Hedera Governing Council to Acquire Hashgraph Consensus from Swirlds

The Hedera Governing Council has officially voted to purchase the intellectual property rights to the hashgraph consensus algorithm from Swirlds, a recent blog post by the organization revealed.

The purchase was made from the original creator of the hashgraph consensus algorithm and a founding member of the Hedera Governing Council for an undisclosed fee. 

Strides Towards Success 

The announcement also charted the roadmap for the transition of their code towards open source under Apache 2.0 license in 2022. The organization anticipates that the open-sourcing of the consensus layer will serve to further accelerate its development and expand the number of contributors.

Further, the council members also announced that the network code will be out of beta with the next mainnet upgrade.

The open sourcing of the #hashgraph consensus layer will serve to further accelerate its development and expand the number of contributors. The #Hedera Council members also announced that the network code will be out of beta with the next mainnet upgrade. https://t.co/B6v5G5XGWE

— Hedera (@hedera) January 19, 2022

In addition to that, other updates from the company included the transfer of core team members such as CEO Mance Harmon and chief scientist Leemon Baird from Hedera to Swirlds Inc as to the CEO and CTO (chief technology officer), respectively, as well as deploying community staking and node opportunities, among others. 

The Hedera network is a sustainable, enterprise-grade public ledger for the decentralized economy in the Web3 space. The platform is governed by a council of 25 organizations, including Avery Dennison, Boeing, Chainlink Labs, Dentons, DLA Piper, Google, and IBM among others.

According to the press release, the decisions have come to light in efforts to enable broader community participation and ‘facilitate exponential growth.’ 

On January 7, Hedera had announced the partnership with the London-based tech firm Neuron Innovations on a drone initiative designed to gather and store quantitative data metrics on various sectors including government initiatives.

While the decision to buy hashgraph IP is set to aid internal growth for the organization, partnerships and collaborations would further strengthen the institutional narrative for Hedera.

Price Action Still Dull 

In terms of ecosystem-centric growth and network development, Hedera seemed to glimmer but price action still looked dull. At the time of writing, HBAR traded at $0.26 noting merely 0.6% daily gains with price action on a daily chart looking largely bearish. 

While a price push above the $0.29 level can mark a decent recovery, the alt was still over 10% away from that resistance line with the $0.58 price level acting as a strong support. 

That said, HBAR still had a yearly ROI (vs USD) of +263.63% even though its short-term and mid-short-term ROIs were negative at the time of writing.