Hedera’s vision is simple, yet broad: “To build a trusted, secure, and empowered digital future for all.” Hedera presents itself as a faster, cheaper and more secure alternative to Blockchain, by using Hashgraph Technology. Hedera already has many use cases (e.g. Covid-19, video gaming,…) which we will cover in this raport.
The native cryptocurrency of the Hedera Hashgraph system is HBAR. Hedera is a public network for the decentralized economy that does not use Blockchain Technology, instead it uses a Distributed Ledger Technology – DLT that utilizes Directed Acyclic Graphs – DAGs.
This basically means that it allows all network nodes to freely share information with each other at random and timestamps these messages to keep them in order. Further in this report we demonstrate the structure of Hashgraph and compare it to Blockchain to make this more tangible.
This review of Hedera (HBAR) was created for informational purposes. This article is not intended for promotion.
Hashgraphs and Blockchains are both Distributed Ledger Technologies – DLTs where all the nodes (individual computers) exchange information with one another. Their communication is reported by building a graph of connections.
In contrast to Blockchain, Hashgraph doesn’t need high computation power and electrical supply. It’s alleged to be carbon negative with predictable gas fees. Hedera – HBAR claims to be 10 times faster than most Blockchain alternatives and it should be able to process 10,000 transactions per second – TPS.
Hedera is owned and governed by some big companies, check out the full list below;
2020 was a notable year for Hedera as regards to partnerships:
Hedera – HBAR was founded in 2018 by Mance Harmon and Dr. Leemon Baird.
Mance Harmon, Co-Founder and CEO of Hedera, has over 20 years of strategic leadership experience in multinational corporations and high-tech startups. He received a Master’s degree in Computer Science from the University of Massachusetts and a Bachelor’s degree in Computer Science from Mississippi State University.
Previously he served as:
Dr. Leemon Baird, Co-founder & Chief Scientist of Hedera, also has over 20 years of technology and startup experience. He is the inventor of the hashgraph algorithm. Mr. Baird received his PhD in Computer Science from Carnegie Mellon University and has multiple patents and publications in peer-reviewed journals and conferences regarding computer security, machine learning, and mathematics.
Previously he served as:
Hedera’s roadmap has a lot more features in store for the current year:
Hedera has come a long way, building the world’s first mass adopted, public decentralized ledger:
For a detailed explanation of how the Hedera – HBAR protocol works, please refer to the whitepaper.
Hedera – HBAR has many use cases:
Payments: Hedera enables secure and real-time payments in HBAR, or your own stablecoin or cryptocurrency. This for less than $0.01 in transaction fee to transfer any sum of a tokenized asset on Hedera.
Tokenized Assets: Configure, mint, and manage native fungible and non-fungible tokens on the Hedera network without the need to deploy a smart contract.
Gaming: Hedera adds speed and avoids escalating risk of fraud by players when recording in-game events. It can manage scoring, player status or create and transfer digital assets in online gaming.
Healthcare: Hedera logs an unchangeable and verifiable log of patient information and identification data while preserving end-user privacy.
More examples of Hedera’s use cases can be found on the official website.
Hedera Smart Contracts are Ethereum Virtual Machine – EVM compatible and run Solidity, a programming language that is -allegedly- used by 30% of all Web3 developers.
Developers that utilize Hedera’s Smart Contracts 2.0 benefit from low, predictable gas fees through the Hashgraph consensus algorithm. Hedera can process up to 15 million gas per second. This is the amount that Ethereum aims to achieve in an entire block.
File Service lets users store data across the network that any node or user can access to benefit from a consensus timestamp of the state of data at a point in time.
Users can create decentralized registries, records, and other public data.
At the time of writing this report, Proxy Staking on Hedera’s Proof-of-Stake network is not yet available.
Proxy Staking should be accessible for all accounts who own HBAR -but aren’t operating a node- to stake their HBAR to someone else’s node.
Earnings are split between the node operator and the owners of the staked HBAR whereby the Proxy Staker earns a small share of transaction fees.
When Proxy Staking HBAR, these coins are not locked-up and Proxy stakers keep the possibility to transact their HBAR however they please.
Tokenomics
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Hedera has tons of use cases and we notice that its official website shares more than plenty of insights and information about the project, which we think is a good sign.
The Hedera project might be alot to take in, but by doing thorough research you’ll notice that the project is very versatile. Meaning it can be used for many applications and projects
Hedera is a game changer because of their use of Hashgraph Technology, instead of hopping on the well known Blockchain train. Therefore the project makes it possible to deliver fast transactions with neglectable transaction fees.
Next to payments transactions, Hedera is already used by organizations in the medical sector (e.g. Covid-19) and the gaming sector, where it logs and processes personal information or avoids fraudulent actions. Hedera also has council members with a background from leading organizations such as Google and Ubisoft.
Hedera is a refreshing allround project that is worth keeping an eye on.
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