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Hedera RPC Case Study

Hedera Case Study

Hedera (HBAR) is an open-source, public-permissioned Proof-of-Stake (PoS) network, governed by the Hedera Council comprising 32 global organizations, including but not limited to Boeing, Google, IBM, T-Mobile, Avery Dennison, and ServiceNow. These council members operate Hedera's validator nodes, ensuring decentralized governance and security. Hedera's protocol utilizes the Hashgraph Consensus Algorithm, providing high throughput, fair ordering, and low-latency consensus for transactions.

Key Metrics
  • TVL Since Aug 2023: 6X (520%)
  • Total Transactions Since Support: 35.5B
  • Daily Active Wallets: 2X (97%)
  • DEX Average Volume: 9X (814%)
  • Key Customers: ThirdWeb, SaucerSwap, Hashpack Wallet, ioBuilders

Hedera offers several key services, including the Hedera Smart Contract Service, Hedera Token Service, and Hedera Consensus Service. These services enable developers to build decentralized applications in various programming languages such as Solidity, JavaScript, and C++. Hedera aims to transition to fully permissionless node operation over time, fostering greater decentralization and community involvement in the network’s development.

Hedera and Validation Cloud

In August 2023, Hedera initiated a partnership with Validation Cloud to enhance its network with enterprise-grade infrastructure. The primary reason for this collaboration was to enable the growth and scalability of the Hedera ecosystem, particularly in preparation for the launch of EVM compatibility. Given Hedera's extensive work with institutions, it was crucial to have a SOC2-compliant partner that could ensure the highest levels of security. By integrating Validation Cloud, Hedera aimed to attract not only regular developers but also larger institutions and enterprises, while offering improved infrastructure to existing customers.

Challenges Before Validation Cloud
  1. Latency in Nodes: Hedera faced significant latency issues in its nodes, resulting in longer connection times and a less seamless user experience. Higher latency meant users experienced delays in transactions and interactions within the ecosystem.
  2. Lack of SOC2 Compliance: Without a SOC2-compliant infrastructure partner, Hedera struggled to attract larger enterprises that required stringent security standards. This lack of compliance was a major barrier to entry for institutions looking to utilize Hedera's network.
  3. Global Reach and Uptime: Hedera lacked the ability to deploy nodes and endpoints globally, leading to higher latency and regional inefficiencies. Additionally, there was no industry-leading SLA, making it difficult to ensure a reliable 99.99% uptime and holding nodes accountable for downtime was a challenge.
Validation Cloud's Solutions
  1. Improved Latency and Seamless Experience: ValidationCloud provided infrastructure solutions that significantly reduced node latency. This improvement resulted in a more seamless user experience with faster connection times and quicker transaction processing within the Hedera network.
  2. SOC 2 Compliance: With ValidationCloud's SOC 2 Type 2 compliant infrastructure, Hedera could meet the stringent security requirements of larger enterprises. This compliance enabled Hedera to attract and retain institutional clients, expanding its ecosystem with high-profile users.
  3. Global Reach and High Uptime: ValidationCloud's extensive global infrastructure allowed Hedera to deploy nodes and endpoints across different regions, reducing latency and enhancing performance worldwide. Moreover, ValidationCloud offered a 99.99% uptime SLA, ensuring reliable network performance and accountability for any downtime.
Impact of the Partnership
  • Growth in Usage: Since partnering with ValidationCloud in August 2023, Hedera has experienced substantial growth across various metrics. The total value locked (TVL) in the ecosystem increased by 500%, while the number of daily transactions doubled. Decentralized exchanges (DEXs) saw an 800% increase in average volume, and the number of daily active wallets grew by 100%. Overall, Hedera processed 35.5 billion transactions since the partnership began.
  • Developer Engagement: Developer engagement also saw significant improvements. The number of developers using Hedera's endpoints increased, driven by the robust and secure infrastructure provided by ValidationCloud. This attracted high-profile clients and facilitated easier onboarding of projects, enhancing the overall developer experience and ecosystem growth.
  • Operational Improvements: Operationally, ValidationCloud's solutions have optimized Hedera's protocol, enabling smoother project onboarding and deployment. The partnership ensured that Hedera's network could handle increased usage and transactions efficiently, providing a reliable and scalable foundation for future growth. This operational stability has been crucial in maintaining high performance and user satisfaction across the ecosystem.

"Validation Cloud is well known in the industry for delivering fast, scalable, and intelligent Web3 infrastructure for more seamless and efficient connectivity to blockchain networks.”-  Viv Diwaker, CIO, The HBAR Foundation
Why Should I Build on Hedera Using Validation Cloud?


Hedera has a vibrant and supportive community of developers who contribute to extensive documentation and provide constant updates. This collaborative environment helps projects troubleshoot and optimize their applications effectively.


Hedera’s partnership with ValidationCloud ensures enterprise-grade security. ValidationCloud’s SOC2-compliant infrastructure meets the highest standards, making it an attractive choice for enterprise clients and ensuring your projects are well-protected.

Global Reach and Performance

ValidationCloud’s global infrastructure allows for the deployment of nodes and endpoints worldwide, minimizing latency and enhancing performance. With a 99.99% uptime SLA, you can rely on a stable and efficient network for your applications.


Hedera’s efficient consensus algorithm and low transaction fees make it cost-effective to develop and deploy decentralized applications. By building on Hedera, you benefit from a scalable, low-cost network that supports high throughput and low-latency transactions.

How Do I Get Started with Blockchain Development on Hedera?
  1. Explore Hedera’s Services: Utilize Hedera's Smart Contract Service, Token Service, and Consensus Service to build your dApps. Our platform supports various programming languages, including Solidity, JavaScript, and C++.
  2. Access Developer Resources: Check out our comprehensive documentation and support resources to help you seamlessly integrate ValidationCloud’s tools into your projects.
  3. Join the Community: Connect with other developers, gain insights, and collaborate on innovative projects within our active and dynamic community.

Start building on Hedera today and harness the power of Validation Cloud!

About Validation Cloud

Validation Cloud is a Web3 data streaming and infrastructure company that connects organizations into Web3 through a fast, scalable, and intelligent platform. Headquartered in Zug, Switzerland, Validation Cloud offers highly performant and customizable products in staking, node, and data-as-a-service. Learn more at | LinkedIn | X