What if I told you that there is a cryptocurrency that is governed by a cohort of Fortune 500 companies like Alphabet and IBM, which is used for a number of interesting projects and use cases, and which can be purchased for just $ 0,10 per token. ? And one more thing: it is not a blockchain. Hedera Hashgraph (HBAR -6,49%) is exactly that.
What is Hedera Hashgraph?
Hedera Hashgraph is a distributed ledger of transactions, just like other cryptocurrencies, but Hedera differs from its peers because it does not use blockchain technology. Instead, Hedera uses a consensus algorithm called hashgraph, developed by its co-founder, computer scientist Leemon Baird. The hashgraph technology is patented, therefore Hedera is the only cryptocurrency that uses this technology. In a hashgraph, the different nodes of the network "gossip" with each other to create a time log of all transactions.
Fast, economical and powerful
Hedera says this hashgraph technology is "a faster and safer alternative to blockchain mechanisms". Hedera has a throughput of 10.000 transactions per second, with a final result in seconds. The other advantage of using Hedera is the low fees: transactions cost a fraction of a cent. This combination of low cost and impressive performance has attracted many projects to the Hedera ecosystem.
The Hedera cryptocurrency is backed by a number of large blue-chip companies, both within and outside the tech industry. Hedera is overseen by a board of directors that includes executives from tech giants like Alphabet, ServiceNow and IBM, manufacturers like Boeing and Avery Dennison, and major global telecommunications companies like Deutsche Telekom and Tata Communications.
Is Hedera to buy?
Thanks to its consensus approach and board of directors made up of industry-leading companies and the fact that it already appears to be gaining traction across a wide range of industries, Hedera holds a unique position in the crypto space. That's why I believe Hedera is a good addition to a long-term cryptocurrency portfolio for risk-tolerant investors.
It is important to note that we are still in the early stages of adopting cryptocurrencies, so this is likely to be a volatile, high-risk and high-yielding investment, which you can also make on Bitcoin Pro. It is not clear who the winners and losers will be. However, based on its bona fides, I believe Hedera is a solid choice to include in a cryptocurrency basket that may someday be much larger than it is today.