A few hours ago a very detailed post was published about the Algorand (ALGO) blockchain, outlining the Co-Chains novelty.
— Algorand (@Algorand) March 16, 2020
Algorand’s blockchain is famous for using the Pure Proof of Stake (PPoS) protocol which theoretically allows to solve the fateful “blockchain trilemma” and thus to achieve scalability, decentralization and security, without compromising one parameter with respect to another.
It is a permissionless blockchain and therefore public and transparent, in line with the principles of this sector, but unfortunately, these often collide with the needs of companies that want to be able to exploit this technology with more respect for privacy and therefore less transparency of data.
How does Algorand Co-Chains work?
This is where Algorand Co-Chains comes into play: it will be a permissioned blockchain and independent from the parent chain, allowing to make private the transactions that take place within it, while at the same time interoperating with the main chain to carry out transactions to and from the permissioned blockchain.
The resulting blockchain, in fact, based on the same protocol as the main one, aims to obtain exponential advantages for the use cases of companies.
The current price of ALGO is around $0.12 and with its market cap, it is at position 47 on CoinMarketCap.
It is hard to say if in the long term Algorand can impose itself with its innovative protocol, considering it has been active for less than 1 year and the update took place only a couple of months ago.
Algorand had recently also partnered with the Bitfinex exchange to bring the Tether stablecoin on its blockchain, thus expanding the USDT offer which is now supported by TRON, Omni, Ethereum and EOS.