In recent weeks, HBAR, the native token of the Hedera blockchain, has surged past $0.38, briefly touching $0.39—a 40% gain in just 24 hours and over 104% growth in the past month. This rally has brought HBAR back to its November 2021 price levels, reigniting interest in a project that many newer crypto participants may have overlooked.
Launched in 2019, Hedera is no flash-in-the-pan meme coin. Yet despite its robust technical foundation and institutional-grade governance, it remained under the radar—until now. The catalyst? A spot ETF application filed by Canary Capital on November 13. But while ETF speculation often leads to short-lived pumps, HBAR’s momentum has held strong. Why?
Let’s explore the forces behind HBAR’s resurgence and why this legacy Layer-1 might be poised for long-term relevance.
What Is Hedera?
Hedera is a decentralized, open-source proof-of-stake public ledger powered by the Hashgraph consensus algorithm, an alternative to traditional blockchain architectures. Unlike leader-based systems, Hashgraph uses an asynchronous Byzantine Fault Tolerant (ABFT) model that enables fast, fair, and energy-efficient consensus.
According to official metrics:
- Finality in just 2.9 seconds
- Average transaction cost: $0.0001
- Energy consumption per transaction: 0.000003 kWh—170x more efficient than Solana
Developers leverage Hedera for real-world asset (RWA) tokenization, DeFi applications, NFT ecosystems, decentralized identity solutions, and verifiable data logging—ideal for supply chain tracking, IoT data integrity, and auditable event records.
The network is governed by a council of up to 39 term-limited, globally diverse organizations, including tech giants like Google and Dell, as well as financial institutions such as abrdn. This enterprise-grade oversight provides stability and trust without sacrificing decentralization.
HBAR serves two core functions:
- Paying network transaction fees
- Staking for node validation in the PoS system
With a total supply of 50 billion HBAR and over 38.19 billion currently circulating, HBAR holds a market cap of approximately $13.28 billion, ranking it among the top 20 cryptocurrencies by market capitalization.
👉 Discover how next-gen blockchains are reshaping digital finance
Why Is HBAR Surging? Key Drivers Behind the Rally
1. ETF Hype and Institutional Validation
The immediate spark came from Canary Capital’s filing for a HBAR spot ETF with the U.S. SEC—an event that sent prices soaring over 30% in a single day. While ETF applications for assets like SOL, XRP, and LTC have drawn widespread attention, HBAR’s submission flew under the radar initially.
However, institutional interest isn’t new. In October 2024, Canary Capital launched the HBAR Trust, catering to accredited investors—a clear precursor to a full ETF launch. Steven McClurg, CEO of Canary Capital and former CIO of Valkyrie Funds, stated this move was designed to pave the way for broader market access.
Despite analyst expectations (such as Bloomberg’s James Seyffart) suggesting SEC decisions on these ETFs may not arrive until late 2025, market sentiment remains bullish. Investors appear to view HBAR as undervalued relative to peers, especially given its strong fundamentals and early institutional backing.
2. Governance Ties to Potential SEC Leadership
One unique factor fueling speculation is the potential political influence tied to Hedera’s governance. Brian Brooks, a member of Hedera’s governing council and former Acting Comptroller of the Currency, emerged as a contender for the next U.S. SEC Chair under a Trump administration.
Though Paul Atkins was ultimately nominated (with reports indicating possible reluctance), Brooks’ association with Hedera created a narrative: if pro-crypto leadership took the helm at the SEC, approval odds for crypto-related financial products—including HBAR ETFs—could rise significantly.
Even without confirmation, the mere possibility contributed to sustained buying pressure—an example of how governance dynamics can influence market perception in Web3 projects.
3. Riding the Real-World Asset (RWA) Wave
Hedera is strategically positioned at the forefront of the RWA tokenization trend—one of the most promising narratives in modern finance. Institutions are increasingly exploring blockchain to digitize traditional assets like bonds, real estate, and commodities.
Tether launched Hadron by Tether on November 14, a platform dedicated to asset tokenization—built partially on Hedera’s infrastructure. Visa also entered the space with its Visa Tokenized Asset Platform (VTAP), further validating enterprise adoption.
Hedera reports over $50 million worth of assets tokenized on its network, serving clients such as Dovu, abrdn, and Shinhan Bank. Its high throughput, low cost, and regulatory-compliant framework make it ideal for enterprise use cases where scalability and auditability matter.
Steven McClurg emphasized that Hedera represents “the type of enterprise technology that links cryptocurrency with real-world scalability”—a vision gaining traction as institutions seek reliable rails for digital transformation.
👉 Explore platforms enabling seamless entry into emerging crypto trends
4. Strong Demand from South Korea
Market data reveals another critical driver: Korean retail FOMO. On Upbit—the country’s largest exchange—HBAR recorded over $13.53 billion in 24-hour trading volume, second only to XRP ($53.72 billion). Notably, this volume exceeded Bitcoin’s on the same platform.
Even more strikingly, on Bithumb, HBAR’s 24-hour volume hit $14.3 billion, surpassing both its own volume on Upbit and even BTC’s trading activity on Bithumb.
This level of localized demand mirrors the earlier XRP rallies driven by Korean investors—suggesting HBAR has become a new favorite among Asia-Pacific retail traders seeking high-growth altcoins.
The Return of the Altcoin Season
For much of 2023–2024, altcoins struggled. Market focus remained fixed on Bitcoin’s all-time highs while VC-heavy tokens faced massive unlocks and declining valuations. Meme coins dominated headlines, leaving little room for fundamentals-driven projects.
But signs now point to a rotating cycle: altcoins are reclaiming market share. As Odaily analyst Nan Zhi noted, current altcoin dominance is approaching levels seen at the beginning of the 2021 bull run—indicating we may be entering a long-awaited alt season.
In this context, HBAR exemplifies how even older-generation Layer-1 blockchains can experience renewed interest when aligned with macro trends: institutional adoption, regulatory clarity, RWA growth, and global retail participation.
Frequently Asked Questions (FAQ)
Q: What makes Hedera different from other blockchains?
A: Hedera uses the Hashgraph consensus algorithm instead of traditional blockchain architecture. It offers faster finality (under 3 seconds), lower fees ($0.0001 per transaction), and significantly reduced energy use—making it ideal for enterprise applications requiring speed and sustainability.
Q: Is HBAR’s ETF approval likely?
A: While no decision is expected before late 2025, the filing itself signals growing institutional interest. Approval depends on SEC policy shifts, but early mover status gives HBAR an edge among altcoins pursuing ETFs.
Q: Who uses Hedera in real-world applications?
A: Companies like Google, Dell, abrdn, Shinhan Bank, and Tether have engaged with Hedera for use cases ranging from data integrity to asset tokenization—demonstrating strong enterprise adoption.
Q: Why is South Korea buying so much HBAR?
A: Korean retail investors often favor high-potential altcoins with strong narratives. With rising interest in RWA and ETF prospects, HBAR fits perfectly into current market psychology on exchanges like Upbit and Bithumb.
Q: Can older blockchains stay competitive?
A: Yes—especially those with scalable tech and real-world utility. Hedera proves that legacy doesn’t mean obsolete; continuous innovation and strategic partnerships keep older networks relevant.
Q: How does governance work on Hedera?
A: Hedera is governed by a council of up to 39 global organizations with term limits. This hybrid model balances decentralization with accountability—appealing to enterprises wary of fully permissionless systems.
👉 Stay ahead of market shifts with tools built for informed investors
Final Thoughts
HBAR’s recent surge isn’t just about price—it reflects deeper shifts in crypto adoption. From ETF speculation and political narratives to real-world utility and regional trading frenzies, multiple forces are converging to elevate this once-overlooked network.
As the altcoin season gains momentum and RWA becomes a mainstream financial tool, Hedera stands out as a rare blend of technical efficiency, enterprise credibility, and market momentum.
Whether you're drawn by fundamentals or riding the wave of speculation, one thing is clear: HBAR is no longer flying under the radar.
Core Keywords:
Hedera, HBAR, Hashgraph, RWA tokenization, ETF application, Layer-1 blockchain, enterprise blockchain