VeChain is a blockchain – enabled platform that was developed in 2015. This blockchain has been designed in a way that it can enhance and transform supply chain management by making it easy to track the entire lifecycle of a product; this also enables retailers to verify the quality and authenticity of the product.
- Price: $ 6
- Ranking by Market Cap (Token): 19
- Market Capitalizations: $ 1,670,170,943
- Circulating Supply: 277,162,633 VEN
- Max Supply: 867,162,633 VEN
- Average Trading Volume: $ 159,879,000
- Consensus: Ethereum Consensus
It’s been only two years since the company came into being and has gained a lot of clients. A number of industries which includes luxury goods, agriculture, logistics, food / drug, and governments are already using VeChain blockchain technology.
By using VeChain, one can track items through a supply chain; it also ensures the authenticity and quality of goods, as well as maintains the quality control of food products.
How does VeChain Work
Initially, VeChain started as a supply chain company but recently has announced that it will make progress into a DApp platform as well.
It uses a mix of blockchain technology to put into service and their in – house built chip which will track items throughout their lifecycle. This smart – chip can be implemented in variety of items such as wine, luxury bags, food, and many more through a technology called RFID (Radio Frequency Identification).
This is important as through this consumers will be able to track where the actual product is coming from. Through the tracking, one can find out if the product is coming from the right destination and if certain foods actually come from where they claim they do.
With VeChain, one can scan the entire item’s smart chip in order to get all its associated data. This provides businesses with information that’s always current and an accurate of each item.
VeChain is also useful in terms of quality control, which is more helpful in the food and agriculture industry where something like a temperature change of a few degrees could ruin an entire product batch.
VeChain construct everything in – house and their iOS app have been out in the app store for quick some time. One can also use the app to track logistics and more.
On a nutshell VeChain focuses on four main areas which are:
- Anti – counterfeiting – It ensures the quality and legitimacy of products, and being able to prove it
- Supply chain management – Tracking products through the entire supply chain
- Asset Management – From a central location, it can manage a wide range of assets around the world
- Clients and Customer Experiences – It has more information for buyers, being able to offer more up – to – date information and otherwise better serving customers
This technology has potential applications across a wide range of industries, which includes luxury goods, the automotive sector, agriculture, logistics and retail.
However, it is important to note that VeChain is not an open source network. It is a closed source network and there is low visibility into its development progress.
A Node is a connection point that can receive, create, store or send data along distributed network routes. It is a point of intersection / connection within a network.
In order to maintain blcokchain eco system, VeChain counts on the nodes. For maintaining the network, Nodes receives rewards known as THOR. There are four different types of nodes that can be distinguished by their maturity date and the amount of VET that they hold:
- Strength Nodes – 10 day maturity period (minimum 10,000 VET)
- Thunder Nodes – 20 day maturity period (minimum 50,000 VET)
- Mjolnir Masternodes – 30 day maturity period (minimum 150,000 VET)
- Thrudheim Masternodes – 12 / 21 / 17 maturity start date (minimum 250,000 VET)
Strength, Thunder, Mjolnir which are economic nodes, receive rewards from the VeChain Foundation THOR pool in addition to the normal rewards for holding VET.
Thrudheim which is the 101 authority node, receive the same reward as economic nodes plus 30% of all THOR consumed by blockchain transactions. The remaining 70% of THOR will be burned.
Team Behind VeChain
CEO (Chief Executive Officer) of VeChain is Sunny Lu. Most of his career, he’s led IT and Information System projects for several luxury brands. He was also the Chief Information Officer (CIO) for Louis Vuitton China as well.
The team of VeChain has managed to be associated with the two most notable being PwC and DNV GL. VeChain is part of the PwC’s portfolio companies giving them access to the firm’s massive worldwide network of clients as well as internal audit to ensure that all their products meet the correct compliance and more.
Trading History of the VeChain
Trading of VeChain began at the end of August 2017 at around $0.25. Since then, the price continued on an upward trend.
The price increased rapidly at the beginning in the middle of December 2017. And currently it has hit an all – time high of $5.68.
The price continues to rise as we see more promising news being released by the company.
How to Purchase VeChain
You can follow the below mentioned guide, if you wish to purchase VeChain:
Steps 1 – Create an account on a cryptocurrency exchange that allows you to trade VEN
VEN can be traded with US dollars (USD), Bitcoin (BTC), or Ethereum (ETH). You are required to provide your email address and create a password in order to register for an account.
Step 2 – Deposit funds into your account
There is an exchange which does not allow the direct deposit of fiat currencies such as INR or USD as they allow only trading between the cryptocurrencies. Hence, one needs to own or buy BTC or ETH. Also, the exact process for depositing funds into your account varies depending on the exchange you choose.
Step 3 – Buying VEN
Lastly, you can trade your chosen currency for VEN on the exchange. The exact process may vary from exchange to exchange, depends on the exchange you choose.
How to Store VeChain
Any Ethereum friendly wallet can store VeChain, as it supports these tokens. For example, wallets such as MyEtherWallet or hardware wallets such as Ledger Nano S or TREZOR.
What to Consider When Buying VeChain
The company describes VeChain (VEN) token as the “blood” in the VeChain ecosystem, which also conveys the value transfer function of the blockchain network and the various commercial activities running on it. Ownership of VEN gives the right to use the public infrastructure of VeChain, as each token acts as a unit of exchange. VeChain’s commercial partnerships and range of real – world applications should also be taken into account when deciding whether to buy VEN.