Earlier this year the Algorand blockchain launched and the Algo started trading. It relatively quickly became evident that there was a large supply-demand imbalance for Algos. This imbalance resulted from the combination of an overly aggressive vesting schedule for Algos combined with the launch of a barebones chain implementation, that demonstrated the functioning and performance of the pure stake consensus algorithm, but lacked crucial features necessary for driving adoption (and hence demand for Algos).
The Algorand community came together for a self-imposed 30-day vesting freeze as per EIP-09092019PC which was then renewed for another 30 days per EIP-10182019ACV. An analysis published by the Economic Advisory Committee of the Algorand Foundation shows that this vesting halt helped address the supply and demand imbalance in the Algo market.
In the meantime, considerable progress has been made on the development of the Algorand blockchain with crucial new features, such as layer 1 support for a wide variety of digital assets, the Transaction Execution Approval Language (TEAL) and atomic multiparty transactions. These new capabilities, which collectively have been labeled Algorand 2.0, are now available on the Algorand Mainnet.
During this vesting halt, the Algorand Foundation collected input on proposed revisions for the vesting schedule. This feedback has been the basis for EIP-11252019AF which proposes extended vesting. USV supports this EIP which we believe strikes the right balance with regard to adoption of the Algorand network.