Hashgraph vs Blockchain, which is the better option? Blockchain technology could become obsolete if the new distributed ledger technology Hashgraph delivers!
Blockchain technology is considered the second greatest technological invention after the internet. It is popular as a distributed ledger technology that makes cryptocurrencies like Bitcoin, Ethereum etc. a huge success. The blockchain is a simple algorithm that helps to facilitate peer to peer transactions secured by cryptography without having any centralized authority.
Blockchain was completely ruling the monetary system until Hashgraph hit the market.
What is Hashgraph?
Hashgraph – is a new censuses algorithm designed by Leemon Baird (the co-founder & CTO of Swirlds) in the year 2016. Hedera Hashgraph claims that it is the future of distributed ledger technology that completely overcomes the shortcomings of Blockchain technology such as energy wastage, latency, expenses and the ‘proof of work’ censuses.
Hashgraph is a robust system that is said to be the future of the distributed ledger system. It works on achieving more fast, fairer and secure system rather than Blockchain.
Hashgraph Vs Blockchain: Who will be the future of distributed ledger technology?
When we compare Hashgraph vs Blockchain, Hashgraph is a better technology than Blockchain for the virtual currency system. It is envisioned as an advanced peer-to-peer technology that solves the challenging problems (such as efficiency, scalability, interoperability etc.) faced by Blockchain. In short, this future technology gives a rich experience of Blockchains’ features without having its limitations.
Here are the main advantages of using Hashgraph over Blockchain:-
1) 50,000 Times Faster Speed –
Unlike Blockchain, Hashgraph is only limited by bandwidth. It has 50,000 times more fast speed. It can give you a freedom to download information having up to 250,000 transactions per second whereas Bitcoin only allows up to 7 transactions per second. Such kind of speed will easily surpass the number of transactions processed by Visa and Master Card combined and much more. Truly Amazing!
2) Equal level field –
Hashgraph is a fairer distributed ledger technology as no single entity is allowed here to manipulate the order of transactions. In Blockchain, any entity or miner (that is present in the network) can prioritize certain transactions. For example, Joe and Candy are doing their transactions. A miner can pick Joe’s transaction and drop the Candy’s transaction. But in Hashgraph, the order of transactions will proceed in the chronological way which only depends on the time-stamp.
3) Provable or Verifiable –
In Hashgraph, the transactions can be verified within a few seconds, every node will be aware of the occurrence of a new transaction. Unlike Blockchain, there is no need to carry the previous record in the ledger. That is why less than 1-gigabyte storage is needed in Hashgraph (Whereas bitcoin Blockchain’s uses 60 gigabytes storage). So even your mobile phone can be a processing node!
4) Secure by Byzantine –
The biggest advantage of using Hashgraph over Blockchain is that it is secure by Asynchronous Byzantine Fault Tolerant. This makes it more resilient against botnets, DDoS attacks, and firewalls. On the other hand, Blockchain is not Byzantine. In fact, you cannot even make an assumption for reaching the censuses in the bad situation.
5) Cheap and 100% Efficient –
Blockchain, let the miners manipulate the blocks. They can include it or they can leave it for later. So it is hard to get 100% result from Blockchain. Also, it is quite expensive as it works on censuses (proof of work). Hashgraph is 100% efficient technology as it won’t work on proof of work censuses. So, not even a single block of energy is wasted here. This is very important as the electricity cost of mining one Bitcoin is increasing rapidly as the algorithm is getting more and more complex to solve.
Limitation of Hashgraph
Hashgraph is a patented technology so not anyone can use it in their application. They do have an open source community, but you cannot make Dapps (decentralized application) over them without their permission. You must seek their permission to kick start your project with Hashgraph technology. Also, right now their hands seem full as they are not entertaining new projects over Hashgraph.
Overall, when we compare Hashgraph vs Blockchain, Hashgraph seems like a superior distributed ledger technology that has all the core features of Blockchain. Many enterprises have already partnered with Hashgraph to develop their applications. If the project becomes truly open source, then it can definitely disrupt the current blockchain market.