VeChain Cryptocurrency Review
What is VeChain?
VeChain is a blockchain platform focusing on Supply Chain Management, smart contracts, and other financial services.
It is the first ever cryptocurrency that has created a disaster recovery plan and has built a partnership with the Chinese government.
The VeChain project was started in 2007 as a supplementary of a large Chinese blockchain company called BitSe. As a cryptocurrency, the VeChain coin VET was circulated in 2015 for the first time.
In 2016, it aimed to imply an open blockchain platform to the IoT that stands for Internet of Things. Then it continued shaking hands with various companies dealing agriculture, food & drugs, luxury products even state governance. VeChain has its operating bases in Singapore, Paris, Tokyo and other places around the globe.
VeChain started trading VEN at the end of August 2017 and snatched 16th position in cryptocurrency ranking in January 2018. Then it rebranded into VeChain Thor and shifted its concerns from the IoT and supply chain management to financial services.
Features of VeChain
Though VeChain started as a supply chain management company, now it has been equipped with a DApp platform.
Supply Chain Trust
VeChain helps to track different IoT products like radio-frequency identification trackers, QR codes, near-field communication chips etc using the blockchain technology and their home-built smart chip.
It also plays a good role to ensure the quality of luxury items. It is done by placing a smart chip in the product which acts as a mark of the authentic one. Therefore there is no chance of manipulation of the quality and thus the trust issue can be simplified. It is not impossible that in near future, customers will be provided this technology in the form of DApp which will be available on their smartphones.
Tokens of VeChain
Like other cryptocurrency called NEO, VeChain Thor uses a dual token strategy that includes the following tokens:
VeChain Token (VET)
VET is used as smart payment currency by the investor companies to conduct trade in the blockchain. Investors holding more VET enjoys more facility in the platform.
VeThor Token (VTOH)
Users are provided VTOH to run applications on the blockchain platform so that they can enjoy smart contract and other facilities available on the platform. It is like fuel to the blockchain engine. The minimum rate of VTOH generation is 0.00042 per VET per day and the rate if flexible and re-adjustable based on network usage.
Various stages of the VeChain ecosystem are called nodes which receive VTOH as a reward for using the platform according to their capacity. Nodes are divided into four categories based on their maturity and the amount of VET possession.
Nodes Maturity period Minimum VET possession
Strength Nodes 10 days 10,000
Thunder Nodes 20 days 50,000
Mjolnir Masternodes 30 days 150,000
Thrudheim Masternodes from 21.12.2017 250,000
Investors with lesser VET and maturity periods need not to panic because VTOH will be provided to them too according to their strength.
Buying and Storing VET
Binance is providing VET in exchange for bitcoin or ethereum. If willing investors do not have either, they can purchase them from exchanges such as Gemini, GDAX etc which accept fiat currency as payment. Then investors are ready to trade VET in Binance.
Currently, VEN can be stored in wallets with ERC20 support. Within a short period, VET will launch their own wallet for the convenience of the customers.