$0.00772299

VeChain was launched in 2015. It initially operated on the Etherum network, using the token name VEN. In 2017, the VeChain Thor mainnet went live following a successful ICO. The network is designed to let companies build and operate decentralized applications, with supply chain management and business operations as its primary focus. Over time, VeChain has expanded to support a wider range of applications on its blockchain.

Because the supply chain sector spans many different industries, VeChain targets improvements for intricate supply chains by leveraging distributed ledger technology (DLT). Its approach is intended to increase efficiency, visibility, and traceability across supply chains, and some current partners include Renault, PwC, and Microsoft.

What are VET key features and how does it work?

VeChain runs on a Proof-of-Authority model. In practice, it functions as an Internet-of-Things token layer that enables users to record and follow assets on the blockchain, and it is smart contract compatible, so dApps can be developed.

The VeChain ecosystem uses two tokens: VeChain Token (VET) and VeChainThor Energy (VTHO). VET acts as the medium of exchange within the VeChain platform-for instance, moving value from smart contracts and helping store and transfer value across the ecosystem. It is secured by its Proof-of-Authority (PoA) design.

VTHO is used to pay for network transactions. By using VTHO, VeChain applications can set relatively steady fees, since the VTHOR supply can be adjusted to help maintain a more stable transaction cost.

Under PoA, Authority Masternodes are responsible for validating transactions. There is a limited number of Authority Masternodes, and becoming one requires staking at least 25 million VET and completing KYC with the VeChain Foundation. This setup can support faster processing of high transaction volumes, though it depends on a central authority that verifies and grants access to participants who can process transactions. 

For product tracking across the supply chain, VeChain uses VeChain Identity (VID). VIDs are generated by “mining” the SHA256 hash function and then linked to a QR code, NFC tag, or RFID tag, producing an Internet-of-Things digital counterpart that a business can monitor throughout the supply chain. This helps strengthen confidence in activities like shipping, receiving, and warehousing.

Regarding VeChain network mining nodes, each business or organization that participates runs and manages its own node, resulting in a private, more contained ecosystem. VeChain also offers its own software development kit, VeChain ToolChain, intended to help companies launch new categories of dApps on the network.

Where can you buy VeChain Thor?

VET can be acquired on the CEXs and DEXs shown in the markets tab. Binance, Upbit, and Kucoin are among the commonly used options.