The Algorand blockchain network has its own official native cryptocurrency, called the Algo, to drive our borderless economy and the system of incentives. The allocation of Algos and how they are being distributed is presented here. The Foundation holds Algos to contribute to the stability of the Algorand blockchain and to support the Algorand community, ecosystem building and research. The Algos will enter the ecosystem via various channels including development and research grants and sales. All such activities will be disclosed with full transparency to our community.
The total supply of Algos is 10 billion Algos. The full 10 billion Algos were minted in the genesis block with the following distribution:
The Algorand Foundation’s sale target for 2020 is no more than 150 million Algos. The Foundation plans to use a mixture of mechanisms to sell Algos, ranging from public auctions using a listing partner to structured selling and private sales. Full transparency will be regularly provided to our community.
Incentives and ecosystem support is currently composed of participation rewards, 200M staking rewards program, and end-user grants and awards.
The Foundation is updating the participation rewards program, adjusting to current levels of Algo supply and tuning the program to benefit the Algorand ecosystem. The mechanism itself did not change. Algos are distributed as rewards over 500,000-round periods (approximately 26 days) according to the following schedule:
Going forward, the Foundation will review how to incentivize behavior and activities that benefit the Algorand ecosystem. The Foundation is committed to mechanisms that are permissionless and allow any Algo holder to enjoy the program.
The Algorand Foundation allocates Algos for developers and community members. The goal is to reward those that further the goals of growing the Algorand community and contributing to the network. These Algos will be distributed via a number of different programs including grants, awards, competitions, hackathons, and events.
The Algorand Foundation had given Algos to early supporters around the world who agreed to run relay nodes. The Algos are distributed according to a vesting schedule. Any unvested amount does not participate in the consensus protocol.