Hundreds of cryptos are launched every year. However, owing to a lack of recognition or large customer base, most fail to achieve success. Key to this success is the significance of the exchange such tokens are listed on.
In light of that fact, Algorand [ALGO], a permission-less proof-of-stake blockchain technology crypto-asset which was launched way back in June 2019, has announced that the asset would be listed on Coinbase, with the exchange’s 30 million accounts being able to access the ALGO token from 14th August onward.
On Wednesday, August 14 our ALGO/USD order book will enter transfer-only mode, accepting inbound transfers of ALGO in supported regions. Orders cannot be placed or filled. Order books will be in transfer-only mode for a minimum of 12 hours. https://t.co/eYeky8GpMo
— Coinbase Pro (@CoinbasePro) August 9, 2019
A blog post released by Coinbase revealed that the launch would be followed up in 4 different phases; namely, Transfer-only, Post-only, Limit-only, and Full trading.
The post added,
“Once sufficient supply of ALGO is established on the platform, trading on the ALGO/USD order book will start in phases, beginning with post-only mode and proceeding to full trading should our metrics for a healthy market be met.”
Algorand’s ALGO token has made a remarkably quick name for itself in the industry after the asset was launched on Binance, Huobi and Coinbase Custody, within a day of its introduction.
As previously reported, the coin also raised a massive $60 million in token sale during the inaugural ALGO Auction. The token received enormous backing from major investors like Union Square Ventures and Pillar Venture Capital.
After the Coinbase announcement, the price of ALGO shot up in the market, spiking by over 16 percent in the last 24 hours, taking its value from $0.72 to $0.85.
However, as was recently reported by The Block, Algorand’s ALGO was the worst-performing virtual asset in the month of July on Binance, after recording a negative monthly return of about 62 percent.
Thus, the Coinbase announcement took much of the community by surprise, on the back of such underwhelming performance a month ago.
Twitter user, @RydesaurusRex, was one of the many to register his surprise. He remarked,
“Investors beware. This token will f*** you up. It’s specifically designed to have an absurd valuation via auction so it can be dumped on retail at high prices.”