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VeChain is a public blockchain that derives its value from activities created by members within the ecosystem solving real world problems. The main purpose of the blockchain platform is to improve the management of supply chains and related business processes. This focus is directly on corporate supply chains and logistics. Since the creation of VeChain, a large number of enterprises around the globe utilize VeChain for inventory tracking purposes. This will be a short article going over the potential of VeChain and giving a little more information about the platform!
I am not sponsored by anyone or anything mentioned in this article.
This is not financial advice. I am not a financial advisor.
Please do your own research before making any decisions before investing.
This article is meant for educational purposes only.
The VeChainThor blockchain utilizes PoA (Proof-of-Authority) consensus, delegating specific nodes within the platform to complete and confirm transactions. The blockchain also supports smart contracts on their platform. Another key note is that the blockchain has a fully functional BaaS (Blockchain-as-a-Service) product called ToolChain. Businesses themselves can use this program to create their blockchain-based solution software directly onto the VeChainThor blockchain.
Existing VeChain partnerships and businesses that use VeChain can be tracked here. The market addressed by the blockchain has the potential to turn out massive. To name a couple examples, a study from 2020 concluded that $300 billion worth of food can be tracked and traced utilizing blockchain technology by 2027. This number was calculated by a partnership between Walmart and IBM utilizing the Food Trust Blockchain and can be read more about here. Pushing for a sustainable future, VeChain's platform has ventured into the route of carbon-neutrality with the Chinese government.
The platform can be used to track quality, authenticity, storage temperatures, transportation mediums, and the delivery of medications from the very beginning until it reaches the consumer. This allows the consumer to have a greater confidence in their purchase, as they know they are buying exactly what's intended to be sold in real-time. It allows the business to ensure quality is kept throughout the entire manufacturing, distribution, and transportation processes.
A nice perk of VeChain is within the tokenomics itself. The "offshoot coin" or gas token of VeChain is called VeThor (VTHO). VTHO is paid to every holder of VET tokens and, the more VET tokens you hold, the more VTHO will be paid out. As of writing this article, each VET token an individual holds has the right to receive 0.000432 VTHO daily. If you have VET in your crypto wallet, you can do the math and figure out how many VTHO you are receiving!
VTHO is needed to pay for writing data to the VeChain blockchain. This means that every transaction (sending tokens or sending data to a smart contract) has to be paid for in VTHO.
The growing popularity of the VeChain blockchain and the dedication of the holders only means one thing for the future... growth. The foundation has spoken with China regarding a 5-year plan in national blockchain development. They've also been mentioned by Nasdaq as one of the top 7 "Low-Cost Altcoins That Still Have Solid Potential in 2021". The more businesses that take notice and begin utilizing the VeChain blockchain, the more valuable of an asset it will become.
At the time of writing this article, in the midst of extreme market volatility, these links will allow you to track the prices of VET and VTHO. I don't know about you, but I am keeping a close eye on VeChain and where it's headed... especially after this dip!
What altcoins do you think have the most potential in 2021?
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