Hedera, also known as Hedera Hashgraph, is a public network that aims to enable individuals and businesses to create decentralized applications (DApps). It seeks to address limitations such as slow performance and instability that are often associated with traditional blockchain platforms. Hedera's native utility token, HBAR, plays a dual role within the network, powering services like smart contracts and file storage, and assisting with maintaining the platform's integrity. Hedera is based on a Proof-of-Stake (PoS) model, which is designed to enhance the efficiency of transaction verification and provide a high level of security.

Hedera operates using a consensus mechanism known as hashgraph. This consensus algorithm is designed to allow Hedera to process and execute transactions faster, eliminate delays, and smooth out the transactions per second (TPS) indicator. Hedera's hashgraph consensus aims to increase the speed of transactions and is also focused on high-volume operations like micropayments, data integrity, and tokenization. Hedera maintains a virtual machine that writes smart contracts in the Solidity programming language and includes built-in Know Your Customer (KYC) and Anti-Money Laundering (AML) checks. Hedera's hashgraph allows users to agree on the order in which transactions should be performed, making it a form of distributed ledger technology.

Hedera's features and capabilities may make it suitable for a range of use cases. Its transaction speed and efficiency may be suitable for applications that require real-time, scalable, and affordable crypto-payments. Hedera's token service allows for the creation and management of tokens, making it a potential platform for tokenization projects. The platform's smart contract tools enable developers to build decentralized applications. Additionally, Hedera's consensus service aims to provide a layer of trust for applications or networks that need a verifiable log of events. Hedera's decentralized file storage services include features like proof-of-deletion, controlled mutability, and time-based file expiry.

Hedera was founded by Dr. Leemon Baird and Mance Harmon. Dr. Baird, the inventor of the hashgraph distributed consensus algorithm, currently serves as Hedera's chief scientist. Before founding Hedera, Baird had over a decade of experience in various computer science and security roles. Mance Harmon, Hedera’s CEO, is an experienced technology executive and entrepreneur with around two decades of experience in executive roles at prominent firms, many of which are in the IT security industry. Hedera was funded through an initial coin offering (ICO) in August 2018 and launched open access to its mainnet in September 2019. The platform's native utility token, HBAR, was introduced as part of the ICO.

Hedera Hashgraph and blockchain are both forms of distributed ledger technologies (DLT), but they differ in their data structures, consensus mechanisms, and performance. Blockchain operates on a sequential data structure forming a chain of blocks, each containing a set of transactions. It relies on consensus mechanisms like Proof of Work or Proof of Stake to validate transactions and secure the network. In contrast, Hedera Hashgraph uses a graph-like structure where nodes communicate their information to each other, building a graph of connections. It employs a 'Gossip about Gossip' and 'Virtual Voting' mechanism to achieve consensus in the network. This approach enables Hedera to process transactions with a different efficiency level compared to traditional blockchains. Hedera Hashgraph aims to provide enhanced security, fairness, and speed as part of its design, making it an alternative to consider in the blockchain technology space. However, it's important to note that Hedera Hashgraph seeks to realize its full potential through ongoing testing and exploration in public networks.

The Hashgraph consensus algorithm is a distinctive method for achieving consensus in a decentralized network. It functions using concepts known as "gossip," "gossip about gossip," and virtual voting. In this context, "gossip" refers to the communication of information between nodes in the network. Each node shares all the information it knows with other randomly selected nodes in events known as "gossip events." This process continues until all nodes have the same information. The "gossip about gossip" concept involves the synchronization of information in the network using a history of "gossip events." This ensures that data cannot be altered or tampered with, achieving consensus. Virtual voting is the process where nodes compare events and reach a consensus via a voting algorithm. The Hashgraph consensus algorithm is designed with the intention of optimizing speed and efficiency within the context of consensus-building algorithms. It is structured with the intention of equitable participation, as no single node or miner is given special permissions for determining the consensus timestamp assigned to a transaction. Instead, the consensus timestamps for transactions are calculated via an automated voting process in the algorithm through which the nodes aim to collectively establish the consensus.

Hedera Hashgraph's governance model takes inspiration from VISA's original model from 1968 and operates through a limited liability company (LLC) operating agreement. This agreement details the legal responsibilities and obligations of a Governing Council, which currently consists of 28 members. The Governing Council is designed to accommodate up to 39 members. Each member plays a vital role in aiming to maintain the integrity of the Hedera network and protect its users from the risk of forks. Council members participate in decision-making related to software updates, Hedera Treasury management, network pricing, and regulatory compliance. Hosting and maintaining a node on the Hedera network is part of their responsibilities. Hedera employs an asynchronous Byzantine-Fault Tolerance (aBFT) consensus mechanism, which aims to ensure that no single council member or a group of members can prevent the community from reaching a consensus, nor can they change the consensus once it has been reached. The governance model is currently permissioned, with the potential for evolution towards a permissionless or open consensus.

Hedera Hashgraph strives to address scalability concerns by utilizing a different data structure and consensus mechanism compared to traditional blockchains. Rather than a sequential chain of blocks, Hedera Hashgraph employs a graph-like structure where nodes share their information with each other, forming a web of connections. This structure potentially allows for increased transaction speeds, with Hedera Hashgraph reporting a capacity for processing a substantial number of transactions per second. The consensus mechanism used by Hedera Hashgraph, known as the Asynchronous Byzantine Fault Tolerance consensus algorithm, is intended to safeguard the platform against attacks and aim for fair conditions, high performance, and stability. This mechanism, which relies on 'Gossip about Gossip' and 'Virtual Voting' to achieve consensus, seeks to lessen the need for high computational power and electrical supply, thereby addressing the scalability issues often associated with traditional blockchains.

HBAR, the native cryptocurrency of the Hedera network, serves a function in the ecosystem. It is utilized for network governance, application development, smart contract usage, and transaction fee payments. HBAR tokens are allocated to nodes in the Hedera network, contributing to network security through a weighted voting system. This Proof of Stake mechanism is not identical to PoS systems implemented by other blockchains, but it serves a similar function. HBAR is used to pay for network services and encourages nodes to contribute computing resources. It also aims to safeguard the network from potential cyber threats through the network’s forthcoming proof-of-stake, coin-weighted consensus mechanism.

Developers have the potential to build decentralized applications (DApps) on Hedera Hashgraph. This is achieved by utilizing Hedera's network services such as the Token Service for minting and configuring tokens and accounts, the Consensus Service for verifying timestamps and ordering of events, and the Smart Contracts service for running Solidity smart contracts. Developers can start building by learning the core concepts of Hedera, reviewing the API, and building using their preferred language. Hedera provides resources like plugins, microservices, and a learning center to help developers understand web3 and blockchain technologies. To build a DApp, developers need to define their DApp idea, select the right development tools, set up their development environment, create smart contracts, test locally, establish user authentication, integrate a consensus service, work towards scalability, deploy on a suitable platform, implement user interfaces, conduct security and auditing, introduce and share, and carry out necessary modifications to the DApp.

The Hedera Governing Council participates in the network's governance by aiming to support its decentralization, stability, and innovation. Composed of up to 39 organizations, the council seeks to prevent any single entity from having undue influence or control over the network. Each council member shares an equal vote in directing Hedera's software and services, contributing to the network's stability with a policy against forking. Council members also host and maintain one of the initial network nodes, supporting the network's decentralized consensus and growth. All members serve a maximum term of three years, with up to two consecutive terms, aiming for a fair distribution of power and decision-making. This structure seeks to develop a network that can support a wide range of applications and services.

Hedera Hashgraph aims to provide a platform with security measures for digital transactions and applications by leveraging a distributed ledger technology known as Hashgraph. This technology uses a consensus algorithm known as Asynchronous Byzantine Fault Tolerance (ABFT) to aim for enhanced security measures and fairness. The ABFT algorithm allows consensus to be reached even in the presence of malicious or faulty nodes. Once consensus is reached, the transaction is immutable and available on the public ledger for everyone to view. Hedera incorporates security measures, cryptographic protocols, and transparency to aim for the integrity of transactions and data. The platform also supports the execution of smart contracts, enabling developers to build and deploy programmable and self-executing agreements. Hedera also uses a decentralized governance model with the Hedera Governing Council, striving for fairness, stability, and industry representation in decision-making processes.

Hedera Hashgraph has established several partnerships and collaborations within the tech industry. One of these partnerships is with Ubisoft, a global video game publisher. This collaboration focuses on the developing ecosystem at the intersection of distributed ledger technology and gaming, supporting the development, growth, and launch of future gaming applications on the Hedera network. Ubisoft has also joined the Hedera Governing Council, participating in governance and product direction. Another notable partnership is with Envision Blockchain and the United Nations, creating a suite of decentralized technologies to streamline the complex carbon markets. Hedera has also selected Google Cloud as its cloud provider to help bring DLT adoption for enterprises. These partnerships seek to utilize Hedera's tokenization, smart contract, and consensus services to enhance their services, foster business, and increase revenue potential.

Hedera Hashgraph has encountered several challenges and criticisms. One of the main criticisms is the perceived centralization due to its governance model. The Hedera Governing Council, comprised of large enterprise organizations, has been criticized for concentrating power among corporate entities. This contradicts the decentralized ethos of cryptocurrencies. In response to this, Hedera aims to gradually transition towards a more decentralized and permissionless network model over time. Another challenge is the regulatory uncertainty that all cryptocurrencies face. The future regulation of the crypto space by governments remains unclear, which could impact Hedera's operations. Hedera has also faced technical issues related to potential bugs, security flaws, and other problems that may arise. To mitigate these risks, Hedera has put in place security protocols. They have ensured data integrity through distributed ledger technology and used encryption to protect data. Hedera has also faced challenges related to equal access and affordability. In response to this, Hedera aims to make its network more accessible and cost-effective for users.