Coinbase Earn: What is Algorand? (Lesson 1 of 3)

The first lesson, what is Algorand? Algorand is a Blockchain platform, Designed to achieve scalability, Security and decentralization. It was created by a team led by Silvio Macaulay. An award-winning cryptographer from Turning, he Helped invent cryptography One of the most important concepts is "zero-knowledge proof". Silvio saw the blockchain in Cryptography offers great potential for fast and irreversible transactions. However, he realized that many early blockchain platforms Faced with in the way of construction Fundamental challenge. They encountered the so-called The blockchain ternary paradox. Compared with traditional currencies, Cryptocurrency based on blockchain technology It has higher security, scalability and decentralization. But Blockchain Trilemma recommends You can have both These three characteristics. In other words, you can have Secured transactions, But because security takes a long time to verify, You can’t make many transactions at once, Or you can have faster transactions and more transactions, But they will not be so safe, Or you can have fast and secure transactions, But the premise is that the network consists of a few Participant control. Algorand’s goal is to quickly, Security and decentralization to solve the blockchain Trilemma problem. It adopts a new consensus protocol Pure Proof Stake achieves this.

When cryptocurrency is transferred For example, when transferring from an exchange to a wallet, The transaction will be added to In the most recent block on the Blockchain. The consensus protocol is all nodes on the network How to agree on the content of each block. Older blockchain people use one Consensus protocol called Proof of Work. But if you look at it from the perspective of Blockchain Trilemma Proof of work, you will find Although it is safe and scattered, But the scalability is not very good. This is because it may take a long time to verify the block, And the block can only accommodate a limited number of transactions. Different blocks can also be within a few seconds of each other End verification. Causing the blockchain to return Before unanimous Temporary fork One or two blocks. Therefore, many crypto transactions Need multiple confirmations, This may take an hour In order to treat the transaction as the final transaction. Algorand consensus agreement Pure Proof stage Designed to use built-in scale, Avoid forks and provide immediate confirmation to solve this problem.

In the next lesson, we will learn more about How does this work..

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