What is Hedera (HBAR)?

HBAR crypto is the native token of Hedera, a public network for payments, tokens and smart contracts. Hedera reaches agreement using a method called hashgraph rather than a traditional chain of blocks. Its docs cite average fees around a hundredth of a cent and finality in about 3 to 5 seconds.

Is Hedera a blockchain?

Not in the strict sense. Hedera's docs describe it as a distributed ledger that uses hashgraph consensus rather than a chain of blocks. It does the same job as a blockchain, keeping one agreed record of transactions, but it gets there differently. For the broader category, see what a distributed ledger is.

In hashgraph, nodes share new transactions with random peers, and each message also records who talked to whom. Hedera calls this gossip about gossip. Because every node ends up with the same history of these messages, each one can work out how the others would vote without sending separate vote messages. Hedera calls that virtual voting.

The docs say this gives fair ordering of transactions and a strong form of fault tolerance known as aBFT. The network stays secure as long as fewer than one third of nodes are dishonest.

What is the Hedera Governing Council?

The Hedera Council governs the network. The docs describe up to 39 member organizations, each on a term-limited seat, so that no single member controls the network. The Council approves changes to fee schedules and reviews pricing at its meetings, held about every three months.

Its power over the ledger itself is narrow. According to the governance FAQ, the only network state the Council can change is deleting hosted files, including smart contracts, and it uses that power only to remove clearly illegal content. At first only Council members ran network nodes, with plans to widen node hosting over time. The node software is open source under the Apache 2.0 license through the Hiero project at the Linux Foundation.

What is HBAR used for?

HBAR has two main jobs. It pays transaction fees, which Hedera sets in US dollar terms and charges in HBAR. It is also staked to nodes to help secure the network, as in other proof-of-stake systems.

Developers use Hedera through a few core services. These include smart contracts that run Solidity code, a Token Service for creating tokens and NFTs without writing a contract, and a Consensus Service that stamps messages with a verified order and time.

Is there an HBAR ETF?

Yes, as of October 2026. Canary Capital filed for a spot HBAR fund with the SEC in November 2024, according to Cointelegraph. A Business Wire release then announced that the Canary HBAR ETF, ticker HBR, was expected to begin trading on Nasdaq on October 28, 2025, offering spot exposure to HBAR. For how these funds work, see what an Ethereum, Solana or XRP ETF is.