Numbers and strings are two objects manipulated by most programs. Hashing has been well-studied for numbers and it has been effective in practice. In contrast, basic hashing issues for strings remain largely unexplored. In this paper, we identify and formulate the core hashing problem for strings that we call substring hashing. Our main technical results are highly efficient sequential/parallel (CRCW PRAM) Las Vegas type algorithms that determine a perfect hash function for substring hashing. For example, given a binary string of length n, one of our algorithms finds a perfect hash function in O(log n) time, O(n) work, and O(n) space; the hash value for any substring can then be computed in O(log log n) time using a single processor. Our approach relies on a novel use of the suffix tree of a string. In implementing our approach, we design optimal parallel algorithms for the problem of determining weighted ancestors on a edge-weighted tree that may be of independent interest.