In some decentralized gatherings, above title would be considered a treasonable felony. In reality however, the world got to this stage of civilization because something better than the old ways was discovered. About two decades plus years ago, all everyone talked about was the internet. Currently, the hype spotlight is on blockchain. Ever wondered what will be taking over next and when? Hedera Hashgraph have already crowned themselves breakers of the chain, first of their name, creators of a perfect replacement to the blockchain. Talk about disrupting the disrupter.
While different from blockchain, the hedera hashgraph is also a Decentralized Ledger Technology (DLT), one whose consensus algorithm is something you can call ‘proof of gossip’.
Hashgraph is a major contender to popular blockchain technology. There are other blockchain contenders like IOTA’s Tangle, a DLT project built on a direct acyclical graph (DAG).
Developed in 2016 by Leemon Baird of Swirlds Inc who currently serves as Co-founder, CTO and Chief scientist of Hedera hashgraph, the rest of the team is made up of professionals from virtually every industry. To facilitate its decentralized feature, the Hedera council governs over the network. It consists of 39 members from leading organisations and enterprises, chosen across 18 sectors.
How does it work?
Using a tree as an analogy, blocks created on the network are grafted back into the network rather than being pruned out of the network. This is possible via mathematical guarantees, such as Byzantine agreement and fairness. With Hashgraph, miners can create new blocks anytime and do not need to use PoW, which requires 10 minutes intervals. Even when two miners create similar blocks, in hashgraph, both blocks are still maintained on the network. Unlike blockchain, where one block has to be pruned out of the network.
Hashgraph’s vision is designed “to build a trusted, secure and empowered digital future for all”. Some features it hopes to offer are:
Security: consequential to occurring cryptographic attacks in the blockchain space. Hashgraph with its Asynchronous Byzantine algorithm, attacks like bitnets, firewalls, phishing, DDoS etc, will be avoided.
Decentralization: Blockchain gives room to miners to have decision power, they can decide to add or subtract a segment of an information. With hashgraph, no special nodes, every participant is a decision maker. True decentralization.
Speed: the elimination of PoW reduces latency expenses. Gossip about gossip system sees to speed and traces the spread of information process. It is expected to process 250,000 transactions per second.
Cheap cost: running a PoW algorithm is expensive and wasteful although, the returns are juicy for miners. Hedera hashgraph facilitates cheap running cost ensuring.
Hedera Hashgraph has no cryptocurrency yet, but owns a native token which is a Utility token giving holders access to distributed applications on the platform.
It hosted its token sale between 14th to 16th August 2018 and was able to raise $100 million out of the targeted $120 million. The presale was opened to US investors alone, and no public ICO was conducted.
Currently, hedera hashgraph patent right is privately held. Isn’t this ironic, coming from a project that claims it “is ideally suited to be the world’s first massadopted public distributed ledger, supporting a vast array of applications.” Unlike blockchain, a public permisonless network, developers on hashgraph have to request permission in order to develop on the network. The community is not open source.
While Hedera Hashgraph’s claims and promises are longed for, perhaps one major reason the death of blockchain prophecy is yet to be fulfilled is because the former is patented. Beyond a shadow of doubt, this is an exciting time to be alive.
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