VeThor (VTHO)
VeChain is a blockchain platform that aims to enhance supply chain management and business processes. It is designed to streamline these processes and information flow for complex supply chains through the use of distributed ledger technology (DLT). VeChain utilizes a dual token economic model, comprising the VeChain Token (VET) and the VeThor Token (THOR), to facilitate its operations and provide unique benefits to enterprises.
The dual token system
VeChain operates on a dual token system, which differentiates it from many other blockchain platforms. The two tokens, VeChain Token (VET) and VeThor Token (THOR), serve distinct purposes within the ecosystem:
| Ticker | VTHO |
| Category | Cryptocurrency |
| Website | https://www.vechain.org/ |
| @vechainofficial | |
| Telegram | vechain_official_english |
| https://www.reddit.com/r/Vechain/ | |
| Contract Addresses | |
|---|---|
| vechain | |
VeChain Token (VET)
The VeChain Token (VET) is primarily used for value transfer across the VeChain network. It can be seen as a smart money that can be used to deploy applications on the platform. VET acts as a store of value and is integral to the economic model, as holding VET generates VeThor Tokens (THOR).
VeThor Token (THOR)
VeThor Token (THOR) is a secondary token that is generated by holding VET. It is specifically used to pay for transactions and execute smart contracts on the VeChain Thor blockchain. This separation of tokens allows VeChain to stabilize transaction costs and provide predictable pricing for enterprises using the platform.
VeChain’s economic model
VeChain’s dual token system is designed to cater to enterprise needs by providing a stable and predictable economic model. Unlike other blockchains such as Ethereum and Bitcoin, where increased usage can drive up transaction costs, VeChain’s model separates the utility and cost functions. This separation is intended to prevent fluctuations in transaction costs, making it more suitable for enterprise adoption.
Enterprise partnerships
VeChain has established various partnerships across different sectors, demonstrating its versatility and applicability in real-world scenarios. Notable partnerships include collaborations with BMW, Groupe Renault, and DNV GL. These partnerships aim to leverage VeChain's advanced blockchain solutions to enhance transparency, traceability, and efficiency in various industry processes.
Financial services focus
In an official blog post, VeChain announced its strategic focus on the financial services sector. The foundation has grand aspirations to make this sector a primary focus of its development plan. Part of this initiative includes a partnership with Fanghuwang.com, a property mortgage loan provider and subsidiary of Beijing Baisheng Technology Co., Ltd. This collaboration is indicative of VeChain's intent to expand its blockchain solutions into the financial services market.
Transition to an independent network
Initially, VeChain existed as an ERC-20 token on the Ethereum blockchain. However, the foundation has outlined a roadmap to transition into an independent network. This involves engaging in negotiations with exchanges to perform a token swap, enabling VeChain to operate as a standalone blockchain. The roadmap also includes plans to launch a mobile wallet and integrate with ledger technology, further enhancing the functionality and accessibility of the VeChain ecosystem.