Holo (HOT): distributed "global server" for P2P applications without blockchain

Some developers prefer to use distributed ledger technology (DLT) to address security and fault tolerance issues. The most famous example of DLT is blockchain, on which all cryptocurrencies are built. The creators of Holochain took a different path and introduced a platform using a distributed hash table (DHT).

What is Holo?

Holo (HOT) is a native token of the Holochain platform used for payments within its ecosystem.

Holochain is an open-source framework designed to develop secure and performant P2P applications. P2P (Peer-to-Peer) is a networking model in which participants interact directly with each other without a central server or intermediary. In simple words, Holochain is essentially a scalable server that connects many nodes into a global decentralized network.

The Holo team was founded in 2016, and the Holochain platform was released in 2018. Holochain is not a blockchain in the usual sense, but it provides exactly the environment for the development and functioning of peer-to-peer applications (DApps).

How does Holochain work?

Holochain is architecturally different from blockchain-based platforms. Thus, developers avoided needing consensus mechanisms such as Proof-of-Stake (PoS) or Byzantine Fault Tolerance (BFT), energy-intensive mechanisms used in blockchain networks. P2P applications developed on the Holochain framework also do not require blockchain technology.

All devices in the Holochain network connect directly to each other, forming an encrypted peer-to-peer network that enables the autonomous operation of P2P applications. Encryption prevents the interruption of communications between nodes and the interception and control of transmitted data.

Unlike validators in classical blockchains, each node in the Holochain network can independently verify and manage its own data and locally apply data validation rules.

Unlike systems based on DLT technology, the DHT-based Holochain platform allows network nodes to store only a portion of data, which reduces computational overhead and improves operational efficiency. In addition, DHT does not require all nodes in the network to operate simultaneously, which also saves computational resources. Data validation is performed by adjacent nodes in the network, which provides security and transparency.

Also, the Holochain platform uses an agent-based approach. Applications (client part) run on the user's device, and data security is ensured by Holochain's P2P infrastructure (server part).

Holo token

Holo (HOT) is one of the native tokens of the Holochain ecosystem used for payments by network members. Users can pay with HOT tokens for services provided by P2P application developers and rent computing power for their needs. In turn, developers and providers of computing power (Holochain network nodes) receive revenue in HOT tokens.

HOT, also known as HoloToken, was issued in January 2018 in ERC-20 format on the Ethereum blockchain as part of an Initial Coin Offering (ICO) and listed on exchanges in the same month. Since the HOT token does not have a blockchain, the asset exists only on the Ethereum and Gnosis networks.

Since listing, the HOT token rate has increased by 76% and is $0.0013 as of March 2025. The absolute price maximum (ATH) of the HOT token was recorded in April 2021 at $0.03, which is almost 96% higher than the current value.

A total of 174 billion HOT tokens are circulating on the market; however, the altcoin does not have a maximum issue. This means that HOT is an inflationary cryptocurrency, and the number of existing Holo tokens on the market may increase.

The market capitalization of the Holo token is $225 million, and according to this indicator, the asset ranks 178th among cryptocurrencies on the CoinMarketCap website.

Another key asset in the Holochain ecosystem is the "gas" token HoloFuel (HOLO), which is used to pay for transactions by users and developers of hosting services. In this, the HoloFuel token resembles the native ETH cryptocurrency used to pay for gas on the Ethereum network. However, this is the only function of the HOLO token in the Holochain ecosystem.

Conclusion

Holochain developers have presented an alternative to existing blockchain networks that provide high performance and scalability, which is one of the major issues with many decentralized protocols such as Bitcoin, Ethereum, and BNB Chain.

Holochain's DHT-based hashing algorithm provides secure and transparent verification of transaction data without consensus mechanisms such as PoW, PoS, or BFT, earning the platform the name "post-blockchain".