The founder of Ethereum challenger Algorand (ALGO) says crypto assets with one key feature will survive into the next decade as blockchains become mainstream tools used by traditional financial institutions.
In a new interview with the Los Angeles Times, Silvio Micali, a professor of computer science and cryptography at the Massachusetts Institute of Technology (MIT), says digital assets with low transaction costs will survive well into the future.
“The moment the Blockchain used for transactions, I believe the few blockchains that are truly capable of transacting at very low cost will emerge.
When traditional finance starts moving onto the blockchain, you will see that the blockchains that are used really massively and transactionally will accelerate.
And a few stores of value [such as Bitcoin] might stay.”
According to the Algorand Foundation, a transaction on the smart contract platform costs 0.001 ALGO.
Micali also says that one of Algorand’s strengths is its high energy efficiency. According to him, Algorand uses less energy than a small road, a tiny fraction of what Bitcoin uses.
“Bitcoin absorbs as much electricity as a small country, and [Algorand] consumes as much electricity as about 10 households.”
Michali also notes that we live in an era where cutting-edge and obsolete crypto projects coexist, drawing comparisons to both the Industrial Revolution and early human history.
“We are in a very divided world. We have Blockchain 1.0, 2.0, 3.0, 4.0 – which I think is Algorand – coexisting at the same time. So this is very unique. As you look at the Industrial Revolution, you get more and more sophisticated [technologies]so not all of these things usually coexist.
We are in a very unique moment where there are extremely sophisticated blockchains like ours and where there are very early generation blockchains that are still around at the same time. It’s like Neanderthals and Homo sapiens living together.”
Algorand is changing hands at $0.66 as of this writing, down 9.6% from its seven-day high of $0.73.
Check the price action
Source: Crypto News Deutsch