Hedera

• Hedera Hashgraph is a decentralised public network built on the hashgraph consensus algorithm, an alternative to blockchain technology.

• It aims to offer high throughput, low fees, and minimal energy consumption.

• HBAR, the native cryptocurrency, is used for transaction fees, network security through staking, and powering decentralised applications (dApps).

• The total supply of HBAR is capped at 50 billion tokens.

• Distribution: 32.41% to the Hedera Pre-Minted Treasury, 4.44% to employees, 17.4% to SAFTs and Purchase Agreements, 23.99% for Ecosystem Development, 7.96% to Swirlds, and 7.96% to founders.

• Criticisms include concerns over the large portion of tokens allocated to the treasury and founders, potentially impacting the token’s value.

As of today 21 December 2024, the price of Hedera is ₹23.98 INR, with a 24-hour trading volume of 1246439205.36 USD. The market capitalization for Hedera is 9867325773.06USD. The circulating supply is 38252162547.07 Hedera, with the total supply also being 50000000000 Hedera.

Pros:

• Uses the hashgraph consensus for fast transaction speeds and low fees.

• Features a strong governance model with a council of leading enterprises and organisations.

• More energy-efficient than traditional blockchain networks.

Cons:

• Centralisation concerns due to significant allocations to the treasury, founders, and employees.

• The hashgraph technology is patented, restricting open-source development and forking possibilities.

• HBAR’s appeal lies in its hashgraph consensus mechanism’s scalability, speed, and efficiency.

• A reputable governance model and focus on enterprise applications may drive adoption and enhance token value.

• Hedera’s unique selling point is the hashgraph consensus algorithm, offering high throughput, fairness, and security with lower energy consumption compared to proof-of-work blockchains, making it attractive for scalable and efficient enterprise solutions.

• Hedera addresses scalability, high fees, and high energy consumption issues of traditional blockchains, aiming to facilitate real-time applications and a new class of scalable dApps.

• It was founded by Dr. Leemon Baird, inventor of the hashgraph consensus, and Mance Harmon, a seasoned technology executive, combining expertise in computer science, cybersecurity, and technology leadership to drive Hedera’s development.

• HBAR’s ICO price was $0.12 during its token sale in August 2018.

• Investing in HBAR involves typical cryptocurrency risks like market volatility, regulatory shifts, and technological challenges, with additional concerns over its centralised tokenomics and patented technology potentially affecting adoption and value.

The Hedera whitepaper outlines the technology, governance, and applications of the Hedera Hashgraph platform. It introduces the hashgraph consensus algorithm, which is a novel approach to achieving distributed consensus without the need for proof-of-work or proof-of-stake mechanisms. This algorithm allows for fast, fair, and secure transactions and consensus, even at scale.

Hedera’s governance model is highlighted as a key feature, with a council of diverse and reputable organisations overseeing the network’s direction and ensuring its stability and reliability. The whitepaper also discusses the Hedera Token Service, which enables the creation and management of tokens on the Hedera network, leveraging the same security and efficiency as HBAR itself.

The document delves into the technical aspects of the hashgraph consensus, including its ability to handle high transaction volumes with low latency and its resistance to common attacks that can affect blockchain-based systems. It also covers the network’s services, such as smart contracts, file storage, and consensus services, which are designed to support a wide range of applications, from decentralised finance (DeFi) to supply chain management.

Furthermore, the whitepaper addresses the environmental impact of cryptocurrency technologies, positioning Hedera as an energy-efficient alternative to traditional blockchain networks. This is achieved through the hashgraph consensus mechanism, which does not require the energy-intensive mining process associated with proof-of-work systems.

In summary, the Hedera whitepaper presents a comprehensive overview of the platform’s innovative technology, governance structure, and potential applications. It makes a strong case for Hedera’s role in advancing the decentralised economy by offering a scalable, secure, and efficient alternative to blockchain technology.