As Silvio Micali, MIT prof, cryptographer, and inventor of Algorand points out in his "Algorand in a Nutshell" post on the Algorand blog, one flaw for most cryptocurrencies, at least in terms of promoting actual ADOPTION and therefore long-term use value, is that they tend toward being viewed more as speculative assets rather than actual currency.
Arguably, at no time has this been more true than right now. Most of these moon coins don't actually even DO much other than get people to post up or down rocket emojis. They're awesome if you're a day-trader... at least until the bubble pops faster than you can get out of your over-leveraged position. (I'll just point out here that the total crypto market cap has basically DOUBLED over the last couple months.)
So anyway, what Algorand is doing differently than a lot of other projects is focusing on use-value first, while purposely (moderately) suppressing volatility in asset-value, by accelerating or decelerating the vesting.
It's a balancing act: you want people to feel comfortable spending ALGO on real-world goods without, as Micali jokes in one of his talks, "waiting 20 minutes to see if the price goes down", yet at the same time, you also need to encourage people to start having ALGO in their wallet to begin with, so that Proof-of-Stake can be truly decentralized, the network grows, etc.
So the best case scenario, at least on time frames longer than you're worrying about on those 15min charts, is to have continuous, steady, moderate growth.
Which helps feed adoption.
Which helps feed growth.
A virtuous cycle with a low risk of catastrophic failure. Will it make you rich? Not overnight! But it's also really unlikely to make you poor :)
External links not allowed on TV so just search the web for this report if you want to read more about it:
Report on the State of the Algorand Economy
by the
Economic Advisory Committee
November, 2019
Arguably, at no time has this been more true than right now. Most of these moon coins don't actually even DO much other than get people to post up or down rocket emojis. They're awesome if you're a day-trader... at least until the bubble pops faster than you can get out of your over-leveraged position. (I'll just point out here that the total crypto market cap has basically DOUBLED over the last couple months.)
So anyway, what Algorand is doing differently than a lot of other projects is focusing on use-value first, while purposely (moderately) suppressing volatility in asset-value, by accelerating or decelerating the vesting.
It's a balancing act: you want people to feel comfortable spending ALGO on real-world goods without, as Micali jokes in one of his talks, "waiting 20 minutes to see if the price goes down", yet at the same time, you also need to encourage people to start having ALGO in their wallet to begin with, so that Proof-of-Stake can be truly decentralized, the network grows, etc.
So the best case scenario, at least on time frames longer than you're worrying about on those 15min charts, is to have continuous, steady, moderate growth.
Which helps feed adoption.
Which helps feed growth.
A virtuous cycle with a low risk of catastrophic failure. Will it make you rich? Not overnight! But it's also really unlikely to make you poor :)
External links not allowed on TV so just search the web for this report if you want to read more about it:
Report on the State of the Algorand Economy
by the
Economic Advisory Committee
November, 2019