What is VeChain? A Cryptocurrency Guide for Investors

What is VeChain? A Cryptocurrency Guide for Investors

What is VeChain (VEN)?

VeChain is a blockchain-enabled network developed to boost supply chain management operations. By use of tamper-proof and distributed ledger technology, VeChain offers consumers and retailers with the capability to identify the product quality along with the authenticity of products which are purchased by end-consumers. Each individual item on the blockchain is documented and validated to protect all participants.

VeChain Supply Chain Management

VeChain strategies to attain this safe supply chain management network via the means of asset digitization. Producers to assign items with special identities to the platform are enabled by VeChain. This can enable manufacturers, supply chain associates, and in many cases consumers, to keep track of the movement of items through their supply chain. VeChain uses its VeChain Identity (VID) technology, to mark and monitor a product.

VIDs are created utilizing SHA256 hash functionality, which produces a random hash value which corresponds to a VID. That particular VID can easily then be developed into a Near Field Communication (NFC) label, Quick Response (QR) code, or perhaps Radio Frequency Identification (RFID) label, to get utilized for every product or service. This process provides for the tagged product or service and almost all corresponding information, including the supply chain activities of the item, to be converted from the business industry directly into the platform.

Illustration

For example, the platform along with its accompanying solutions can certainly be used in the winery industry. A bottle of wine could be installed with a VID, which makes it possible for both the wine producer as well as the consumer to track and monitor the movement of the wine from the stage of manufacturing, all the way to the end customer. Any kind of efforts to defraud the end-user will be detected since the authenticity of the wine can be determined at each and every phase of all of the supply chain process.

VeChain Technology Offerings for its Customers

In addition to allowing the digitization of products, VeChain additionally supports authorization-based digital ownership management system. What this means is that ownership of items can potentially be represented electronically on the platform. This is carried out through the use of smart contract technology, which in turn makes it possible for a digital asset to be connected to an account which has both a public key element as well as a private key element. The public key is made public and is demonstrated as an alias email address, which is usually recognized and accessed by various other users. A user authorization and also permission to access the corresponding digital asset are given by the private key.

Network Security

Network security is actually looked after on the platform by using network nodes. These network nodes are governed by organizations and groups that are specifically participating in the ecosystem. Network nodes can offer services like as: quality assessment and inspection, finances offerings, and may even act as a private key management service provider. The platform will additionally take advantage of its unique native token asset generally known as the VeChain tokens (VEN). These tokens are going to be utilized as Gas which is required for smart contract execution. In addition to this, VENs will also be used as an incentive mechanism, in which be awarded to network nodes that will help facilitate the ecosystem via their operation.

What is VeChain Thor?

VeChain Thor is a dual-token, blockchain-as-a-service (BaaS) platform primarily constructed over the Ethereum smart contract network to service business users. Its mainnet released June 30, 2018. VeChain focuses largely over the source chain, and on driving Internet of Things techniques. VET is VeChain Thor’s cryptocurrency, along with VTHO is utilized to spend on tokenized transactions.

VeChain Thor – Manual

VeChain Thor is a protected, enterprise-grade blockchain which services the entire supply chain. VeChain Thor has two layers: an IoT based token layer that keeps track of digital property on the blockchain, in addition to a smart contract level to monitor ownership and develop dapps to utilize data.


VeChain Thor uses 2 crypto tokens: VET and VTHO.

  • They are used as ETH/GAS, whereby VET is utilized to stake VTHO, which is utilized to pay for tokenized transactions.
  • VET can not be mined on the end user market. Nodes are operated by organizations taking part in the ecosystem.

With these parts in position, coupled with a considerable list of corporate partners, VeChain Thor is a shining gem in the blockchain industry. 

VeChain Foundation

The VeChain Foundation is accountable for the development of the network, development, and technological research. The Foundation also plays a crucial function in business development. 

Blockchain Research is an open-source research platform. Bringing blockchain and crypto to the masses.

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