Hedera Hashgraph: Disrupting Blockchain

By Penelope I.

Set off on an in-depth exploration of the dynamic technology, Hedera Hashgraph, through the book "Hedera Hashgraph: Disrupting Blockchain". With a broad and widely accessible approach, the authors dive into hedera hashgraph's striking potentials, shedding light on how it compares to the popular technology, blockchain. The book opens up with an introduction to hedera hashgraph, revealing the origin story and its defining philosophy.By way of easily understood explanations, you'll be guided through the complex nature of cryptography, understanding the Hashgraph concept and its Asynchronous Byzantine Fault Tolerance. The authors of this book also engage readers with a deep dive into the construct surrounded by "Gossip about Gossip" that plays a critical role in the Consensus Algorithm.Get to grips with the overall framework of Hedera Hashgraph, and unravel the basics of the cryptocurrency HBAR, from how to buy it to building tokenized assets. Vividly explained are the functions, features, and uses of the Hedera Consensus service, which has introduced pioneering changes to security measures, taking both network and cryptocurrency security to new heights.Discover the possibilities of smart contracts, the degree of performance, and scalability Hedera Hashgraph can achieve, as well as its applications in a wide range of industries including finance, banking, healthcare and supply chain management. Understand the importance of decentralized finance (DeFi) and how you can leverage Hedera to create ground-breaking DeFi Projects. The book concludes by discussing the governance structure of Hedera, its legal and regulatory aspects, and what the future may hold for Hedera Hashgraph."Hedera Hashgraph: Disrupting Blockchain" is an authoritative guide for anyone seeking to thoroughly comprehend this futuristic technology—whether you're an innovation enthusiast, a tech entrepreneur, a cryptocurrency investor, or a student of cutting-edge technology.

• Language: English
• Publisher: Xspurts.com
• Release date: Mar 12, 2024
• ISBN: 9781779700704

Book preview

Table of Contents:

Table of Contents:

Introduction to Hedera Hashgraph

The Origin and Philosophy

Hashgraph vs Blockchain

Hedera Hashgraph and Cryptography

How Hashgraph Works

Understanding Asynchronous Byzantine Fault Tolerance

The Concept of Gossip about Gossip

Importance in Consensus Algorithm

Case Studies

The Framework of Hedera Hashgraph

Network Nodes

Hashgraph Algorithm

Cryptocurrency: HBAR

Basics of HBAR

Where and How to Buy HBAR

Hedera Consensus Service

Functioning and Features

Use Cases for Enterprises

Security in Hedera Hashgraph

Measures for Network Security

Measures for Cryptocurrency Security

Smart Contracts on Hedera Hashgraph

Introduction to Smart Contracts

Benefits and Use Cases

Performance and Scalability of Hedera Hashgraph

Analysis of Transaction Speed

How Hedera Hashgraph Achieves Scalability

Applications of Hedera Hashgraph

In Finance and Banking

In Healthcare

In Supply Chain Management

Tokenization on Hedera Hashgraph

Basics of Tokenization

Building Tokenized Assets

Decentralized Finance on Hedera Hashgraph

Importance of DeFi

Creating DeFi Projects on Hedera

Hedera Hashgraph Governance

Hedera Governing Council

Future Prospects

Legal and Regulatory Aspects

Crypto Regulation Impact on HBAR

Hedera Hashgraph's Regulatory Compliance

Future of Hedera Hashgraph

Predictions and Expectations

Challenges and Solutions

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Introduction to Hedera Hashgraph

Hedera Hashgraph (HBAR): Unraveling the Future of Distributed Ledger Technology

Imagine a world where digital transactions are not only secure and transparent but also lightning-fast and highly scalable. Welcome to the realm of Hedera Hashgraph, a revolutionary distributed ledger technology that is reshaping the landscape of decentralized systems.

At the heart of Hedera Hashgraph lies HBAR, its native cryptocurrency, serving as the lifeblood of the network. Unlike traditional blockchains, Hedera Hashgraph employs a unique consensus algorithm called Hashgraph, bringing a new level of efficiency and reliability to the world of decentralized applications (DApps) and digital assets.

Hedera Hashgraph was conceived with a vision to overcome the limitations of existing blockchain technologies, such as scalability issues, slow transaction speeds, and high energy consumption. Its Hashgraph algorithm, based on the principles of asynchronous Byzantine Fault Tolerance (aBFT), addresses these challenges and sets the stage for a more inclusive and efficient global network.

The Hashgraph algorithm operates on a gossip about gossip protocol, a concept central to the functioning of Hedera Hashgraph. Gossip about gossip involves nodes sharing information about the transactions they have received, creating a web of communication that ensures consensus is reached. This innovative approach enables asynchronous finality, meaning that once consensus is achieved, there is no need to wait for confirmations. Transactions are settled promptly, enhancing the overall user experience.

Cryptography plays a pivotal role in securing the integrity of transactions on Hedera Hashgraph. The network leverages advanced cryptographic techniques to ensure that data remains confidential and tamper-resistant. This commitment to security makes HBAR an attractive option for enterprises and individuals looking for a trustworthy and resilient platform.

The network's architecture, often referred to as the Hedera Governing Council, adds an extra layer of trust. The Council comprises renowned multinational organizations, ensuring decentralized governance and preventing undue concentration of power. This unique structure aligns with the principles of decentralization, making Hedera Hashgraph a truly global and inclusive platform.

One of the key strengths of Hedera Hashgraph is its impressive performance and scalability. Traditional blockchains often face challenges as the number of participants increases, resulting in slower transaction speeds and higher fees. Hedera Hashgraph, on the other hand, boasts high throughput and low-latency transactions, making it an ideal choice for applications ranging from microtransactions to enterprise-level solutions.

Real-world case studies further highlight the versatility and potential of Hedera Hashgraph. Projects in various industries, including finance, supply chain management, and healthcare, have successfully leveraged the network to enhance efficiency and transparency. This real-world applicability positions Hedera Hashgraph as a leading player in the broader blockchain and DLT landscape.

In conclusion, Hedera Hashgraph with its native cryptocurrency, HBAR, stands at the forefront of innovation in the realm of distributed ledger technology. The Hashgraph algorithm, coupled with robust security measures, decentralized governance, and impressive scalability, positions Hedera Hashgraph as a trailblazer in reshaping the future of decentralized systems. As the adoption of this groundbreaking technology continues to grow, the impact of Hedera Hashgraph on the global digital landscape is poised to be profound and far-reaching.

The Origin and Philosophy

Hedera Hashgraph (HBAR) is a cryptocurrency that runs on a public distributed ledger that utilizes the fast, fair, and secure hashgraph consensus. Hedera Hashgraph was created by Dr. Leemon Baird and Mance Harmon, who are also the co-founders of Swirlds, a company that develops distributed applications using the hashgraph technology. Hedera Hashgraph aims to provide a platform for building and deploying decentralized applications that can scale to web levels, while ensuring high performance, low cost, and energy efficiency.

Hashgraph is a novel consensus algorithm that was invented by Dr. Baird in 2016. Unlike traditional blockchains, which use a linear chain of blocks to record transactions, hashgraph uses a directed acyclic graph (DAG) to capture the history of transactions. A DAG is a data structure that consists of nodes connected by edges, where each node represents a transaction and each edge represents a communication between nodes. In hashgraph, each node also contains a timestamp and a digital signature, which are used to verify the validity and order of transactions.

Hashgraph achieves consensus through a process called gossip-about-gossip and virtual voting. Gossip-about-gossip means that each node randomly and repeatedly shares its information with other nodes in the network, creating a web of interlinked transactions. Virtual voting means that each node implicitly votes on the validity and order of transactions, based on the information it receives from other nodes. Through a mathematical algorithm, each node can calculate the votes of all other nodes, without actually sending any votes. This way, hashgraph can reach consensus on both the validity and the timestamp of each transaction, with 100% certainty and finality.

Hashgraph claims to have several advantages over blockchains, such as:

Speed: Hashgraph can process hundreds of thousands of transactions per second, compared to blockchains that can only process a few to tens of transactions per second.

Fairness: Hashgraph ensures that transactions are ordered according to their timestamps, rather than the arbitrary choice of a miner or a validator, as in blockchains. This prevents any manipulation or bias in the transaction order.

Security: Hashgraph is proven to be asynchronous Byzantine fault tolerant (ABFT), which means that it can withstand malicious attacks, network failures, or any other adverse scenarios, without compromising its consensus. Hashgraph is also resistant to forks, which are splits in the ledger that can cause confusion and conflict among users.

Efficiency: Hashgraph does not require any proof-of-work or proof-of-stake mechanism, which are computationally intensive and consume a lot of energy. Hashgraph also does not waste any transactions, as blockchains do when they discard blocks that are not part of the longest chain.

Hedera Hashgraph is the public network that implements the hashgraph consensus algorithm. Hedera Hashgraph offers three main services to developers and users: cryptocurrency, smart contracts, and file service. The cryptocurrency service allows users to transfer value using the HBAR token, which is the native currency of the network. The smart contract service allows users to execute code on the network, using the Solidity programming language, which is also used by Ethereum. The file service allows users to store and retrieve files on the network, using cryptographic hashes to ensure their integrity and security.

Hedera Hashgraph is governed by a council of up to 39 members, which are leading organizations from various industries and regions. The council members are responsible for setting the network policies, overseeing the network operations, and ensuring the network stability and diversity. Some of the current council members include Google, IBM, Boeing,