Holochain Guide: Is Technology Better Than Blockchain? - Bitxcon
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Holochain Guide: Is Technology Better Than Blockchain?

Holochain Guide: Is Technology Better Than Blockchain?

Holochain guide provides the underlying technology to enable people to connect with what data they share. Thus, Holo creates a bridge platform between Holochain users and the traditional internet. Also, Holochain sees increased adoption, welcoming new Holochain applications (hApps), offering developers an efficient and cheaper alternative to blockchain.

In addition, this has achieved with significantly lower initial and operational costs, instant transaction finality, and without traditional consensus algorithms. All of this is possible thanks to Holochain’s distributed hash table (DHT). Also, the Holo token (HOT) hit an all-time high recently as the Holochain platform has gained industry-wide recognition. So then what is the relationship with what is cryptocurrency?

What is Holochain?

Holochain is an alternative technology that is a more scalable and energy-efficient solution to existing blockchain-enabled distributed ledger technologies. In addition, it serves as a framework and toolkit for developers to build DApps without using blockchain technology. In Holochain, DApps is a called Holochain apps, or hApps.

Holochain is a design to create a distributed internet built with user autonomy in mind. By changing the way we distribute, store, and process data, Holochain is reimagining how this affects our communication. Holochain aims to create a “more human internet,” where a centralized entity ignores interactions and relationships, and information is not immorally commoditized.

The current generation of blockchain is highly dependent on the availability of energy. Take bitcoin; for example, it requires miners to validate blocks. In addition, proof-of-Work consensus algorithms involve a lot of computational power to solve cryptographic puzzles. This creates a massive demand in terms of energy consumed – which has a terrible impact on nature.

By minimizing corporate control, Holochain creates an internet that serves individuals, not companies. Holochain allows people to control their online data and identity when transacting and to connect with applications that meet their needs without relying on a centralized entity. In addition, Holochain makes it easy, fast, and cost-effective to build distributed Holochain applications (hApps).

How does Holochain Works?

Blockchain technology has several differences from Holochain’s use of distributed hash tables. (DHT) is the approach in which transactions are verified and confirmed. With blockchain, all nodes in the network must reach a consensus using a Proof-of-Work (PoW) consensus algorithm. However, some Proof-of-Stake (PoS) algorithm variations only require majority confirmation from the network to verify a transaction.

  • Scalability: Blockchain participants have to maintain the entire blockchain, which involves transferring large amounts of redundant data and causing network congestion. Congested networks result in slow transactions and high gas costs. Holochain nodes don’t have to transfer large amounts of redundant data by sharding or horizontally partition large databases into smaller, more manageable chunks. Therefore, nodes require less bandwidth and do not overload the network.

However, with distributed hash tables (DHT), the hash chain approach is ‘agent-centric. This means that each node itself can verify and confirm transactions. Then broadcast across the network for transparency, with neighboring nodes double-checking the verification. Scalability is a major goal in today’s blockchain development landscape. As the blockchain network grows with additional nodes, increased energy is required to confirm transactions.

  • Energy Saving: Unlike blockchain, there is no consensus algorithm, so there is no betting and mining on the Holochain system. The energy required to generate Holochain tokens is also very small compared to blockchain. Thus, it does not require a large amount of processing power and electricity to become a node or validator in the network. Nodes can even operate on mobile devices.

In addition, the energy required to generate Holo tokens is very small compared to blockchain technology.

How to Predict the Future?

Like the blockchain, Holochain allows for cryptographically secure, transparent, and immutable transaction records between users on its network. However, Holochain aims to go beyond blockchain technology by bringing decentralization and distribution to its network without being affected by the shortcomings of previous blockchains.

Holochain makes developments on itself unlimited in terms of scalability and transactions per second. Furthermore, since each node handles its transaction verification, the larger the number of nodes in Holochain, the more transactions the network handles.


Holochain brings a new concept around distributed and decentralized technology by introducing distributed hash tables (DHT). As marketed by Holochain, this technology is a ‘post blockchain technology that takes advantage of all the advantages of blockchain. Moreover, this is achieved without the drawbacks of many blockchains, such as high upfront fees, network congestion, and high gas costs.

Holo works with Holochain as a bridge to connect the distributed Holochain network and the mainstream centralized internet. Holochain is the most ambitious alternative to blockchain technology, providing unlimited scalability through a distributed network of nodes. Furthermore, since each node maintains only its share of data, the network runs without redundant data transfer, reducing system load and avoiding network congestion.

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