* It is free software, or rather, the client they recommend is Linphone, an existing open-source VoIP client.
* Specifically, the value add is an introduction/routing layer over SIP. They recommend connecting via Tor.
* The encryption is stock ZRTP.
In comparison, Signal/TS is free software, but uses novel crypto for text messages. I believe RedPhone/Signal voice is still just ZRTP. RedPhone/Signal will convert the SAS code to two frequently-amusing phrases, whereas LinPhone will just display the raw code.
There doesn't seem to be an easy way to use RedPhone with Tor, or to anonymously register with RedPhone, though I could be wrong.
Redphone/Signal has its own signaling protocol for voice calls as well. This service uses SIP. The Redphone protocol is simple in design, while SIP is the opposite.
That's not how Tor Hidden Services work. They're encrypted end-to-end (well, from your node to the host of the Hidden Service. So accessing via that address leaves no room* for anyone to get your number/password or steal your identity.
* (Usual caveats about that being the correct .onion address, about the encryption not flawed etc)
Is it free software? What differentiates it from Signal/TS?