Apr 30, 2021
Disclaimer: Algorand Cayman SEZC and its wholly owned subsidiaries, all of which are Cayman Islands subsidiaries of Algorand, Inc., are now the sole owners of all tokens held by any of Algorand, Inc. and its subsidiaries. References to “Algorand” in this transparency report refer to Algorand Cayman SEZC and its subsidiaries, and all transactions described in this report that use the Algo token are made by Algorand outside the United States with non-US counterparties or otherwise handled in full compliance with US securities laws and regulations.
Algorand is committed to providing full transparency into our actions and token holdings. As previously outlined, we will be providing transparency reports on a regular basis. This report covers the period from November 1, 2020 through April 30, 2021.
Our wallet addresses, previous transparency reports, and statement of use can be found here.
As of April 30st, Algorand beneficially owns 2.047B Algos. Of those, approximately 1.765B are held in the wallets we have publicly shared, and for the remaining 282M Algorand maintains legal ownership but not physical custody (as described below).
Use of tokens
To date, there have been two primary uses of tokens held by Algorand: 1) incentives to build and contribute to the growth of the Algorand platform, and 2) development and growth of the financial ecosystem.
Incentives to contributors and application developers through token grants, competitions, and investments.
Total Algos: ~240.5 (up from ~192M at last report)
Development of the financial ecosystem by encouraging growth and liquidity through support of partner solutions including lending, staking, and market making.
Total Algos: ~201M (up from 184.4M at last report)
As described below, a limited number of tokens have been sold to fund development initiatives. All other token movements represent internal transfers between wallets for rebalancing.
Since network launch, Algorand, Inc. has continued to reduce it’s voting influence over the network. Our commitment to responsible decentralization is described in more detail here.
As previously described, Algorand sells tokens periodically to fund development initiatives. Any sales will follow the guidelines below which have been designed to limit market impact.
For any Algos sold by Algorand:
During the period, Algorand sold approximately 72M tokens through the methodology described above. During this time, Algorand represented 0.21% of volume across major exchanges according to Messari.
Algorand will continue to support core protocol development on an ongoing basis, at a minimum for AT LEAST the next 8 years and has received 330M Algos to fund grants and development efforts related to layer 1 support over this time. These Algos are included in our public wallets.
Decentralization of Algorand tokens
Algorand has begun decentralizing control of the 2B Algos received as part of the Founders’ reward. As other parties become responsible for these tokens through distributions and grants, Algorand, Inc.’s stake will decrease over time.