What is the Difference Between Blockchain and Hashgraph?

Blockchain and Hashgraph are both distributed ledger technologies (DLT) used to store transactional data. They have some similarities, but there are key differences between the two:

1. Approach: Blockchain stores data in blocks, in a linear way, while Hashgraph uses a directed acyclic graph for storing and accessing information.
2. Consensus Algorithms: Blockchain uses various consensus algorithms such as proof of work (PoW), proof of stake (PoS), and Proof of Capacity (PoC). Hashgraph, on the other hand, uses virtual voting to gain network consensus.
3. Security Mechanism: A third party is needed to validate transactions between parties in Blockchain. Hashgraph uses gossip about gossip protocols to validate transactions.
4. Fairness: Hashgraph is considered 100% fair, while Blockchain's fairness can vary.
5. Efficiency: Hashgraph is more efficient than Blockchain.
6. Transaction Speed: Hashgraph can process up to 10,000 transactions per second, which is faster than most blockchain networks.
7. Programming Languages: Blockchain applications often use specific languages like Solidity, while Hashgraph applications are built in more universal programming languages.
8. Smart Contracts: Hedera smart contracts are processed in the same order they were received, while the order of blockchain smart contracts can depend on factors like transaction fees or miner choices.
9. Decentralization and Accessibility: There is only one truly decentralized blockchain, Bitcoin, while Ethereum and other blockchains have varying degrees of decentralization. Hashgraph technology uses asynchronous Byzantine Fault Tolerance (aBFT), which is considered the security gold standard because it makes it impossible to tamper with data.

Despite its advantages, Hashgraph has some drawbacks, such as being more expensive to use due to higher resource requirements like storage and bandwidth, and not being widely adopted yet for mainstream applications.

Comparative Table: Blockchain vs Hashgraph

Here is a table comparing the differences between Blockchain and Hashgraph:

Both Blockchain and Hashgraph are distributed ledger technologies that provide secure, transparent networks resistant to fraud and manipulation. However, Hashgraph has several advantages over Blockchain, including faster transaction speeds, higher throughputs, and more advanced consensus algorithms. While Hashgraph is a newer technology and has not yet been widely adopted, it has the potential to revolutionize various industries and use cases.