Welcome to the latest edition of the Algo Insights Report, recapping ecosystem metrics and momentum in May 2026.
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May highlights
May delivered a renewed acceleration in network activity and builder momentum, even as stablecoin liquidity pulled back from April levels.
Capital and liquidity
- TVL (USD): +9.8% MoM ($88M → $97M)
- Stablecoin market cap: -32.9% MoM ($79M → $53M)
The standout capital signal this month was continued TVL growth, with USD-denominated TVL rising nearly 10% month-over-month. However, stablecoin liquidity declined sharply, indicating that broader capital depth across the ecosystem softened despite the increase in total value locked.
Network usage
- Monthly Active Wallets (MAW): +24.3% MoM (472K → 587K)
- Total wallets: +0.9% MoM (50.67M → 51.12M cumulative)
- Transactions: +1.17% MoM (3.55B → 3.59B cumulative)
After April’s cooldown, user activity rebounded meaningfully in May. Monthly active wallets increased by more than 24%, while total wallets and cumulative transactions continued to expand, suggesting stronger engagement alongside steady network growth.
Builder activity
- Contracts deployed: +47.3% MoM (463K → 682K)
- New assets created: +238.7% MoM (17K → 59K)
Builder activity saw a sharp recovery in May, with contracts deployed rising 47% and new asset creation more than tripling from April. This marks a strong reversal from the prior month’s slowdown and points to renewed ecosystem experimentation and deployment activity.
Decentralization and security update
In May 2026, Algorand continued progress on decentralization and network security, with total ALGO staked steadily at over 2.11 billion. The community now accounts for 81.4% of the stake, while the Foundation’s share is 18.6%.
Algorand tokenomics
At the end of May, ALGO’s circulating supply reached 8.92 billion, representing 89.2% of the total maximum supply. This marks a 0.13% increase from April.
Staking rewards and network fees
In May, Algorand validators earned 6.93 million ALGO in staking rewards, +308K ALGO MoM, while fees collected rose 5.6% (from 47K to 50K 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 launched xChain so that Algorand dApps are no longer exclusive to Algorand users. xChain accounts are now live with MetaMask, Rabby, and Coinbase Wallet.
- AlgoBharat hosted AlgoBharat Ep #72: The Path to Finance.
- Winners from the Nirmin Hackathon at Amity University Mumbai were announced.
- Several blogs were published: Algorand’s post-quantum ledger strategy, atomic settlements, Multisig, and xChain.
- AlgoDevs shared AlgoKit Utils beta for TypeScript and Python, the first piece of AlgoKit 4.0.
- Amar Odedra was promoted to Interim Chief Commercial Officer.
- A new Built to Build episode featured Argimiro del Pozo, Senior Software Engineer at the Algorand Foundation.
- Algorand xGovs funded nine ecosystem proposals retroactively. 1,452,776 ALGO was allocated through community voting.
- UNDP Alt Fin Lab celebrated the graduation of Cohort 2 of the UN Blockchain Academy, in collaboration with the Algorand Foundation.
- The Community Call was held on May 28, which featured Sealed. Watch the recording.
Algorand in the news
- CSO Chris Peikert was interviewed by Cyber Insider about the impact of quantum computing on encryption.
- CEO Staci Warden spoke at the Council on Foreign Relations Meeting on Digital Currencies.
- At the AIM Summit in London, CEO Staci Warden spoke on the panel, Tokenization & the Future of Capital Markets, with Coinbase Institutional, IDAP Global LLP, and Mintus.
- Algorand is now listed on Robinhood in all 50 US states.
- CCO Amar Odedra was on The Market Runup podcast to discuss post-quantum security, digital assets and tokenization, and sustainable business models.
- At the Nordic Blockchain Conference in Stockholm, CSMO Marc Vanlerberghe spoke on the panel, Institutional-Grade Protocols - Key Strategic Considerations for Enterprises, with Ethereum and Stellar.
- CLOO Jennie Levin wrote a piece for Fintech Weekly on how builders should treat compliance to survive political cycles.
Around the ecosystem
The roundup below highlights how the ecosystem is doubling down on strengths in payments, prediction markets, and developer infrastructure.
Staking and DeFi news
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Rxelms launched a new staking pool.
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VersaBank recently completed what they describe as the world's first pilot of blockchain-based deposit receipts and chose Algorand as one of their trusted networks.
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Stablecoins, payments, and agentic commerce
- Hypercube partnered with YTL Corporation to launch what they describe as the UK's first blockchain-verified water reuse credit, built on Algorand. Alan Torrisi, Co-Founder and CTO of Hypercube, was interviewed by Genfinity and AllinCrypto to discuss the initiative.
- UNCDF and UNDP’s Afghanistan Digital Prosperity Project, delivered through HesabPay, launched what they describe as Afghanistan's first end-to-end digital microfinance solution.
Wallets
- Pera Wallet
- Rolled out several updates which focused on maintenance, stability, and security.
- Hosted the Pera Community Monthly.
- Revamped the support forum with an AI chatbot integration.
Prediction markets
- Alpha Arcade
- Launched Badges, which allow you to make trades, complete tasks, and earn badges.
- Launched live volume, fees, and wallet metrics dashboards.
Dev spotlight, tools, and infrastructure
- AlgoDevs shared a deep dive on Smart Signature Accounts powering xChain.
- AlgoDevs created an x402 tutorial. Follow the guide or watch the video.
What's happening in June
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June 11 marks seven years since Block 0, Algorand’s genesis block.
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The India Dev Retreat is taking place in Goa, June 11-14. Thirty-one teams have been selected to
present in the semifinal round on June 12, and the top 10 teams will present on June 14.
- On June 19, Algorand celebrates seven years since the network launched and the Algorand Foundation was established.
- Also on June 19, Sara Jane, AF Junior Integrations Specialist, will host an AMA on Reddit.
- The June Community Call will be held on June 30 on X.
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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