What is HBAR
Launched in 2018, Hedera Hashgraph is a decentralized public network, with a diverse consortium of as many as 39 different organizations managing nodes to power a distributed consensus mechanism for validating transactions and updating and maintaining a decentralized application (dApp) ecosystem. Users need the Hedera Hashgraph network’s native token, HBAR, to take advantage of the highest levels of security and immutability in the hashgraph’s blockchain, and pay other users on the network in various ways to use their dApps.
So holders of the network’s tokens are affected by movements in the HBAR price. The Hedera Hashgraph price is affected by ecosystem usage, supply/demand economics, and strategic global macro factors. Tokens are available using Hedera Hashgraph exchanges or other exchanges that include HBAR in any of its liquid trading pairs.
Hedera consensus service for decentralized applications is planned to be accomplished in the future via proof of stake (PoS). HBAR is designed by its creators at Hedera Hashgraph to maximize computer resources toward reliable consensus and information security for minimum energy use and environmental impact.
Hedera Hashgraph Founders
Hedera Hashgraph and HBAR’s founding partners come from a strong background in computer science and information security for a robust, full-stack approach to distributed ledger technology. Between them, the two founders of Hedera Hashgraph also have many years of experience in both university computer science departments and private sector commerce.
Dr. Leemon Baird is widely credited with innovating the hashgraph’s decentralized Hedera consensus service. Blockchain consensus is achieved by the algorithm by participating network nodes. Currently, Hedera Hashgraph authorizes all nodes but has plans for future upgrades to transition to a completely decentralized, permissionless blockchain. Dr. Baird is Hedera Hashgraph’s chief scientist as the project follows its roadmap forward.
Baird spent over a decade working in computer science and information security before designing this software to advance decentralized finance. Hedera’s other founder and CEO, Mance Harmon, is a veteran high tech entrepreneur and has some two decades' worth of experience as an executive at major firms, with plenty of time in the IT industry.
How Does HBAR Work
The Hedera Hashgraph price, that is the price of its tokens, is a critical factor in how the blockchain is used. Hedera Hashgraph is used by network participants who want to take advantage of a low-impact, efficient, environmentally friendly consensus algorithm for building, developing, maintaining, mediating, and using decentralized applications.
HBAR price is an important key indicator and dynamic factor in the Hedera Hashgraph blockchain ecosystem. Hedera Hashgraph is powered by means of blockchain applications running on several nodes worldwide and HBAR tokens, the native cryptocurrency of the Hedera Hashgraph blockchain. So users need to buy the HBAR token in an appropriate amount to make changes to the blockchain.
HBAR price is subject to the supply/demand economics of the HBAR coin in its more digitally local as well as global market context. So investors speculating on Hedera Hashgraph price movements are well acquainted with these crucial factors and follow them closely. The number one key indicator successful investors measure against the current market price is the amount and value of the activity generated and mediated by Hedera Hashgraph exchanges. Some cryptocurrency speculators like that Hashgraph is among those cryptos labeled "deflationary."
Blockchains that host a deflationary cryptocurrency are those that use a protocol that caps the maximum supply of tokens the blockchain will ever host. This is advantageous as the limited supply creates scarcity, creating a floor and upward pressure on the price. In the case of Hedera Hashgraph, the maximum supply of coins is capped at 50 billion. The entire supply was created all at once during the token generation event (TGE) that launched the network in 2018.
Hedera Hashgraph Network Security
Hedera Hashgraph is a decentralized public network for building and maintaining dApps. Blockchain security is maintained and managed across the suite of Hedera services when using its network by an innovative consensus mechanism the project calls Hashgraph consensus. The security setup is designed by the chain's creators to achieve and maintain what is known as "asynchronous" Byzantine fault tolerance (ABFT).
That means the system is designed to be qualitative resistant to any failures in the set of possible failures described by mathematicians and computer scientists in the "Byzantine Generals Problem." This allows the network to validate an accurate order and timing of a set of verifiable log of activity up and down the supply chain from developers and dApps at the top application layer of the system, all the way down to the trust layer that locks in transactions and database states to the immutable blockchain and ledger.
At present, Hedera Hashgraph nodes are authorized to validate and place blocks by a consortium of Hashgraph affiliates. To get the blockchain off the ground, the organization has a highly diverse governing council of partners that span over 11 different industries. They are directly involved with developing and directing the Hedera Hashgraph source code and vote together on decisions that affect the operation of the initial nodes on the blockchain. At the time of publication, this serves as an effective Proof of State (POS) to secure assets and code on the network. The group has plans to transition over to a fully permissionless, completely decentralized blockchain architecture sometime in the future.
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