As Binance Research explained in June 2019, Algorand is “a permissionless, pure proof of stake blockchain that ensures full participation, protection and speed within a truly decentralized network.” $ALGO is the native asset of this layer one blockchain.
Here is what Algorand Foundation says about the $ALGO token:
“It’s the token used to secure the consensus used in building each block, it’s the token used to pay for every transaction and soon, it will be the token used to govern the growth of the Algorand ecosystem and as Governance rewards for those who commit to voting as part of governing.This unique nature enables the Algo to be the key pillar of the Algorand blockchain but to also be the most efficient, secure way to buy something as simple, and everyday, as coffee.“
Algorand was built by a team “with deep roots in academic theory and science, led by Turing award winner Silvio Micali, who has dedicated his career to pioneering research in the field of cryptography.” The executive team consists of Silvio Micali (Founder), Steve Kokinos (CEO), and W. Sean Ford (COO).
According to foundation’s press release, Y Combinator-backed startup Lofty AI is the latest recipient of an Algorand Foundation Grant Award.
It goes on to say that “Lofty AI enables people to invest in fractions of investment properties via the Algorand blockchain for as little as $50 and completed in less than 5 minutes.”
It also mentioned that “Lofty AI tokens are 100% liquid and can be sold anytime for no fees or penalties.” Investors “receive daily rental income starting on the first day they invest and tokens appreciate in value on a monthly basis as the properties appreciate.”
Apparently, Lofty AI “hopes to help solve the current housing crisis by giving renters the ability to purchase tokens in the properties they’re renting––making them part-owners.” This grant will “help Lofty accomplish this feat along with providing the funds to build out their internal secondary marketplace.”
Currently, it is possible to buy property tokens on Lofty AI with credit/debit cards or bank transfers, and in the future investors should be able to use Algorand-based currencies. Rental income — which may be withdrawn at any time — is handed out to owners in the form of USD.
Max Ball, COO of Lofty AI, had this to say:
“We couldn’t be more excited to partner with the Algorand foundation to democratize real estate investing for all. The whole Algorand team has been a huge help from day one and we are extremely grateful for their support. Had we not built our product on top of Algorand, we wouldn’t be close to where we are today.“
And Addie Wagenknecht, Head of Global Ecosystems and Technical Operations at Algorand Foundaiton, stated:
“We’re delighted that Lofty AI is part of the Algorand Ecosystem and are excited to partner on this innovative concept. Algorand is a blockchain designed for the next generation of economic exchange and provides Lofty AI with the opportunity to build a highly scalable tokenized real estate marketplace on a chain which is guaranteed not to fork, while enjoying exceptionally low transaction fees.“
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.