VeChain: The Blockchain for Traceability and Transparency
VeChain is an innovative blockchain project designed to improve and optimise business processes in various industries.
VeChain is an innovative blockchain project designed to improve and optimise business processes in various industries. It was launched in China in 2016 and has since become one of the most successful technology startups in the country.
The main mission of VeChain is to create digital solutions to simplify logistics, production and sales processes. Through technology solutions, VeChain enables companies in various industries to improve efficiency, reduce costs and increase profits.
What is VeChain (VET)?
VeChain (VET) was one of the first blockchains created exclusively to meet the needs of enterprise-level customers. The developers behind the project aim to improve supply chain and product lifecycle management through distributed ledger technology (DLT). Importantly, the platform offers users a variety of new features that make it ideal for companies that want to improve supply chain protocols and business processes.
Today, the logistics industry suffers from an information asymmetry problem. Although existing systems collect a large amount of data, these are not transmitted optimally. In most cases, due to high fragmentation, the entire supply chain is forced to rely on centralised data sources. This lack of unity leads to transparency problems and delays in data transmission.
Vechain
VeChain provides companies with the ability to track massive amounts of data. These metrics can include quality, authenticity, storage temperature and transport status. Impressively, VeChain delivers all these capabilities through a distributed, trust-free enterprise ecosystem. In this way, VeChain reduces overhead costs and improves accountability.
VeChain Philosophy
VeChain differs from other industry projects in several key ways. Firstly, the developers of this project did not want to create a completely decentralised platform. Instead, their goal was to combine the best features of the DeFi (decentralised finance) and CeFi (centralised finance) sectors. This strategy creates a balanced platform that provides users with a transparent information flow, efficient collaboration and high-speed value transfer.
Who Created and Funded VeChain?
The startup VeChain was founded in 2015 in Singapore by the top managers of Louis Vuitton China, Sunny Lu and Jen Zhang, who had worked at Deloitte and PricewaterhouseCoopers.
In 2017, the VeChain Foundation was registered, a non-profit organisation that was responsible for the development and support of the blockchain platform, as well as attracting partners and developing the VeChain ecosystem.
VeChain managed to raise $22 million during the sale of the VET native coin tokens that year. A number of important partnerships already concluded at the time, including one with German car manufacturer BMW, helped attract investors' attention.
In spring 2018, VeChain attracted investments from PricewaterhouseCoopers (PwC), DNV GL, Haitao Capital, BlockVC and IOSG Ventures in three corporate rounds.
Initially, VeChain's prototype ran on the Ethereum network, but in the summer of 2018, developers launched the VeChainThor mainnet. In the following years, the project opened branches in China, the European Union, the United States and Japan. In February 2022, the VeChain Foundation's headquarters was opened in San Marino, underlining the importance of the European market for the company.
Why VeChain has two cryptocurrencies and What are their Functions?
In 2017, VeChain's creators issued 1 billion native tokens called VENs on the Ethereum network. 9% of them were sold in a private token sale for early investors, while another 41% went to an open ICO, which raised $20 million. After the launch of the VeChainThor blockchain, VEN was exchanged for native VET tokens at a rate of 1:100.
Currently, the VeChainThor blockchain uses two native cryptocurrencies: VeChain Token (VET) and VeThor Token (VTHO).
The total supply of VET is approximately 86.7 billion tokens, of which nearly 70 per cent has been distributed among early investors and token sale participants, while the remaining 30 per cent has been used to develop the VeChain ecosystem and reward developers.
The VeChain Coin has Four Basic Functions:
Payment Methods: VET is used for transfers into the VeChainThor blockchain;
Staking: this cryptocurrency is required for any VeChain node to function;
Staking: VET generates VTHO tokens while in the node's wallet. For every 10,000 VETs in the node's address book, 4.32 VTHOs are produced per day;
Governance: nodes get the opportunity to participate in the governance of the network based on the amount of VETs they possess. All 101 trusted master nodes share 40% of the total votes.
Main Advantages of the VeChain cryptocurrency platform
Among the main distinguishing features of the VeChain cryptocurrency platform, we can highlight:
At the beginning of the VeChain project, investors used ETH tokens to make purchases.
The platform is based on the code of Ethereum, which has been modified and improved to expand the functionality.
The complexity of the network is determined automatically, and the nodes of the network provide a reward of 75-99%. The remainder goes to the company for the development of the project.
Commissions for GAS transactions are paid in VET tokens. The design and execution of smart contracts are also paid for in the same way.
Programmers have the opportunity to create applications based on smart contracts and blockchain using the network source code. They receive payment for their services in VET currencies.
The VeChain cryptocurrency can be used to pay for various business services and products.
What Technologies Are Implemented in VeChain
The VeChain cryptocurrency network is based on the translation of physical products into digital format via identification - VeChain ID. For this, the SHA-256 hash function is used, and products are associated with an identifier.
The blockchain is used to store the VeChainID, which is sent via smart contracts. An API management system is used to interact with the blockchain VET and the information it contains. It provides targeted access to product information.
Initially, the VeChain ecosystem includes the blockchain main, its own wallet and the VET cryptocurrency. The network was created on the basis of Ethereum, preserving its technical fundamentals. The token is created according to the ERC20 standard and is designed to provide users with access to blockchain functions and the creation of smart contracts.
Developers are doing everything necessary to create a connection between the platform and the Internet of Things (IoT). The development team's plan includes the following:
Creation of encrypted chips;
Development of an IoT data identification and protection system;
Connection of the NB-IoT security module.
The VeThor token (VTHO) is used to pay commissions for transfers over the VeChainThor network. 70% of all VTHO commissions paid are burned, while the remaining 30% becomes a reward for trusted masternodes.
VeChain Token (VET) is in the TOP-50 cryptocurrencies by capitalisation. Both cryptocurrencies are traded on all major cryptocurrency exchanges.
How Do VeChain Blockchain Solutions Help Businesses?
VeChain has become one of the pioneers in the development and implementation of blockchain solutions for logistics, product authenticity tracking, retail sales and other business processes.
The principle of VeChain solutions is based on the digitisation of physical objects: each tracked object is assigned a unique identifier (VeChain ID). A smart contract creates a corresponding entry in the VeChainThor blockchain. On the object itself, there is a medium (NFC chip, RFID tag or QR code) with the VeChain ID recorded, or IoT sensors that record data on the location and condition of the object.
Interaction with the VeChainThor blockchain and the stored data is possible via the API that VeChain provides to its partners. With this API, it is possible to track the path of objects in real time: their movement through distributor warehouses, the date and location of their sale, and other actions.
Depending on their needs, companies can choose different types of blockchain products:
A basic platform for which applications need to be developed independently;
a low-code mid-level platform that can be assembled from ready-made software blocks; a ready-made application, fully adapted to the customer's needs and ready for implementation.
How is VeChain being developed?
Since its foundation, VeChain has been actively working with universities around the world to create blockchain solutions for healthcare and environmental protection. Academic partners include Tsinghua University, Stanford University, MIT, the Oxford Mathematical Institute and the City University of Hong Kong.
A notable example is the use of the VeChainThor blockchain in healthcare and COVID-19 prevention.
In September 2020, VeChain collaborated with DNV GL to launch the VeTrust app. It includes a cleanliness and safety checklist that hotels can use when sanitising their premises and preparing food for guests. More than 200 hotels and public places in China have been connected to this system.
VeChain is a project to streamline business processes and increase efficiency using blockchain technologies. From a technological point of view, VeChain is certainly an interesting and promising project.
How to Store Vechain
You can store VeChain in different ways. If you want to trade your VET or simply make a quick profit, then you should store your cryptocurrency in the VeChainThor mobile wallet. This easy-to-navigate wallet offers you all the functions you need. Best of all, it is available for free download on Android and Apple devices.
It was launched on 13 October 2011 with the goal of becoming the 'silver to gold of Bitcoin' and is still one of the largest cryptocurrencies by market capitalisation.
VeChain is an innovative blockchain project designed to improve and optimise business processes in various industries. It was launched in China in 2016 and has since become one of the most successful technology startups in the country.
The main mission of VeChain is to create digital solutions to simplify logistics, production and sales processes. Through technology solutions, VeChain enables companies in various industries to improve efficiency, reduce costs and increase profits.
What is VeChain (VET)?
VeChain (VET) was one of the first blockchains created exclusively to meet the needs of enterprise-level customers. The developers behind the project aim to improve supply chain and product lifecycle management through distributed ledger technology (DLT). Importantly, the platform offers users a variety of new features that make it ideal for companies that want to improve supply chain protocols and business processes.
Today, the logistics industry suffers from an information asymmetry problem. Although existing systems collect a large amount of data, these are not transmitted optimally. In most cases, due to high fragmentation, the entire supply chain is forced to rely on centralised data sources. This lack of unity leads to transparency problems and delays in data transmission.
VeChain provides companies with the ability to track massive amounts of data. These metrics can include quality, authenticity, storage temperature and transport status. Impressively, VeChain delivers all these capabilities through a distributed, trust-free enterprise ecosystem. In this way, VeChain reduces overhead costs and improves accountability.
VeChain Philosophy
VeChain differs from other industry projects in several key ways. Firstly, the developers of this project did not want to create a completely decentralised platform. Instead, their goal was to combine the best features of the DeFi (decentralised finance) and CeFi (centralised finance) sectors. This strategy creates a balanced platform that provides users with a transparent information flow, efficient collaboration and high-speed value transfer.
Who Created and Funded VeChain?
The startup VeChain was founded in 2015 in Singapore by the top managers of Louis Vuitton China, Sunny Lu and Jen Zhang, who had worked at Deloitte and PricewaterhouseCoopers.
In 2017, the VeChain Foundation was registered, a non-profit organisation that was responsible for the development and support of the blockchain platform, as well as attracting partners and developing the VeChain ecosystem.
VeChain managed to raise $22 million during the sale of the VET native coin tokens that year. A number of important partnerships already concluded at the time, including one with German car manufacturer BMW, helped attract investors' attention.
In spring 2018, VeChain attracted investments from PricewaterhouseCoopers (PwC), DNV GL, Haitao Capital, BlockVC and IOSG Ventures in three corporate rounds.
Initially, VeChain's prototype ran on the Ethereum network, but in the summer of 2018, developers launched the VeChainThor mainnet. In the following years, the project opened branches in China, the European Union, the United States and Japan. In February 2022, the VeChain Foundation's headquarters was opened in San Marino, underlining the importance of the European market for the company.
Why VeChain has two cryptocurrencies and What are their Functions?
In 2017, VeChain's creators issued 1 billion native tokens called VENs on the Ethereum network. 9% of them were sold in a private token sale for early investors, while another 41% went to an open ICO, which raised $20 million. After the launch of the VeChainThor blockchain, VEN was exchanged for native VET tokens at a rate of 1:100.
Currently, the VeChainThor blockchain uses two native cryptocurrencies: VeChain Token (VET) and VeThor Token (VTHO).
The total supply of VET is approximately 86.7 billion tokens, of which nearly 70 per cent has been distributed among early investors and token sale participants, while the remaining 30 per cent has been used to develop the VeChain ecosystem and reward developers.
The VeChain Coin has Four Basic Functions:
Main Advantages of the VeChain cryptocurrency platform
Among the main distinguishing features of the VeChain cryptocurrency platform, we can highlight:
What Technologies Are Implemented in VeChain
The VeChain cryptocurrency network is based on the translation of physical products into digital format via identification - VeChain ID. For this, the SHA-256 hash function is used, and products are associated with an identifier.
The blockchain is used to store the VeChainID, which is sent via smart contracts. An API management system is used to interact with the blockchain VET and the information it contains. It provides targeted access to product information.
Initially, the VeChain ecosystem includes the blockchain main, its own wallet and the VET cryptocurrency. The network was created on the basis of Ethereum, preserving its technical fundamentals. The token is created according to the ERC20 standard and is designed to provide users with access to blockchain functions and the creation of smart contracts.
Developers are doing everything necessary to create a connection between the platform and the Internet of Things (IoT). The development team's plan includes the following:
The VeThor token (VTHO) is used to pay commissions for transfers over the VeChainThor network. 70% of all VTHO commissions paid are burned, while the remaining 30% becomes a reward for trusted masternodes.
VeChain Token (VET) is in the TOP-50 cryptocurrencies by capitalisation. Both cryptocurrencies are traded on all major cryptocurrency exchanges.
How Do VeChain Blockchain Solutions Help Businesses?
VeChain has become one of the pioneers in the development and implementation of blockchain solutions for logistics, product authenticity tracking, retail sales and other business processes.
The principle of VeChain solutions is based on the digitisation of physical objects: each tracked object is assigned a unique identifier (VeChain ID). A smart contract creates a corresponding entry in the VeChainThor blockchain. On the object itself, there is a medium (NFC chip, RFID tag or QR code) with the VeChain ID recorded, or IoT sensors that record data on the location and condition of the object.
Interaction with the VeChainThor blockchain and the stored data is possible via the API that VeChain provides to its partners. With this API, it is possible to track the path of objects in real time: their movement through distributor warehouses, the date and location of their sale, and other actions.
Depending on their needs, companies can choose different types of blockchain products:
How is VeChain being developed?
Since its foundation, VeChain has been actively working with universities around the world to create blockchain solutions for healthcare and environmental protection. Academic partners include Tsinghua University, Stanford University, MIT, the Oxford Mathematical Institute and the City University of Hong Kong.
A notable example is the use of the VeChainThor blockchain in healthcare and COVID-19 prevention.
In September 2020, VeChain collaborated with DNV GL to launch the VeTrust app. It includes a cleanliness and safety checklist that hotels can use when sanitising their premises and preparing food for guests. More than 200 hotels and public places in China have been connected to this system.
VeChain is a project to streamline business processes and increase efficiency using blockchain technologies. From a technological point of view, VeChain is certainly an interesting and promising project.
How to Store Vechain
You can store VeChain in different ways. If you want to trade your VET or simply make a quick profit, then you should store your cryptocurrency in the VeChainThor mobile wallet. This easy-to-navigate wallet offers you all the functions you need. Best of all, it is available for free download on Android and Apple devices.
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