By Shelly Melancon (Switzerland)
Adopting the Algorand blockchain ecosystem has been unprecedented. The network’s popularity has soared, and investors are looking for a more sustainable and cost-effective solution than the pricey and slower blockchain network.
Algoracle is a product developed to provide Algorand with a native service peculiar to its ecosystem and to accelerate the expansion of the Algorand Blockchain network. The expansion can only be achieved by connecting the decentralized applications (Dapps) to the physical world.
Meanwhile, Algoracle is to facilitate the process by providing and ensuring the network has a decentralized way to connect smart contracts with real-time data. This process is critical to expanding any blockchain ecosystem.
According to data from the Token Terminal, one of the largest networks in terms of dApp adoption, Ethereum, experienced an increase in its monthly gains. The growth was first recorded from April 2020, when the value was below $2 billion, to the current valuation of $14 billion.
Meanwhile, the growth would not have been possible without adopting decentralized finance (DeFi) and non-fungible tokens (NFTs). Additionally, the dApps could not function without the oracle service.
Mildly put, without the oracle service, growth will be zero. In one of its annual highs, Algorand registered 1.8 million new addresses. These new users are to support the network’s next phase of adoption, but the tools and services to enable the expansion are needed. Algoracle is the medium to make it a reality. What’s more, the integration of the Algoracle to a blockchain protocol promotes efficiency and smooth running of the network.
Also read:Developing a New Generation of Use Cases
Unlike its competitors, Algoracle uses the unique consensus algorithm in the Algorand Blockchain ecosystem. The algorithm is called Pure Proof-of-Stake (PPOs), which allows Algoracke to function fully as a decentralized entity without the limitations of the conventional oracle protocol.
As a result, Algoracle is an improvement to the oracle network. It can provide newer and more complex Dapps to help scale the oracle’s performance and improve efficiency and overall functions.
The Verifiable Random Function (VRF) mechanism and Algoracle will enable the powering of new categories of use cases. With this, smart contracts are equipped with the means to receive data by leveraging their upgraded capabilities, allowing them to send data into the real world promptly.
Therefore, users could be able to receive signals from their NFT marketplace, send and receive data on a decentralized exchange, and others. This is the next generation of DeFi and smart contracts activities.
Numerous Project Support
The previous year has seen multiple partnerships between Algoracle and Kaiko, Nomics, Equity Finance, AlgoGuard, etc.
Moreover, the collaboration with Glitter Finance has enabled the platform to power its own DeFi ecosystem, which consists of a cross-chain bridge and a yield generation solution system alongside a cross-chain NFT marketplace.
The importance of the oracle solution for the Algorand space, coupled with its vast use cases, would trigger the massive adoption of the Algorand Blockchain in the future.
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