What is VeChain (VET)

What is VeChain (VET)

VeChain is a smart contract platform created to provide an ecosystem which solves major data hurdles for multiple global industries, best known for its work in supply chain. It provides a decentralized trust layer for multi-party ecosystems.

Founder

Vechain was founded by Sunny Luu, IT executive who was formerly CIO of Louis Vuitton China. Along with Jay Zhang, co-founder who directs VeChain's global corporate structure, governance, and financial management, previously worked for both Deloitte and PriceWaterhouseCoopers in the finance and risk management

Why Vechain

• VeChain consensus model is Proof of Authority (POA) which makes a platform that has low computational power requirements, no requirement for communication between nodes to reach consensus, and is optimized for system continuity.
• Another feature of VeChain is VeChain ToolChain, a platform to assist businesses in lowering the cost of operation, mainly related to supply chain management.
• Vechain has 2 tokens in its ecosystem which are VeChain (VET) with utility for payment on platform , and VeThor (VTHO) with utility as Gas token.
• Vechain applied to various businesses, including food and beverage. Example of Vechain usage is during shipping. The utility is that the details of the product such as date of production, place of production, etc., will be recorded on VeChain. 

Eg. Before shipping, the packaging of the product will be tagged with QR code or barcode, and during the shipping those tags will be scanned and record the status of the shipping of the product. This information will be recorded on Vechain and can’t be altered, and can be viewed by other parties. 

VET Utility

VET is used for transactions on platform Vechain and used as reference for minting VeThor Token (VTHO). By performing a transaction with VET, VTHO will be minted. 70% of VTHO will be burned and 30% will be rewarded for Node of Vechain.

Estimated: Data as of February 2024

Roadmap and future of VeChain

List of the organization use Vechain which include:

• Walmart China: customer can scan QR Code to view the information of product
• BMW: apply Vechain to record data of automobile including service and parts
• ASI Group: apply Vechain to increase efficiency in logistic and oversea trade.
• San Marino: apply Vechain to record the number of those injected with Covid-19 vaccine.