Algorand Blockchain Network Improves Market Cap To $24 Billion After Token Sale
Algorand recently marked the launch of their platform by announcing the completion of the inaugural Algo Auction. Algorand is a permissionless proof-of-stake blockchain ecosystem. The company used Twitter to inform the participants of the auction that it had completed the settlement, and that they could now check their respective accounts to see the outcome of their bids. Successful participants will soon receive Algos in their wallets.
During the auction, over $60 million was raised through the token sale. CoinList oversaw the entire process. Previously, the foundation had received $66 million in equity funding from companies such as Pillar Venture Capital and Union Square Ventures.
The Algorand blockchain platform focuses on scalability and improving user consensus. It also aims to promote decentralization, which is why most of the company’s projects are open-source.
Silvio Micali, the founder of Algorand, said that they were happy to realize their vision of creating a borderless, trusted, and decentralized economy by completing the first auction and formally launching the mainnet. He expressed confidence that Algorand will make blockchain technology relevant for contemporary businesses and developers, and deliver economic models and incentives that facilitate viable and efficient market-driven pricing.
Interestingly, the tokens were going for a massive $2.40 during the recently completed sale. Given that Algo tokens appreciate annually for five years until it reaches 10 billion, their estimated market cap value stands at $24 billion. This is slightly lower than the market cap of Ethereum, the second largest digital currency, which stood at $28 billion at the time of writing.
As expected, the crypto community reacted to this development from Algorand. Meltem Demirors tweeted that Algorand had completed its token sale where 25 million Algos were sold for $2.40 each. The tweet confirmed that CoinList conducted the auction and that US investors were barred from the event.