LukeI I may have misunderstood your reply, but in my mind, the algorithm framework is not meant to be a solution to running multiple strategies, at least not in the sense that I understand it. If you have two different strategies with a slightly overlapping universe, you need to decide whether they are similar enough to fuse into one algorithm. If the answer to that is 'no', then you should absolutely be running them as separate instances on separate accounts.
TedVZ unless your algorithm consumes too much CPU/memory to faciliate a second instance, I don't see why you couldn't run multiple instances on one VM - as long as they connect to separate accounts and have separate working directories, it should not be an issue. I don't quite understand your question about "handle the cases especially if the server/algorithm goes down and needs restarting" - running one or ten instances on a server shouldn't change how you handle restarting your instances. Are you planning on using Linux or Windows VMs? That will change how you approach the automatic restarting of instances - although both will probably involve turning the instance into some form of service, as that tends to be the easiest way to ensure uptime and reliability.