Hedera Hashgraph is a distributed ledger technology with several features that make it unique compared to other blockchain technologies. These features include its high throughput, low latency, and security. Moreover, this video article will explore all things about Hedera Hashgraph to make you comprehensive about this technology.
What is Hedera Hashgraph?
HBAR Explained is a distributed and decentralized network that uses more efficient security and validation algorithms than blockchains. It is designed to be a more scalable and faster alternative to existing blockchain technologies. In addition, Hedera is the only open-source ledger that is based on hashgraph technology.
What is HBAR?
HBAR is the native cryptocurrency of the Hedera Hashgraph network. It is used to fuel transactions and applications on the network. HBAR can be bought and sold on exchanges and can also be used to pay for goods and services.
How Does Hedera Hashgraph Work?
Hedera Hashgraph Explained works by using a directed acyclic graph (DAG) data structure. This data structure allows for a more efficient way of validating transactions. The network of Hedera Hashgraph is based on nodes that are run by computers all around the world. When a transaction is made, it is first hashed and then sent to a node. That node will then validate the transaction by checking against other nodes to see if the transaction is valid. Once the transaction is verified, it is added to the DAG and can’t be changed. This provides a more secure way of handling transactions because they can’t be altered once they’ve been added to the network.
For security, Hedera uses ABFt Technology. This is a new way of handling more efficient and secure transactions than the traditional blockchain. Moreover, it uses a new kind of protocol, called “gossip about gossip,” which helps in the validation process by communicating with other nodes. This technology makes Hedera Hashgraph one of the most unique and innovative platforms available today.
Furthermore, it supports smart contracts, which enable developers to build apps that do not need intermediaries such as banks or stock exchanges to transfer value and items.
Who is the Founder of Hedera Hashgraph?
Leemon Baird, an American computer scientist, founded Hedera Hashgraph. Baird is the inventor of the hashgraph distributed consensus algorithm. He also co-founded Swirlds, the corporation that holds patents for his hashgraph innovations. Before founding Hedera Hashgraph, Baird was a computer science professor at the United States Air Force Academy.
Swilrds, the company that Baird co-founded, has licensed the HBAR undervalued technology to several customers who are building bespoke dApps for internal use in diverse industries.
In 2017, Baird lined up a management team and key investors to co-found Hedera Hashgraph. The company was publicly launched in March 2018 before a live New York City audience and 50,000 live stream viewers. On the same day, Hedera launched the website, cryptocurrency, governing council, and its whitepaper.
The Hedera Hashgraph Council is a group of multiple global organizations that govern the network. The council members are major corporations, nonprofits, and universities from around the world. Each member has an equal vote on decisions made about the network.
The council members also run nodes on the network and help to promote the use of Hedera Hashgraph.
Some of the notable members of the Hedera Hashgraph Council include Google, IBM, Boeing, LG Electronics, Nomura Holdings, Swirlds, University College London, and Tata Communications.
What Makes Hedera Hashgraph Unique?
The feature of Hedera Hashgraph is that it is a secure public cryptocurrency that is not based on blockchain technology. This is an advantage and disadvantage of open ledger and HBAR currency.
The source code for Baird’s Hedera use cases-based network is public, but the algorithm remains patent. The Hedera Hashgraph network is the only licensed public ledger based on hashgraph technology. The vision of Hedera is the future where developers will create dApps that run on Hedera’s hashgraph network and pay Hedera transaction fees and other fees.
Some key features that make Hedera Hashgraph unique include:
- High Performance: The Hedera Hashgraph network is able to handle millions of transactions per second.
- Low Cost: Transaction fees on the Hedera Hashgraph network are very low, making it more affordable for businesses to use.
- Electricity Consumption: Hashgraph networks do not require mining, so they use less electricity and are more environmentally friendly.
- Security: Hedera Hashgraph uses a unique form of consensus(asynchronous byzantine fault-tolerant)that is resistant to attack.
- Faster Speed: The Hedera Hashgraph network is much faster than the blockchain, with transactions being confirmed in seconds. It can handle 4.5b Million transactions a day and 10000 transactions per second.
- Stability: The Hedera Hashgraph network is more stable than the blockchain due to its distributed nature.
These features make Hedera Hashgraph unique. So, if you’re looking for a public cryptocurrency that is fast, stable, and secure, then Hedera Hashgraph is a good option to consider.
What Gives Hedera Hashgraph Value?
The HBAR token has increased its value from multiple uses. First of all, it is the utility token of the Hedera network. If you participate in the verification of Hedera transactions as a PoS node, you can earn HBAR tokens. You can also stake it to the validation node to obtain a token. These tokens will have value when converted to other cryptocurrencies or inconvertible bills on exchanges such as Kraken.
HBAR is also interesting for investors who expect the value of the Hedera Hashgraph network to increase with increasing visibility, number of users, and transaction volume in the market. Big companies like Boeing, Google, and IBM are board members of the Hedera Council, which makes the network more legitimate. It is also possible for Hedera to benefit from the taxation or restriction of using cryptocurrencies based on governments’ energy-intensive PoW algorithms. That makes HBAR a competitive advantage.