Welcome to the latest edition of the Algo Insights Report, recapping ecosystem metrics and momentum in July 2026.
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July highlights
July showed improving network participation alongside continued pressure on headline liquidity. Monthly active wallets grew, online stake increased to more than 2.07 billion ALGO, and new asset creation rose again. Meanwhile, USD-denominated TVL and stablecoin market capitalization declined, while USDC activity moderated from June’s H1 peak but remained high relative to on-chain liquidity.
In July, builder activity also expanded into an emerging area for the ecosystem: agentic commerce.
Capital, liquidity, and stablecoin activity
- TVL (USD): -7.2% MoM ($69M → $64M)
- TVL (ALGO): -0.4% MoM (807M → 804M ALGO)
- Stablecoin market cap: -10.2% MoM ($49M → $44M)
- USDC market cap: -10.6% MoM ($47M → $42M)
- USDC transacted volume: -25.0% MoM ($751M → $563M)
USD-denominated TVL and stablecoin market capitalization both declined in July. USDC activity also eased from June’s record levels, with transacted volume falling to approximately $563 million. Despite the decline, USDC transacted volume remained more than 13x its market capitalization, indicating continued high utilization of available stablecoin liquidity.
Network usage
- Monthly Active Wallets (MAW): +1.2% MoM (516K → 522K)
- Total wallets: +0.9% MoM (51.56M → 52.02M cumulative)
- Transactions: +1.0% MoM (3.64B → 3.67B cumulative)
- Nodes: -5.2% MoM (2,822 → 2,676)
Monthly active wallets grew in July. Algorand added more than 452,000 wallets and processed approximately 36.8 million transactions, while node count declined by around 5%.
Builder activity
- Contracts deployed: -5.1% MoM (639K → 606K)
- New assets created: +13.2% MoM (192K → 217K)
Builder activity remained mixed. Contract deployments continued to normalize, while new asset creation increased to approximately 217,000, extending June’s strong growth. The rise in asset creation was notably broad-based rather than concentrated. The largest creator address accounted for just 3.8% of July asset issuance, while the top 10 combined represented only 7.2%, leaving more than 92% of new assets distributed across the long tail of creator addresses.
Agentic commerce and x402
July also brought an early signal of activity in agentic payments. Following Algorand’s x402 developer initiatives, the network is now appearing on Token Terminal’s Agentic Payments dashboard, which tracks stablecoin payments initiated by AI agents using the x402 protocol.
In the week of July 27 to August 2, Algorand recorded approximately $80.9K in agentic transfer volume, placing it behind Base but ahead of Polygon and Solana among the four chains shown.
This remains an emerging category, but it provides an early indication that x402 activity is progressing from developer experimentation toward measurable on-chain usage.
(source: https://tokenterminal.com/explorer/agentic-payments?granularity=week)
Decentralization and security update
In July 2026, Algorand continued progress on decentralization and network security, with total ALGO staked steadily at over 2.07 billion. The community now accounts for 81.1% of the stake, while the Foundation’s share is 18.9%.
Algorand tokenomics
At the end of July, ALGO’s circulating supply reached 8.97 billion, representing 89.7% of the total maximum supply. This marks a 0.33% increase from June.
Staking rewards and network fees
In July, Algorand validators earned 6.74 million ALGO in staking rewards, bringing the total rewards distributed for 2026 to 46.89 million ALGO.
The chart below illustrates the monthly evolution of reward distribution alongside fee generation.
Thank you for reading. Be sure to check out the rest of the newsletter for more updates from
the Foundation and across the ecosystem.
– Simon Bonanno, Head of Analytics
News and updates
From the Foundation
- Algorand hosted the third annual Humanitarian Payments Council in Washington, D.C., convening humanitarian organizations, governments, payment providers, financial institutions, and technology companies to discuss how to use stablecoins as an effective tool for humanitarian aid. Read the recap.
- The Global x402 Challenge launched on July 21. Register now.
- Marc Vanlerberghe, Chief Strategy and Marketing Officer, published a blog, What every enterprise leader needs to know about agentic commerce.
- Nikhil Varma, Associate Director, Solution Accounts, published a blog, Why the agentic economy will be built on Algorand.
- The Algorand Foundation hosted x402 and agentic commerce demos and workshops at the WeAreDevelopers World Congress in Berlin. Read the recap.
- "Crypto Pricing with Hidden Factors," a paper by Chief Economist Matt Brigida, was published in Finance Research Letters.
- Joseph Cecala and Camilo Molano published a guide on how to enable x402 payments on Algorand.
- Jorrin Bruns, Head of Developer Engagement and Integrations, spoke at ETH Toronto on the panel, The Builder’s Perspective: Developers and Builders Shaping the Future of Web3.
- The Q2 2026 Transparency Report was published on July 31.
- Sow & Reap, a climate tech company based in India, was highlighted in the Ecosystem Spotlight.
- Built to Build featured Jorrin Bruns, Head of Developer Engagement and Integrations.
Algorand in the news
- CTO Bruno Martins was featured in a Reuters article and a Tech Talks Daily episode about quantum’s threat to crypto, as well as a Sandmark article about Algorand’s plans for Q-Day.
- CLOO Jennie Levin’s comments on the business impact of the CLARITY Act were featured in TechRound.
- CoinsNews covered the announcement that over 600,000 returning refugees in Afghanistan are now supported by UNHCR via HesabPay on Algorand.
Around the ecosystem
The roundup below highlights ecosystem updates in July.
Staking and DeFi news
- Ultrade launched People's Exchange.
- DorkFi opens beta loan repayment in any asset, powered by Haystack.
- Tinyman completed Cycle 1 of Vote & Win with 400+ governors voting.
- CompX launches Brownie Bot to autonomously manage its community treasury.
- Haystack shared staking updates.
- ASA Stats deployed an Alpha Arcade staking program.
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Stablecoins, RWAs, payments, and agentic commerce
- GoPlausible launched an x402 Facilitator, combining settlement, a public intelligence platform, and agent-native discovery in one place. The facilitator is live on mainnet and already powers the x402 Global Challenge with real merchants and settled volume.
- Lofty launched Apple Pay and its SDK.
- HesabPay reached 1 million users.
Wallets
- Pera Wallet
- Released Pera 7.0 Beta to Android and iOS users.
- Released Pera Connect v1.6.0 with Sign in With Algorand and Multi-Network support.
- NFT Collections now automatically update with new mints.
- Teased new features like quantum accounts and the revamped Pera Card on the Monthly Community Call.
Prediction markets
- Alpha Arcade
Dev spotlight, tools, and infrastructure
- Matthew Brigida, Algorand Foundation Chief Economist, launched ALGOMetrics, Algorand market microstructure and tokenomics metrics, unified in one API.
- AlgoBharat kicked off its 2026 H2 programming with AlgoBharat's Road to DevCon and the Algorand Global x402 Challenge.
- Everyday Algonaut launched ARC-56 Registry.
- Algofile, a decentralized storage platform, launched.
- ZeroSignal, a decentralized AI inference network, launched.
- D13 released nodekit v1.6.0 with account nicknames.
What's happening in August
- Algorand v5.0.0 is available now. You can upgrade your node via NodeKit or FUNC. If you need help, reach out via the #node-runners channel in Algorand’s Discord.
- Chief Strategy and Marketing Officer, Marc Vanlerberghe, hosted Agentic Commerce 101, a webinar about agentic commerce and what organizations should be doing about it today. Watch here.
- AlgoBharat is joining Krowd Kraft for the x402 Global Challenge Pre-Hack in Bangalore on August 23.
Stay up to date on upcoming conferences, hackathons, speaker events, and community meetups around the world by visiting our Events page.
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The use of agentic commerce involves risks, including potential fraud and identity verification issues. Users and merchants should ensure they are using verified agents and follow best practices for security and compliance.