VeChainThor (VET) is a flexible, enterprise-grade L1 smart contract platform that originated in 2015. Recognized as a trailblazer for real-world enterprise applications, VeChain created a distributed platform fueled by Internet of Things (IoT) technologies, NFC chips, and blockchain to assist various industries in tackling data-related issues.
VeChain addresses significant obstacles to blockchain adoption. The platform employs a clever two-token system, VET and VTHO, which separates the Store of Value from gas fee payment mechanisms, ensuring costs remain low and predictable. With fee delegation, smart contracts can cover gas fees for business users, and an enhanced transaction model enables more efficient data packaging while ensuring data finality.
VeChain is committed to promoting incentive-driven sustainability dApps through its new platform, VeBetterDAO, in collaboration with the Boston Consulting Group. This partnership aims to drive adoption among both enterprises and individuals, helping to onboard the next billion users to Web3 over the next decade.
From supply chain management to sustainability initiatives, VeChain has consistently played a leading role as a catalyst for the integration of blockchain in business. Committed to advancing real-world blockchain adoption, VeChain remains at the forefront of this technological evolution.
Who Founded VeChain (VET)?
VeChain was brought to life by creator and co-founder Sunny Lu, an IT executive who previously held the position of CIO at Louis Vuitton China.
Lu has since made a name for himself in the cryptocurrency world. He emphasizes blockchain's potential to enhance transparency, advocating for "trust-free" enterprise structures that avoid information corruption, thanks to collaborations with key auditing and certification consultants like PriceWaterhouseCoopers and DNV, who verify data quality and certify industrial processes.
Jay Zhang, another co-founder, leads VeChain's global corporate structure, governance, and financial management, having previously worked with Deloitte and PriceWaterhouseCoopers in finance and risk management.
VeChain, which began its journey in 2015, is among the oldest dedicated smart contract platforms available, holding significant prestige among enterprise clients.
What Sets VeChain (VET) Apart?
VeChain aims to transform traditional business models, gaining recognition for its innovations in supply chain management, a sector that has seen little change over the years. Its efforts in creating a decentralized trust layer for multi-party ecosystems have already achieved notable success with major clients and government entities.
By utilizing transparent technology without a single point of control, VeChain enhances security, efficiency, and data tracking while reducing costs through trustless automation via smart contracts. Sectors such as carbon management, supply chains, international logistics, incentivized ecosystems, and automotive passports benefit significantly from the digitization of trust and collaboration offered by VeChain.
VeChain's platform appeals widely to diverse clients and industries.
The official VeChain materials highlight its distinctiveness through a dual-token setup and transformative protocols like 'fee delegation.' Its comprehensive 'ToolChain' platform allows companies hesitant about cryptocurrency to pay in fiat for VeChain's Blockchain-as-a-service, while smart contracts handle gas payments, facilitating seamless network use even in restrictive jurisdictions.
How Does VeChain Operate?
VeChain IDs are a fundamental aspect of the VeChain blockchain. Each product is assigned a unique identifier, with sensors tracking every stage of the supply chain. This creates a secure environment for all parties, where movement data is recorded and verified.
The core intention of VeChain is to offer a method for confirming the authenticity and quality of physical products, as well as to prevent fraud. The platform aims to provide stakeholders with comprehensive insights into products and business processes, thereby boosting market transparency and enhancing fairness and efficiency in international trade. VeChain's clientele already includes industry giants like BMW, LVMH, and Walmart.
VeChain's software empowers enterprise developers to create and deploy dApps. Thanks to VeChain's blockchain, companies can leverage dApps to offer advanced services and products. The project incorporates proprietary solutions and developments, such as ToolChain, My StoryTool, the VeChainThor blockchain, and IoT technology, to streamline processes.
How Many VeChain (VET) Coins Are Circulating?
VeChain utilizes two internal tokens: VeChain (VET) and VeThor (VTHO). This dual-token model is designed to prevent fee volatility and network congestion, a distinctive feature for such a platform.
VET is used for transactions and other activities, while VTHO is employed for fee payments, functioning as a "gas token," similar to its role in Ethereum (ETH) transactions.
Holding VET automatically generates a small amount of VTHO as passive income, with 70% of the VTHO used in a VET transaction being burned.
VTHO generation is based on VET holdings, while VET itself has a capped supply of 86,712,634,466 tokens.
As of December 7, 2021, there are 66,760,741,299 tokens in circulation, according to VeChainStats.
How is the VeChain (VET) Network Protected?
VeChain (VET) operates on a Proof of Authority (PoA) system, which requires comparatively low computing power to secure the network compared to Bitcoin. A recent CTI report highlighted that VeChain's annual carbon footprint is a mere 2.4% of the emissions produced by mining a single Bitcoin, showcasing PoA as an exceptionally efficient consensus mechanism for network security.
Proof of Authority involves selecting authority masternode operators by an independent Steering Committee, granting them the 'authority' to run a masternode. This approach is appealing to enterprises seeking assurance about validator integrity and quality, with the capability to remove bad actors if necessary.
Where Can You Purchase VeChain (VET)?
VET is a widely traded token available on major exchanges, and there are also markets for VTHO.
VET boasts significant markets on platforms like Binance and Huobi Global, offering pairs with cryptocurrencies, stablecoins, and fiat currencies.
If you're new to cryptocurrency and want to learn how to acquire Bitcoin (BTC) or any other token, further information is available here.
