Algorand IRAs have many advantages, including tax-saving benefits, 24/7 trading, and diversification.
Algorand is a decentralized blockchain protocol specializing in the future of finance and known for features such as scalability and security. Developers build products on the Algorand blockchain across popular market segments like decentralized finance (DeFi) and non-fungible tokens (NFTs). Algorand’s mission centers on “powering economic models of the future.”
Algorand was founded and co-created by Silvio Micali, an electrical engineer and MIT professor who helped to build the platform from the ground up in 2017. The Algorand mainnet blockchain launched in 2019. Micali, a Turing Award recipient, is considered a top mind in cryptography, techniques used in blockchain technology, which is the basis for cryptocurrencies, like Algorand. Beyond Micali, the Algorand project extends to over 11,000 developers.
You may be wondering, ‘Is Algorand a good investment?’ In this article, we will break it down for you, exploring themes like the Algorand price and potential Algorand price predictions. In addition, we’ll compare Algorand vs. Cardano so that you can decide for yourself if it’s a good investment for you and your self-directed IRA.
Algorand is behind a vast ecosystem with several products and applications. The Algorand coin(ALGO) is the native cryptocurrency of the Algorand platform. In 2019, the Algorand price traded at an all-time high of $3.56 and then, it reached a record low of $0.105336 in 2020 when cryptocurrencies were in a bear market.
Algorand stands apart due to its consensus mechanism, which is how new coins are minted and the network is secured so that nobody spends the same coin twice. Algorand is behind the Pure-Proof-of-Stake (PPoS) model, an upgraded version of Proof-of-Stake (PoS), which the Ethereum blockchain is currently transitioning toward. PoS is known for being more scalable and efficient, not to mention having a smaller carbon footprint vs. the proof-of-work (PoW) approach, which the Bitcoin network uses.
In this Algorand vs. Cardano comparison, we’ll explore some of the critical features of these blockchains. It is not uncommon for cryptocurrency investors to choose between these two coins. Cardano was created in 2015 by Ethereum Co-Founder, Charles Hoskinson. The Cardano blockchain made its debut in 2017. Cardano is a PoS blockchain, giving it an edge over PoW networks in scalability, transaction costs, and carbon footprint. Cardano is the No. 7 cryptocurrency, as of March 2022, with a market cap of $36.4 billion compared to Algorand’s $5.9 billion value at the same time.
Both Algorand and Cardano are active in the most popular blockchain market segments, including DeFi and NFTs. Both Algorand and Cardano serve as alternatives to their larger peer, Ethereum, whose fees are higher and transaction times slower than both networks.
Cardano boasts millions of wallet addresses, a feature of user adoption. More than 3 million active Cardano wallets are used, up from roughly 200,000 in early 2021. Algorand is said to have 10 million accounts on the network.
In the Algorand vs. Cardano illustration (below) by crypto compare site CoinExams, Alogrand scores higher than its rival across multiple features. In terms of overall utility, Algorand scores a 9.25 vs. Cardano’s 8.5. Algorand also outperforms Cardano on fees per transfer, delay speed, DeFi yields/annual APY for staking, and inflation dynamics from the supply.
There is no shortage of ways to buy Algorand coin, and a popular option is to buy it in a self-directed IRA through Bitcoin IRA . There are tax advantages to investing in crypto directly in an IRA, which is why many investors are turning to platforms like Bitcoin IRA. ALGO is also widely traded on some of the largest cryptocurrency exchanges, including Coinbase, Binance, and Kraken, to name a few.
While there’s no shortage of reasons to invest in the Algorand coin in your crypto IRA, tax savings should be near the top of your list. Get the most out of your retirement savings by investing in a tax-free1 Roth IRA. By investing in cryptocurrencies, like Algorand and Bitcoin, in your crypto IRA, you have the potential to generate outsized returns while avoiding capital gains taxes. These tax advantages are not offered on crypto investments made on traditional coin exchanges.
If you are looking to diversify your retirement portfolio in your Bitcoin IRA, Algorand is a cryptocurrency that could potentially help you address this need. The Algorand market cap is close to $6 billion as of March 2022 and therefore is not viewed as a fly-by-night altcoin.
By its inherent design, the Algorand cryptocurrency is built for the long-term with a model that the Algorand Foundation oversees. The foundation has developed a plan through which the total Algorand supply of 10 billion ALGO will be distributed into circulation over the rest of the current decade, through 2030. This approach is meant to keep inflation from creeping into the cryptocurrency due to too much supply and should support the Algorand price.
Algorand’s long-term view fits Bitcoin IRA like a glove, given the long-term nature of retirement investing. By investing through Bitcoin IRA, you’ll capture all the benefits that a crypto IRA offers, including tax advantages, so your capital gains won’t slip away.
At Bitcoin IRA, your investments are in good hands because your digital assets are secured for up to $7002 million in custody insurance. Plus, the safety and security of your digital assets is a priority to us, that’s why we employ military-grade security3 through leading wallet solutions and we use cold storage to prevent security leaks. In addition, Bitcoin IRA has partnered with industry leading wallet providers, including BitGo Trust.
Overall, the cryptocurrency market is bullish on the short- and long-term potential for the Algorand price.
Cryptopolitan points out that most estimates are for the Algorand price to trade between $3 and $5, though it could go as high as $6 per coin. The catalysts include tech updates, partnerships, decentralization, and social media sentiment. Cryptopolitan provided the following long-term price outlook for Algorand based on PricePrediction.net data.
Cryptocurrencies have transformed how people invest and how they save for retirement. If you want to join over 100,000 investors who are using BitcoinIRA.com and purchase Algorand for your long-term retirement goals, the process is quite simple:
So… Is Algorand a good investment for you and your crypto IRA? If your answer is “yes”, then Get Started Today with Bitcoin IRA4.
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1Some taxes may apply. We recommend you consult your tax, legal, and investment advisor.
2Insurance rates may vary based on asset chosen and custody solution available.
3Security may vary based on asset chosen and custody solution available.