Introduction

We have already spoken many times about the success of blockchain technology in practice. Therefore, now we want to present to you the VeChain blockchain project. With the help of this project we are able to solve many logistical issues. In this new article, you will learn what VeChain is, what VET cryptocurrency is used for, why and in what areas blockchain has wide prospects.

What is VeChain?

VeChain makes use of two tokens: VeChain token (VET) as a value layer and VeChain Thor Energy (VTHO) as a smart contract layer. It is a new-generation smart contract platform aimed at adoption in enterprise environments, the Internet of Things (IoT) and widespread use through Toolchain. Blockchain technology enables the development of smart contracts – self-executable contacts whose results are guaranteed and do not need to be trusted by a third party. This enables the development of decentralized applications (“Dapps”) to solve corporate problems such as: anti-counterfeiting for luxury brands, cold chain logistics, carbon credits and a platform for tracking clinical trials. With blockchain technology, VeChain provides product companies with a simple and secure process for collecting, processing and sharing product information with suppliers and consumers throughout the product life cycle. 

History of VeChain

VeChain was launched in 2015 and officially started in June 2016. The founder of VeChain, Sonny Lu, was formerly the IT director of Louis Vuitton China. In the cryptocurrency industry, Sonny Lu became widely known mainly because he drew attention to the properties of blockchain technology to solve the problem of transparency. He argued that blockchain could create “trust-free” structures in the supply chain, eliminating the possibility of corruption. VeChain’s second co-founder, Jay Zhang, is responsible for the project’s global corporate structure, governance and finances. He previously worked for companies such as Deloitte and PriceWaterhouseCoopers in finance and risk management. 

Features of VeChain

VeChain has many distinctive features. One of them is the public blockchain. It enables every user to read, write and install decentralized applications and smart contracts on the VeChainThor blockchain. The second feature is its own IOT and supply chain management technologies. As an example, there is a proven track record of blockchain adoption in areas such as luxury goods, alcohol and agriculture. And the last feature is the delegation of proprietary fees. In other words, Blockchain provides the implementation of proprietary delegation of fees, meaning that dApp users do not have to do VET or VTHO to account for transactions, as long as the developers have set the associated gas costs for sponsorship.

However, contrary to the conditional novelty of the project, it is already working successfully in real life, indicating an excellent investment opportunity in the future. Of course, it is too early to make assumptions about the prospects of VeChain cryptocurrency, its popularity in all business sectors. Nevertheless, there are assumptions that the coin will actively develop. The platform has the potential to really launch blockchain into everyday life, facilitating entrepreneurial activity and making purchases for the target consumer.