A hash algorithm is a one-way function that converts a data string into a numeric string output of fixed length. It is collision resistant, meaning it is very unlikely for different data to produce the same hash value. Common hash algorithms include MD5 and SHA-1. A one-way hash function takes a variable-length input and produces a fixed-length output. It is easy to compute the hash but very difficult to reverse it or find collisions. Hash functions are used for password verification, digital signatures, and ensuring data integrity.