO?
The price of ALGO is determined by the supply and demand of the cryptocurrency. In mid-2024, the supply was just over 8 billion units of the cryptocurrency, and through annual inflation, the supply will gradually reach the maximum number of 10 billion units. Demand is primarily influenced by the success of the projects launched on the blockchain. The more people who hold ALGO and use services on the blockchain, the greater the demand for the cryptocurrency.