Classical Blockchain vs. Hedera Hashgraph
Distributed Ledger Technologies (DLT)
Worldwide finance is changing. As computers and digital technologies trickle into our modern life, there is change everywhere. There is no better example that Distributed Ledger Technology (DLT) being used in both hashgraph and blockchain currently.Now I could give you a two-hundred-word explanation of exactly what a DLT means. But this article is not about that. Your expectation should be a comparison between blockchain and hashgraph, which means you know what DLT is.I include this component to make this article as self-contained as possible. That is, you should be able to read through the article and the added material and understand this technology completely at your level.
.For those of you who want a quick glance: Distributed Ledger Technology is a new system of keeping transaction records in a way that solves the triple entry book-keeping problem (Google it). This solution was first proposed with the bitcoin cryptocurrency research paper published in 2008 by a Mr. ‘Satoshi Nakamuto’. That paper was a decade ahead of its time.In traditional accounting, records were centralized with multiple layers of security. In DLT, records are replicated in numerous nodes. Yes, you read that right, replication. The data integrity is protected by a mechanism of cryptographic hashing. That guards against fraud and theft. The replication prevents falsification. The chained hashing guarantees integrity. And the distributed nature of the algorithm guards against DDoS attacks.What do all those facts imply? Well: just that a centuries-old accounting system is going to be replaced. With what? Completely automated transaction-record-keeping (smart contracts). And that too with a fraction of intermediary agencies compared to what we have now. The world is going to change!
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