Algorand creator predicts what will happen to the industry in 10 years

Alex Dovbnya

Computer scientist Silvio Micali says his brainchild currently coexists with Neanderthals such as Bitcoin

In a recent interview with the Los Angeles Times, Italian computer scientist Silvio Micali, who founded the proof-of-stake cryptocurrency protocol Algorand, predicted that traditional finance could start entering the blockchain in 10 years.

He believes that only blockchains that can handle high transaction volumes at low cost will come out on top. Bitcoin, which he likened to a “Neanderthal,” may also remain relevant, but it will only be used as a store of value, according to Micali.

The computer scientist, who received the Turing Award for his contribution to cryptography in 2022, believes that Algorand represents the fourth generation of blockchain projects.

He explains that the cryptocurrency ecosystem is quite unique since more advanced blockchains, like Algorand, have to co-exist with first-generation blockchains instead of replacing them, which was not the case during the industrial revolution. It would be similar to Homo sapiens and Neanderthals co-existing in the same time frame.

Micali highlighted the fact that Algorand is much more energy efficient than Bitcoin. While the largest cryptocurrency uses as much energy as entire countries, Algorand only needs as little energy as several homes.

The computer scientist admits that the brainchild of Bitcoin was “beautiful”, but its execution was not “elegant”.

Algorand, which had been mostly under the radar for the past few months, made headlines earlier this week after announcing a high profile partnership with FIFA. The ALGO token soared over 20% on the news, re-entering the top 30 largest cryptocurrencies by market capitalization.

Source link