Hedera (HBAR) is a digital currency operating on a blockchain known as Hashgraph. Hashgraph enables digital currencies, smart contracts, and distributed applications (DApps). Hedera is owned and supported by some of the largest companies in the world and uses a different version of the proof-of-stake consensus algorithm to provide faster transaction times, lower fees, and less energy consumption compared to other digital currencies.
What is Hedera?
Hedera is a digital currency on the Hashgraph, a unique type of blockchain. Hashgraph powers digital currencies, smart contracts, and distributed applications (DApps).
Hedera’s Unique Features
Hedera relies on a unique communication protocol that differs from blockchains based on proof of work like Bitcoin. The distributed Hashgraph ledgers operate on a set of nodes managed by large companies such as Google and IBM using a “Gossip Protocol” algorithm to ensure fast and low-cost transactions.
How to Mine Hedera
The consensus behind the Hedera network comes from different strong nodes communicating with the Gossip Protocol, driving recent transaction records from local nodes to the network for very fast finality times.
How to Buy Hedera
If you decide that HBAR is suitable for your digital currency wallet or investment strategy, please consider these tips for buying and storing your digital currency:
Wallets
To store HBAR, you will need a compatible digital currency wallet. Major software wallets that support Hedera include Atomic Wallet, Coinomi, Exodus, and others. For hardware wallets, your best option today is Ledger, but more wallets may be added in the future.
Transaction Times
According to Hedera, a typical transaction completes in three to five seconds with final confirmation.
Fees and Costs
Fees on the Hedera network are paid in HBAR. The average cost per transaction is $0.0001 when measured in US dollars.
Other Ways to Invest in Hedera
Many digital wallets offer custodial support for HBAR, opening up investment opportunities. Advanced custodial wallets supporting Hedera include BitGo, Fireblocks, and Kingdom Trust. Although you need a third-party investment manager to use BitGo and Fireblocks, Kingdom Trust offers custodial accounts and other accounts with tax advantages for individual users.
Source: https://www.thebalancemoney.com/hedera-hbar-explained-5196834
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