What is Hedera? A Beginner’s Guide to HBAR

By Dario

Last Updated: Apr 9, 2025

Co-author

By Manisha Mishra

Disclaimer Icon
Disclaimer

Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
99Bitcoins may receive advertising commissions for visits to a suggested operator through our affiliate links, at no added cost to you. All our recommendations follow a thorough review process.

What is Hedera
Disclaimer Icon
Disclaimer

Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
99Bitcoins may receive advertising commissions for visits to a suggested operator through our affiliate links, at no added cost to you. All our recommendations follow a thorough review process.

Our current digital ecosystem is bloated with blockchain networks, each one screaming about decentralization, scalability, and security—yet still crawling when you need it to sprint. Enter Hedera. Not a louder voice, but a different frequency. While everyone else was busy solving yesterday’s problems with yesterday’s tech, Hedera quietly slipped in with a new playbook: hashgraph consensus, not blockchain.

A public network with corporate-grade ambition, not some anonymous garage experiment. So here it is—your no-BS Hedera review. The ‘what is Hedera’ breakdown is stripped of jargon, bloated hype, and recycled narratives. Just signal, no noise. This is Hedera’s guide for beginners, but don’t expect baby talk. Think of it as a primer for people who want to see past the marketing smoke and get a grip on what’s actually under the hood. We’ll cover what is HBAR, who’s behind it, what makes it tick, and why it might be the quiet killer in the next digital arms race.

The world doesn’t need another chain. It needs something that works. Hedera thinks it’s that thing.

Our Take on Hedera Crypto Project

Hedera isn’t trying to win a popularity contest. It’s not promising utopia or pretending to be the people’s chain. It’s building infrastructure—efficient, deliberate, and unapologetically structured. Whether that’s a strength or a liability depends on what you value in a network.

The tech speaks for itself: hashgraph consensus over traditional blockchain architecture, giving Hedera an edge in throughput, finality, and energy efficiency. It’s not theory—it’s working. But it comes with trade-offs. Governance, for one. Governing Council members, not anonymous validators, steer the ship. Companies like Deutsche Telekom and IBM are making platform decisions, not a scattered DAO. That raises questions. Some call it stable. Others call it centralized.

But if you strip ideology from the conversation and look at performance, Hedera delivers. Fast transaction fees, real-time consensus, and a roadmap focused on real-world use cases—file storage, digital identity, tokenization, Decentralized Finance, NFTs, and beyond.

It’s not a revolution. It’s an optimization. Whether that’s enough in a market addicted to chaos is another story. But in terms of engineering? It’s hard to ignore.

Hedera Review: Summary

Hedera is a purpose-built network designed to sidestep the inefficiencies that plague most blockchain systems. It doesn’t follow the herd. Instead of stacking blocks, it runs on hashgraph consensus, a protocol that offers finality in seconds and bandwidth to match.

The project operates under a governing council model. Not your typical cryptocurrency playground of pseudonymous validators, but a roster of global enterprises—each with a limited, time-bound seat at the table. Depending on who you ask, that’s either a feature or a flaw. It’s certainly a contrast to most distributed ledger projects.

On paper, Hedera looks like a network built to scale: low transaction fees, high throughput, and public network accessibility. In practice, it’s already powering a wide range of services—from supply chain tracking to tokenized assets, from decentralized identity to carbon footprint verification. The tech isn’t in beta. It’s live.

But the big question remains: is this model—corporate-backed, performance-first, governance-heavy—what the next phase of crypto looks like? Or does it drift too far from the original ethos of decentralization?

Either way, Hedera is playing a different game. And it’s playing it well.

Key Takeaways

  • Hedera uses hashgraph consensus, not traditional blockchain, allowing for faster finality, higher throughput, and greater efficiency.
  • The network is governed by a council of global enterprises, not anonymous validators—offering structure but raising decentralization questions.
  • HBAR serves multiple functions: network fuel, staking asset, and unit of account across a growing set of real-world use cases.
  • Low transaction fees and strong performance metrics position Hedera as a serious contender for enterprise-grade decentralized infrastructure.
  • The network’s focus is practical adoption—identity, tokenization, payments, sustainability—not hype-driven narratives.

Terms You Need to Know Before Understanding Hedera

  • Hashgraph Consensus – A distributed consensus algorithm that replaces blockchain’s linear structure with a directed acyclic graph for faster finality.
  • Gossip Protocol – The method Hedera uses to share information across nodes quickly and efficiently, reducing latency.
  • Governing Council – A group of global enterprises responsible for network governance, protocol decisions, and technical oversight.
  • Mirror Nodes – Nodes that replicate network data for analytics and transparency but don’t participate in consensus.
  • HBAR – The native utility token of the Hedera network, used for transaction fees, staking, and securing the integrity of the network.
  • Smart Contracts – Programmable logic deployed on Hedera, offering automation and decentralized applications without the congestion of traditional chains.
  • Proof of Stake – The mechanism through which HBAR holders can stake tokens to secure the network and earn rewards.
  • Distributed Ledger – A decentralized database managed by multiple participants, serving as the backbone of Hedera’s architecture.

What is Hedera?

Hedera is a public network built to handle throughput at scale. Not a blockchain, not trying to be one. It runs on hashgraph consensus, a protocol that ditches blocks and mining for speed and finality. No forks. No bottlenecks. Just raw execution.

It’s designed for volume—fast, cheap, and predictable. Transaction fees stay flat. Confirmation is near-instant. The structure leans on gossip protocol and virtual voting, cutting out the inefficiencies that slow traditional systems down.

What is Hedera
Source: Hedera

But it’s not just the tech. The structure is different, too. Governance isn’t left to chance. It’s handled by the Hedera Governing Council—a rotating lineup of major companies overseeing protocol changes, network services, and technical board direction. It’s not decentralized in the ideological sense. It’s structured decentralization with defined accountability.

At its core, Hedera wants to be infrastructure—not hype. File storage, tokenization, identity, payments, DeFi, NFTs—it’s all being built out on the same base layer. A wide range of services, tied together by one network, running on HBAR.

It’s less about shouting “Web3” and more about showing up with something that works.

History of Hedera Crypto

Hedera didn’t start with a meme or a token ticker. It started with math. The protocol—hashgraph technology—was created by American computer scientist Leemon Baird in 2015. He wasn’t chasing market cycles. He was solving for consensus.

The tech sat under the radar for a while. In 2017, Mance Harmon joined Baird to co-found Swirlds, the company that would later become the launchpad for Hedera. Their goal wasn’t to run a private ledger. It was to push a public hedera network built on a faster, more efficient system.

By 2018, the Hedera entity was formed. The first HBAR tokens were sold through SAFT rounds. Early backers weren’t degens—they were institutions. The network went live in 2019 with its mainnet, and the first wave of governing council members came on board shortly after. Deutsche Telekom, IBM, Tata, and others were early names in the mix.

Since then, Hedera has stayed in build mode. No viral moments. No hype spikes. Just steady infrastructure development—smart contracts, token service, consensus service, and ecosystem growth around real enterprise use cases.

It’s not a perfect arc, but it’s deliberate. And in this space, that’s rare.

About the Hedera Team

Hedera isn’t a one-man show or a pseudonymous mystery. It’s built by a team with names, resumes, and a clear direction. At the core are Leemon Baird, the inventor of hashgraph consensus, and Mance Harmon, an executive with a background in cybersecurity and enterprise systems. Together, they co-founded Hedera with the aim of turning raw algorithmic innovation into infrastructure-grade tech.

Behind them is a team stacked with experience across cryptography, distributed systems, product engineering, and business strategy. CTOs, CISOs, ex-military cybersecurity experts—this isn’t your usual crew of whitepaper dreamers and Telegram moderators. These are people who’ve worked inside real systems, at scale, under pressure.

Hedera Review
The Hedera Team | Image Source: Hedera Website

There’s also a clear divide between Hedera’s technical leadership and its Governing Council. The team builds and maintains the network infrastructure, but platform decisions—protocol upgrades, service rollouts, roadmap priorities—are shaped by the council.

That structure matters. It means the core team isn’t operating in a vacuum or behind closed doors. It’s part of a larger, more formalized ecosystem—one that’s accountable, whether you like the model or not.

Who is the Founder of Hedera Project?

The architecture behind Hedera traces back to Leemon Baird—a mathematician, cryptographer, and American computer scientist. He didn’t fork Ethereum. He didn’t clone Bitcoin. He wrote something entirely different: the hashgraph consensus algorithm. That’s the engine under Hedera’s hood, and it’s what separates this project from every other chain on the board.

Baird is a systems guy. Before Hedera, he held positions in academia and defense, including work on cybersecurity and machine learning for the U.S. Air Force. His interest wasn’t in launching a token. It was in fixing what existing distributed systems couldn’t do—reach consensus efficiently at scale.

Alongside him is Mance Harmon, Hedera’s co-founder and the business half of the equation. Harmon is a former cybersecurity lead at the Missile Defense Agency and a tech executive with decades of ops behind him. Together, they brought a dual approach: protocol design from Baird, execution strategy from Harmon.

No cult of personality. No theatrics. Just two founders focused on shipping tech and turning a whiteboard algorithm into a production-grade distributed ledger.

Vision of the Hedera Blockchain Project

Hedera’s approach is practical. Build a network that works at scale, doesn’t bleed money on throughput, and doesn’t collapse when it hits production-level volume. That’s it. No utopian messaging, no decentralization theater. Just a ledger that can handle real transactions from real systems.

The project isn’t pretending governance doesn’t matter. It leans into it. The Governing Council model puts accountability in the hands of defined participants—rotating members with capped terms, technical oversight, and no single entity with permanent control. It’s not trustless. It’s structured. And it’s built that way on purpose.

This structure is what allows Hedera to push into use cases that other networks struggle to support. Tokenized assets, supply chain data, decentralized identity, payment rails, file storage, sustainability tracking—these aren’t theoretical. They’re already being built into the Hedera ecosystem through integrations with enterprise and public-sector players.

The broader vision is to create a distributed ledger technology stack that companies, institutions, and governments can actually adopt—without needing to rebuild their entire infrastructure around blockchain bottlenecks. Hedera isn’t chasing headlines. It’s positioning itself as backend infrastructure for the next phase of digital systems.

What Problems Does Hedera Solve?

Most networks are still stuck solving problems they created for themselves—congestion, latency, fees that spike under load. Hedera went at it from a different angle. Start with a protocol that doesn’t break under demand, then build the system on top of that.

  • The first problem: Throughput. Hedera’s hashgraph consensus mechanism handles thousands of transactions per second without sacrificing finality. No batching, no waiting for blocks. Just quick settlement.
  • Second: Cost. The network is designed for transaction fees to stay stable. Whether it’s a micropayment or a high-volume enterprise integration, pricing doesn’t swing with market mood. That matters if you’re trying to build something functional, not speculative.
  • Third: Governance. Most chains leave protocol control in a vague mess of token holders, validators, and unaccountable DAOs. Hedera’s governing council model avoids that. Defined participants, transparent roles, term limits. It’s not permissionless. It’s predictable.
  • Fourth: Application readiness. The network supports smart contracts, token standards, and services built directly into the protocol—file storage, identity, logs, tokenization, DeFi, NFTs. Developers don’t need to hack around missing infrastructure. It’s already there.
  • Last: Network integrity. Byzantine fault tolerance and network nodes built for security and consistency keep the system from turning chaotic when things get heavy.

Hedera Tokenomics

HBAR is tightly integrated into how the system operates, how incentives are structured, and how future growth is funded. The total supply is capped at 50 billion HBAR. No inflation surprises, no vague monetary policy. Supply is finite, and the release schedule is publicly documented and locked into a framework overseen by the Hedera Governing Council.

Distribution is handled through structured unlocks. Treasury-managed allocations are released in phases, based on predefined categories: ecosystem development, staking rewards, third-party grants, and network incentives. According to Hedera’s Treasury Management Report, around 67% of total supply is still under council control, held in various forms—custodial wallets, escrow, staking reserves.

Hedera Tokenomics
HBAR 2025 Allocation | Image Source: Hedera Website

The point here isn’t to flood the market. It’s about liquidity control and strategic release. Unlock schedules stretch over years, not months. The goal is sustainable supply management, not short-term pumps.

Incentives are tied to network usage. As network services grow—token minting, smart contract deployment, file transfers, consensus operations—transaction fees paid in HBAR are redistributed to node operators and stakers. The more demand, the stronger the internal economic loop.

There’s no smoke-and-mirrors game here. No hidden unlocks, no shadow treasuries. Everything is disclosed in detail, tracked publicly, and updated through formal reports. That level of transparency isn’t common in this space—and it matters.

HBAR Utility & Use Cases

HBAR is built directly into how Hedera functions. Every transaction, every smart contract call, every token mint, every file transfer—it all runs on HBAR.

Start with the basics: transaction fees. HBAR is the payment unit for network activity. From moving tokens, writing to the ledger, or executing a contract, you’re paying in HBAR. The fee structure is fixed in USD terms but paid in HBAR, which adds predictability for developers and enterprises.

Then there’s network security. HBAR powers proof of stake. Nodes are weighted by the amount of HBAR staked—directly or through delegation. Staking rewards come from the treasury, and over time, that system transitions into a more open validator market.

Beyond that, HBAR sits at the center of everything happening across the Hedera ecosystem. It’s used to power:

  • Token Service: Minting, managing, and transferring custom tokens—fungible and non-fungible—with native support.
  • Smart Contract Service: Running EVM-compatible smart contracts.
  • Consensus Service: Timestamping and ordering external application events.
  • File Service: Uploading and managing files on the network.
  • Staking and Rewards: Incentivizing node participation and securing the integrity of the network.

And as real use cases continue to scale—DeFi, asset tokenization, consumer loyalty, carbon markets, identity systems—HBAR becomes the unit of settlement across all of it.

HBAR is embedded into every layer of network operation.

Hedera’s Economic Model & Incentives

Hedera’s economic model is designed for sustainability, not speculation. The system is structured to reward actual network participation.

Incentives flow through usage. Every transaction—whether it’s minting a token, triggering a smart contract, or logging a file—generates fees in HBAR. Those fees are split between two core groups: the network nodes that process activity, and the HBAR holders who stake tokens to secure the system. The more the network is used, the more value cycles back through the participants.

But unlike most ecosystems, the model is proactive. A portion of the circulating supply is allocated toward growth: developer grants, ecosystem rewards, onboarding support. These are structured programs aimed at bootstrapping adoption in areas with actual use cases.

Staking coin, meanwhile, is straightforward. No lockups, no slashing risk. You delegate your tokens to a node, earn a cut of rewards, and maintain full liquidity. It’s a low-friction system, intentionally simple to remove the usual barriers to participation.

The bigger point: Hedera’s incentives are tied to network throughput and utility. If adoption grows, rewards grow. If adoption stalls, the economics stay quiet. No smoke, no mirrors—just activity-based value flow.

Governance & Protocol Control of HBAR

Control sits with the Hedera Governing Council—a group of global enterprises that rotate through defined terms, make protocol-level decisions, and oversee the direction of the network.

It’s not a DAO. It’s not a validator cartel. It’s a fixed structure—currently capped at 39 members, with each organization holding one vote. No permanent seats. No single entity can push updates unilaterally. Council members include companies like Deutsche Telekom, IBM, Google, Standard Bank, and more—each responsible for reviewing proposals, approving upgrades, and maintaining oversight on treasury, compliance, and tech operations. As per the whitepaper,

“The Hedera network will be governed by a council of leading global enterprises, across multiple industries and geographies. Its vision is a cyberspace that is trusted and secure, without the need for centralized parties with inordinate influence.” – Hedera Whitepaper

This is governance by appointment. The tradeoff is obvious. You get accountability, technical oversight, and formal decision-making processes. But you also lose the chaotic spontaneity that defines most open governance models.

Hedera governance
Source: Hedera

On top of that, the technical board operates as a substructure focused on network evolution—research, implementation, and testing. There’s structure behind protocol changes, not informal polls or fork drama.

Critics will say it’s too centralized. Supporters will say it’s built for reliability. Either way, the model is clear—and it’s not pretending to be anything else.

Hedera’s Market Dynamics & External Factors

Like any asset, its price moves with market cycles—risk sentiment, liquidity flows, macro conditions, and retail speculation all matter. But there are structural factors that shape HBAR’s market behavior beyond the usual noise.

First is the circulating supply. With a long-tail unlock schedule and a large portion of tokens still held in treasury, supply-side pressure is gradual. That’s good for stability, but it also means there’s a constant background question: how will future releases hit the market?

Second is liquidity. HBAR is listed on major crypto exchanges as well as a few Decentralized Exchanges and sees consistent trading volume, but it’s not saturated. That keeps volatility alive. Sharp moves aren’t rare—especially when treasury distributions, grant disbursements, or staking shifts hit the books.

Third is utility growth. HBAR’s demand is directly tied to network activity. The more real use cases—DeFi, payments, tokenization, file storage, enterprise applications—the more structural buy pressure. But right now, much of that demand is still early-stage. The feedback loop between adoption and price hasn’t fully matured.

Then there’s the macro lens. Hedera is building infrastructure, but it’s still priced like a speculative asset. Until usage metrics dictate valuation, HBAR’s market dynamics will be tied to broader crypto sentiment—not just fundamentals.

The bottom line: HBAR’s future value will depend less on hype and more on whether the network actually gets used at scale.

How Does Hedera Work?

Hedera is a different system altogether—built to process high-volume workloads without burning through resources or falling apart under congestion. The design starts at the protocol layer and extends all the way through how services are delivered.

Architecture Behind the HBAR Coin

At the core is hashgraph consensus—a distributed ledger technology that doesn’t rely on miners or block production. Instead, it uses gossip protocol and virtual voting to reach agreement across the network. Nodes share transaction data directly with each other, and consensus is reached by timestamping events through a weighted voting process.

The result is deterministic finality with no soft or hard forks, no rollbacks, and no probabilistic settlement. That structure allows Hedera to deliver consistently low transaction fees, fast confirmation times, and a clean execution layer for application developers.

HBAR acts as the operating fuel across this architecture. It’s used to pay for transaction processing, smart contract execution, data storage, and consensus messaging. It also underpins the proof of stake model used to secure the network.

HBAR’s Blockchain Structure

Technically, this isn’t a blockchain. It’s a directed acyclic graph (DAG) system, which means transactions don’t line up in blocks—they flow in parallel. This structure allows for higher throughput without relying on L2 scaling or fragmented chains.

How Hedera works
How Hedera works? | Image Source: Hedera Website

The public Hedera network is maintained by permissioned network nodes, operated by Governing Council members. The roadmap includes opening this node layer to more participants, but for now, access is structured to prioritize stability and control.

Mirror nodes run in parallel, broadcasting transaction history and network state to the public without influencing consensus. They’re built for analytics, not decision-making—offering transparency without adding system overhead.

Token Standards & Smart Contracts

Most chains use smart contracts for token creation—expensive, bloated, and often a workaround for what should be core functionality. Hedera took a different path. It built tokenization directly into the protocol. The Hedera Token Service (HTS) allows for native token issuance—fungible or non-fungible—without writing a single line of smart contract code. That cuts out overhead, lowers execution costs, and avoids the vulnerabilities you get from copy-pasted Solidity templates. Want to launch a token? You define the supply, set the permissions, and start moving it—no middle layer, no contract deployment.

Hedera Crypto Review
Token, Consensus and Smart Contract Services. Image Source: Hedera Website

Everything from KYC flags, freeze controls, and supply schedules are built into the native token architecture. This makes HTS a better fit for enterprises or regulated environments—features that other networks try to bolt on manually through third-party tooling.

But if you need programmable logic, Hedera still runs an EVM-compatible Smart Contract Service. Solidity developers can deploy code using the same libraries and frameworks they use elsewhere. Nothing new to learn, just a faster backend to run on. Execution is handled at the protocol layer, with deterministic gas fees and better throughput than typical EVM chains.

This dual-track model—native tokenization for simple assets, smart contracts for programmable logic—gives developers flexibility without locking them into high-friction infrastructure.

Scalability & Performance

This is where Hedera pulls away from most networks. The system was built to process scale from day one—high throughput, fast finality, no bottlenecks.

The network routinely handles over 10,000 transactions per second in production. That’s not marketing. That’s on-chain, verifiable volume—much of it driven by real integrations, not wash trading or synthetic benchmarks. Finality clocks in around 3-5 seconds, and fee stability is baked into the design. You’re not paying $20 for a token transfer during a market spike. That’s the point.

Hedera’s architecture sidesteps the scaling hacks most chains rely on—sharding, rollups, sidechains. It doesn’t need them. The hashgraph consensus algorithm processes transactions in parallel through a DAG structure, keeping the pipeline open even under load.

And unlike most public networks, performance doesn’t come at the cost of consistency. Byzantine fault tolerance ensures the system holds up even when nodes fail or act maliciously. Combined with proof of stake and deterministic ordering, Hedera keeps high-speed execution without compromising on reliability.

This isn’t a theoretical roadmap or a whitepaper promise. It’s already running—live, under real pressure, with real throughput.

Hedera’s Standout Features

Plenty of networks claim to be fast, scalable, and secure. Hedera just happens to actually deliver it—and without bolting on third-party infrastructure to make it work.

  • Hashgraph Consensus: This is the foundation. It’s not a fork, not a clone, not another variation of blockchain. It’s a different system entirely—built to handle volume without breaking. Hashgraph consensus gives the network finality in seconds, without mining, block production, or network forks. Transactions are ordered through virtual voting, not brute-force computation.
  • Predictable Fees: Most networks suffer from pricing chaos—gas fees spike, applications break. Hedera fixes that by tying fees to USD values, then calculating the equivalent HBAR amount at runtime. Developers get stability, users avoid sticker shock, and cost projections don’t need to be rebuilt every week.
  • Native Tokenization: Through the Token Service, Hedera lets you mint and manage assets directly at the protocol layer. No smart contracts needed. That reduces risk, slashes execution cost, and adds built-in control features for compliance-heavy use cases.
  • Smart Contract Service: If you do need custom logic, Hedera runs an EVM-compatible environment—fully integrated, no friction, no new language. Same Solidity code, faster execution, lower cost.
  • File Storage and Consensus Service: These are often overlooked, but critical. Hedera lets you upload and manage files on-chain, timestamp events through the Consensus Service, and build event-driven infrastructure on top of a system that doesn’t fall apart at scale.
  • Governance Model: Say what you want about decentralization—Hedera’s governing council model provides real-world accountability. Protocol changes, treasury oversight, and roadmap direction aren’t decided by speculation or Twitter mobs. They’re handled by vetted operators with defined roles and limits.
  • Public Network, Enterprise Ready: The network is open, but designed with large-scale adoption in mind. Enterprises don’t want to build on infrastructure that breaks when usage scales. Hedera is one of the few projects that can realistically support that shift.

HBAR’s Audit Report

Security is integrated into the development cycle, and it’s verified by third-party audits—not just internal claims.

The codebase is routinely reviewed by Halborn, a recognized security firm in the crypto space. The audits cover vulnerabilities in smart contracts, protocol logic, consensus mechanics, and attack vectors tied to network architecture. Reports are published and available publicly—nothing buried, nothing NDA-gated.

Beyond that, Hedera aligns with established security standards like ISO/IEC 27001, 27017, and 27018. That puts it in a different tier from most public networks that skip formal certification entirely. The project also follows SOC 2 compliance principles, which adds an enterprise-level layer of credibility for anyone looking to integrate real business workflows into the network.

These standards are a baseline for institutional participation. You don’t get Fortune 500 adoption without proving your stack isn’t held together with duct tape. Hedera’s ongoing security audits and compliance posture show that the infrastructure can meet those thresholds.

Benefits and Drawbacks of HBAR Coin

HBAR has a strong technical foundation, but like anything in this space, it comes with trade-offs. Ignore the hype. Here’s what actually matters.

Benefits

  • Performance at Scale: HBAR runs on infrastructure that doesn’t need sidechains, L2 hacks, or patchwork scaling. High throughput, fast finality, and stable costs—already live, not theoretical.
  • Predictable Economics: Fees don’t spike with usage. Developers can price applications. Enterprises can forecast cost. Users aren’t gambling on gas every time they send a transaction.
  • Utility Across the Stack: HBAR powers staking, transactions, smart contracts, token services, and file storage. It’s not a passive asset. It’s part of the system’s core mechanics.
  • Enterprise-Grade Governance: The governing council model isn’t for everyone, but it brings accountability and structure—something most networks lack entirely.
  • Security Standards and Audits: Regular third-party audits and alignment with global compliance standards give HBAR a credibility layer most tokens don’t have.

Drawbacks

  • Perception of Centralization: The governing council model invites criticism. Even if roles are time-bound and transparent, it still deviates from the decentralized ideals that many expect in this space.
  • Token Unlock Overhang: With a significant portion of HBAR still held in treasury, there’s always background pressure around unlock schedules and how supply enters the market over time.
  • Limited Retail Narrative: HBAR doesn’t fit the typical retail hype cycle. No meme culture, no cult community, no speculative drama. That may be good long term—but it makes adoption slower in a market driven by hype.
  • Staking Still in Transition: Staking exists, but it’s still controlled by a small set of nodes. Open validator participation is on the roadmap, but not fully implemented yet.

Hedera Coin’s Analytics

HBAR’s fundamentals are only half the story. What matters just as much is what’s happening on-chain—real usage, capital flow, transaction volume. Numbers cut through narrative. This is where you see whether the network is being used or just talked about.

On-Chain Metrics

Hedera’s on-chain data shows steady growth—not explosive, but consistent.

Total Value Locked (TVL) in the network’s DeFi ecosystem currently sits at $107.13 million (as of March 15, 2025). It’s not competing with the heavyweights yet, but the capital isn’t idle—it’s tied to real applications and protocols live on the network.

Stablecoin market cap is $33.61 million, with USDC dominance at 99.25%. The ecosystem is still consolidating around a single stablecoin, which is typical for early-stage DeFi environments. There’s room for asset diversification, but for now, it’s a one-token game.

Hedera on-chain analysis
Hedera’s On-Chain Analysis | Image Source: DefiLlama

Retail flow is still heavily centralized. On-chain trading volume is growing but hasn’t fully broken out. DEX activity is volatile—sharp peaks, equally sharp pullbacks—but that’s expected when infrastructure is still being laid.

Volume spikes through mid-to-late 2024 reflected a wave of ecosystem activity—new protocols, token launches, and cross-chain integrations. But like most of the market, it corrected. What’s left is a more stable, utility-driven base. The takeaway? It’s infrastructure catching up with liquidity—and a network that’s starting to look more functional than speculative.

HBAR’s Social Media Analysis

Hedera’s community presence isn’t loud, but it’s structured—and steadily growing across platforms that matter.

Twitter (X): With 431.5K followers (as of press time), Hedera maintains an active stream of updates, use-case highlights, and ecosystem news. The messaging is clean, corporate, and purpose-driven—less meme-driven hype, more enterprise signaling. Posts are regular, and major events like HederaCon 2025 get pinned and amplified to drive visibility.

Reddit: The r/Hedera subreddit has 72K members (at the time of writing), making it one of the most active protocol communities not driven by speculation. Discussions are slower-paced but more focused on technical updates, governance changes, and builder-oriented content. Not a frenzy of engagement, but a consistent pulse of activity from developers, long-term holders, and infrastructure-focused users.

Telegram: The Telegram channel clocks in at 23K+ subscribers (at the time of writing). The tone here leans more toward ecosystem updates and collaboration announcements—recent examples include the Chainlink integration and the Verifiable Compute launch with EQTY Lab, NVIDIA, and Intel. Engagement is functional: news, announcements, links. Not a meme pit, and intentionally so.

Bottom line—Hedera’s social presence mirrors its project architecture. Structured, informative, and aligned with long-term execution. It’s not built for viral moments. It’s built for staying power.

What Do Experts Think About HBAR?

HBAR doesn’t generate the kind of noise that usually pulls in influencers and headline-chasers. But when it does get attention from analysts and institutional voices, the commentary is generally the same: strong tech, unconventional governance, and a network built for real use—not hype cycles.

Analysts often highlight Hedera’s hashgraph consensus algorithm as one of the most efficient consensus models in production. The ability to process thousands of transactions per second with finality in seconds is repeatedly cited as a differentiator—especially compared to the scaling issues that still plague other blockchain networks.

What experts think about Hedera
Source: Hedera

The trade-off, though, is governance. Experts are divided. Some view the governing council model as a logical evolution—structured decentralization that solves for accountability. Others see it as a step backward from permissionless, community-led infrastructure. But few question the execution. Council members are vetted, operational, and delivering.

Technical reviewers point to Hedera’s ledger technology as one of the most stable production environments in the market today. The network rarely suffers outages, transaction costs remain predictable, and throughput continues to increase with growing demand.

HBAR also gets nods from enterprise-focused analysts who see the Hedera ecosystem as one of the few viable frameworks for integrating Web3 into legacy systems—without requiring those systems to be rebuilt from scratch.

It’s not universally praised. But it’s taken seriously—because the infrastructure is hard to ignore.

What Crypto Community Thinks About Hedera Project?

Hedera doesn’t sit squarely in the mainstream crypto narrative, and the community response reflects that. It’s respected, but not idolized. Discussed, but not obsessed over. That’s partly because Hedera doesn’t speak the same language as most retail-driven projects—it’s infrastructure-focused, not meme-ready.

On Twitter, most engagement revolves around partnerships, ecosystem updates, and governance discussions. It’s not a hype engine. It’s a feed of announcements and protocol updates that gets traction primarily among developers, researchers, and institution-aligned circles.

Reddit tells a similar story. The r/Hedera community has 72K+ members, but the pace is slower than your typical altcoin subreddit. Threads are often technical, focused on staking, token distribution, or network architecture. There’s some price talk, but it’s not the dominant tone. It’s more of a builder and holder environment, not a trading echo chamber.

Telegram is more streamlined—mostly project updates, event recaps, and links to integration news. The crowd is less speculative, more aligned with ecosystem growth. It’s not where you’ll find the usual degens hyping pre-launch coins or waiting for airdrops.

The general sentiment across these platforms is steady: Hedera is solid, consistent, and under the radar. Supporters point to the tech, the council model, and the enterprise traction. Critics tend to question decentralization and long-term token unlocks. But even skeptics acknowledge the network delivers on performance.

It’s not polarizing. It’s just different from the typical crypto playbook—and the community reflects that.

Is HBAR a Buy?

Depends on what you’re looking for. If you want fast upside, memecoin momentum, and a retail-driven pump, HBAR isn’t built for that. It’s not riding trends. It’s building infrastructure. That means slower narratives, steadier progress, and value tied to actual usage—not social sentiment.

But if you’re betting on long-term adoption—real-world assets, enterprise integrations, tokenized systems that don’t break at scale—HBAR starts to make sense. It’s one of the few assets backed by a functioning distributed ledger, governed by known entities, with actual throughput already on display.

Still, there are risks. The governing council model won’t appeal to everyone. The token release schedule is long. Retail demand is lukewarm compared to more speculative ecosystems. And if enterprise adoption stalls, that narrative loses strength quickly.

So is HBAR a buy? Not for hype. But maybe for fundamentals. If you’re playing long-game infrastructure bets—clean rails, predictable performance, and network utility—HBAR’s one of the few tokens where the tech might eventually catch up to the valuation.

Pro Tip: If you’re looking to diversify your portfolio beyond Hedera, consider exploring our top crypto presale list. Investing in these presale coins is simple with Best Wallet — a leading non-custodial wallet that allows users to buy, hold, swap, stake, and even participate in upcoming token launches.

How to Buy HBAR Coins?

HBAR is easy to access—no hoops, no obscure swaps.

You’ll find it listed on most major centralized exchanges, including Binance, OKX, KuCoin, Bybit, Gate.io, and Crypto.com. Liquidity is solid. Order books are deep enough for both retail and institutional-sized positions. Market pairs include USDT, BTC, ETH, and fiat in some regions.

If you’re moving through centralized exchanges, the process is straightforward:

  1. Deposit funds
  2. Trade into HBAR
  3. Withdraw to your wallet if you’re not parking it on-exchange

For decentralized purchases, the options are limited—Hedera’s DEX volume is growing but still small. Most users stick to CEXs for now. That may shift over time as the DeFi layer matures and token routing on Hedera-native DEXs expands.

Once you have it, the next move is custody—and you’ll want a proper wallet for that.

Check out our ‘How to Buy Hedera (HBAR): Steps & Exchanges’ guide to know which is the best exchange to buy HBAR.

Best Hedera Wallets

Once you’ve picked up HBAR, storage matters. Leaving it on an exchange works short-term, but if you’re holding, you need a wallet that gives you control.

The go-to option is MyHbarWallet — Hedera’s native wallet. It’s purpose-built for the network, supports native token interactions, staking, and lets you connect directly to Hedera services without going through a middle layer. It’s browser-based, non-custodial, and lightweight. If you’re holding HBAR for any serious duration, this is a solid default.

Beyond that, Hedera integrates with other wallets across different categories:

  • HashPack Wallet – Well-supported, clean interface, and built specifically for the Hedera ecosystem. Supports HBAR, HTS tokens, NFTs, and staking.
  • Blade Wallet – Another dedicated Hedera wallet with a strong focus on UX and ecosystem integrations.
  • Ledger Hardware Wallet – If you’re going cold storage, Ledger supports HBAR through its hardware devices such as Ledger Nano S, Ledger Nano S Plus among others and connects via third-party interfaces.
  • Trust Wallet and Atomic Wallet – Broader multi-asset wallets that support HBAR, though with limited access to Hedera-native functions.

You’ll find the full list of wallets and custodial providers on Hedera’s ecosystem page. For more options, check out our Top 10 Best Crypto Wallets for 2025.

How to Stake HBAR?

Staking on Hedera isn’t complicated. No lockups, no slashing, no complex delegation flows. It’s designed to be frictionless—and it actually is.

Here’s how it works:

  • Proof of Stake underpins the network. HBAR holders can delegate their tokens to a network node, contributing to consensus and earning rewards.
  • There’s no minimum staking amount, no lock-in period, and you maintain full liquidity. You can unstake or move tokens anytime.
  • Rewards are paid directly to your wallet—no third-party payout schedules, no extra steps.

How to stake HBAR:

  1. Use a supported wallet—MyHbarWallet, HashPack, Blade, or another staking-enabled interface.
  2. Select a node from the list of available operators.
  3. Delegate your HBAR to that node.
  4. That’s it. Rewards start accruing automatically.

Current staking yield is modest—but predictable. The rate is funded from treasury allocations, not inflation, and is designed to grow with network usage. No complicated validator infrastructure, no tech overhead. Just delegation, yield, and network contribution. It’s staking the way it should be—simple and functional.

Full documentation here if you want the deeper technical breakdown on HBAR staking.

Hedera’s Future: What To Expect?

Hedera’s future is tied to infrastructure maturity and adoption curves. The network’s current validator layer is still permissioned, controlled by the governing council, but plans to expand participation are already in motion. When the validator set opens up, it’ll shift the structure of network control—less centralized, more distributed, and better aligned with the long-term vision of a robust, global ledger.

On the DeFi front, growth is slow but steady. TVL is still modest compared to legacy chains, but the foundation is being laid—protocols are launching, liquidity is climbing, and more use cases are moving from theoretical to production-ready. Hedera doesn’t need a thousand forks and clones. It needs a few high-functioning, capital-efficient protocols that actually deliver.

Future of Hedera blockchain
Source: Medium Post

The bigger play is still enterprise adoption. Hedera is already positioning itself in the sectors that move quietly but carry weight—identity systems, real-world asset tokenization, sustainability tracking, decentralized data logging, and corporate infrastructure tools that aren’t built to trend, but to last. These are multi-billion-dollar verticals looking for scalable solutions.

That’s the bet with Hedera. Not a quick run. A long runway.

Conclusion: What is Hedera?

You’ve seen the architecture, the governance, the economics, the numbers. And now you’re sitting there thinking—what the hell is this thing?

It’s not a hype engine. It’s not a DeFi casino. It’s not here to pump your bags overnight. Hedera is a quiet machine—one that was engineered, not memed into existence. While the rest of the market plays musical chairs with block times and gas fees, Hedera just runs—fast, stable, predictable, boring in all the ways that matter and dangerous in all the ways that count.

It doesn’t beg for attention. It doesn’t need to. The hashgraph consensus algorithm does what half this space pretends to do—settle fast, scale big, and hold the line under pressure. The governing council? Love it or hate it, at least someone’s accountable when the lights flicker. Try getting a response from a DAO when your protocol freezes mid-transaction.

But here’s the part most people miss—this whole thing is about infrastructure. Payment rails, identity systems, carbon markets, asset registries—actual systems, not speculative playgrounds. That’s where Hedera is placing its bet. That’s what HBAR is backing.

Will it 10x tomorrow? Probably not. But will it be running when most of the noise has burned out? You’d be foolish to bet against it.

If this space ever grows up, it’s going to need foundations that don’t collapse every cycle. And when that happens, don’t be surprised if you find Hedera sitting quietly underneath it all—stable, efficient, and already way ahead of everyone else.

So yeah. Now you know what Hedera is. The question is—who else does?

See Also:

Frequently Asked Questions

What is Hedera (HBAR)?

Who created Hedera Hashgraph?

What makes Hedera faster than Bitcoin and Ethereum?

What consensus mechanism does Hedera use?

How can I buy and store HBAR?

Can we stake HBAR to earn rewards?

References

Why you can trust 99Bitcoins

10+ Years

Established in 2013, 99Bitcoin’s team members have been crypto experts since Bitcoin’s Early days.

90hr+

Weekly Research

100k+

Monthly readers

50+

Expert contributors

2000+

Crypto Projects Reviewed

Dario
Dario
Crypto Writer

Dario is a blockchain enthusiast with a journey that started in 2016. Initially diving into dual mining ETH and Sia coin, he has since worked with top exchanges, market makers, and institutional clients, gaining invaluable insights into the blockchain ecosystem.... Read More

Free Bitcoin Crash Course

  • Enjoyed by over 100,000 students.
  • One email a day, 7 days in a row.
  • Short and educational, guaranteed!
Back to top