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Blockchain and Hashgraph are quite similar distributed ledger technologies used to store transactional data. Distributed ledger technology shortly known as DLT is a network of peers that communicate with each other to reach a consensus. It is a computerized system that documents transaction of assets but not on a single server, it’s recorded simultaneously at several locations. There is no single central data storage in DLT, each node records and match transactions in its electric catalogue. However, distributed ledger technology empowers both Blockchain and Hashgraph but both do have their advantages and disadvantages.
What is Blockchain?
Blockchain is a peer-to-peer first generation decentralized distributed ledger technology. The distributed database stores information in blocks and the blocks are linked thus forming chains and from there we get the name Blockchain. Each block contains set of transactions and Blockchain relies on consensus mechanisms, like Proof of Work, Proof of Stake, Proof of Elapsed Time, Leader-based Consensus, Economy-based Consensus, and Voting-based Consensus.
Pros of Blockchain
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Decentralization
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High level of Integrity
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Network Distribution
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Faster transactions
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Control over information
Cons of Blockchain
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Verification Algorithm
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High initial cost
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Highly volatile
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Large energy consumption
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Scalability
What is Hadera Hashgraph?
Hashgraph is a platform offering a consensus approach. It is a distributed ledger technology with structured algorithm that is also said to fill the gaps of blockchain. It works like graph structure where the nodes communicate each other information. All information and data is stored in events. Instead of using miners to verify transactions, Hashgraph uses “gossip about gossip” and “virtual voting” mechanism to bring consensus to the network. Hashgraph Consensus Service enables applications with privacy control, order transaction with the middle-men, auditability in real-time.
Pros of Hashgraph
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Security
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Low energy consumption
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Less investment
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Fast Transaction
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Low Transaction fee
Cons of Hashgraph
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Patented Technology
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Lack of decentralization
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No mining
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Uncertainty
Difference between Blockchain and Hashgraph
Approach
Approach brings the most difference between Hashgraph and Blockchain. Where Blockchain stores data in blocks in a linear way on the other hand Hashgraph utilizes the directed acyclic graph for storing and accessing information.
Security
Blockchain and Hashgraph both stand strong when it comes to security. Blockchain utilizes cryptographic methods to ensure security for the data that is stored and transmitted on the network. Hashgraph uses Asynchronous Byzantine Fault Tolerance to secure the network. The approach makes sure no data is tampered when the network has some malicious elements.
Consensus Algorithm
Blockchain don’t have single approach to consensus and is dependent on the cryptocurrency or the platform. There are several popular consensus algorithms that Blockchain uses. Hashgraph uses virtual voting as a form gaining network consensus.
About the Author
EtherAuthority is one of the well known Blockchain development enterprise that offers you a scalable blockchain network specific to your business workflow. A transaction speed of up to 2000 TPS puts them on the map as a very rare brand that solves one of the major blockchain issues. Do contact for Blockchain development consultations and queries.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.