HAI token sale

Welcome to VeChainThor

VeChainThor is the world’s leading enterprise-grade public blockchain platform. Over 30 of the Fortune 500 including Walmart, BMW, LVMH, Renault and PwC have live solutions running on VeChain, with another 250+ clients currently being onboarded.

What is VeChain

VeChain is a Singapore and China based blockchain company with operations in Europe, Asia and America. VeChain was Co-Founded by CEO Sunny Lu and Jay Zhang in 2015.

VeChain’s vision is to lower the barrier and enabling established business with blockchain technology to create value and solve real world economic problems. Since its inception, VeChain has managed to onboard an impressive list of enterprises building applications on top of the VeChainThor Blockchain.

The VeChain Foundation is responsible for maintaining the open source and public VeChainThor Blockchain. The Foundation is governed by the Steering Committee, which currently includes members from VeChain, DNV GL and PwC China. Important decisions that need to be made are voted upon by all stakeholders in the VeChain Ecosystem, making VeChain truly decentralized.

The VeChain Foundation

The VeChain Foundation, founded July 2017 in Singapore, is the overseeing body of the VeChainThor Blockchain and ecosystem. The Foundation acts as a governing body for real time decision making and is responsible for the growth of the platform. The VeChain Foundation envisions a trust-free and distributed business ecosystem to enable transparent information flow, efficient collaboration, and high-speed value transferring.

Governance Model

Even though decentralization is the cornerstone of Blockchain technology, complete decentralization has been proven to have obvious defects in every applied method, including Bitcoin and Ethereum. Idealized decentralization is an Utopia even to the crypto and Blockchain world. VeChain believes in the balance of decentralization and centralization on which the platform’s governance model is designed. The balance between centralization and decentralization will vary as the ecosystem matures, with a more centralized structure at the start to enable rapid development and adoption, while slowly giving more and more power to the community as the ecosystem matures.

Stakeholders with voting Authority

The stakeholders of the VeChain Foundation are the owners of VET as well as Smart Contract Owners. The voting authority each stakeholder has depends on their role and VET holdings. Stakeholders vote on important decisions such as the election of the Steering Committee, or modifications to the VeChainThor blockchain, like its consensus mechanism or technical parameters. Voting is done on the VeVote platform. Learn more about VeChain’s Governance model by reading the VeChain Foundation Governance Charter (Dec, 2019).

The Board of Steering Committee

The Board of Steering Committee is the governing body of the VeChain foundation. It represents the interest of all of VeChain’s stakeholders. The Steering Committee defines the strategy of the Foundation and selects the team leads of the various operational teams. The Committee currently consists of 7 members including the Founders as well as members from PwC and DNV GL. Every two years all stakeholders can vote on who takes place in the Steering Committee.

The Advisory Board

The role of the Advisory Board is to give advice to the steering committee and help them with the design, implementation, and vision of VeChain. The Advisory Board is selected based upon their wisdom and experience they can offer to the Foundation. Current members include Partners from PwC, Deloitte and members from Breyer Capital as well as Fenbushi Capital.

The VeChain team

The VeChain team currently consists of over 100 full-time employees of which half are blockchain developers. VeChain currently has 8 offices located in Asia, Europe and the United States. The VeChain team is expected to hire an additional 100+ employee’s in 2019. You can read more about the VeChain team here.

Sunny Lu

Co-Founder and CEO

Sunny has over 13 years of experience leading IT teams, before joining VeChain he was the CIO of Louis Vuitton China.

Jianliang Gu

Partner and CTO

Gu has a Master's degree in Cybernetics and was a Director at the TCL&Alcatel Mobile Phone R&D Center for over 13 years.

Jay Zhang

Co-Founder

Before joining VeChain, Jay was a senior manager in Deloitte UK and PwC China with more than 14 years of experience.

Peter Zhoe

Partner and Chief Scientist

Peter has been a Research Scientist at various universities for over 11 years before joining VeChain.

Kevin Feng

Partner and COO

Kevin has over 12 years of experience working as a Senior Manager in Risk assurance and Cybersecurity at PwC.

Bin Qian

Chief Blockchain Architecture

Bin Qian has over 10 year of experience in mobile application development, specializing in real-time network communication based Internet applications.

Part of the VeChain team during the VeChain Summit held in SF
An internal briefing in one of VeChain's offices.

The VeChainThor blockchain

On June 30th 2018, the VeChainThor Blockchain was officially launched. The VeChainThor Blockchain is compatible with dApps build on Ethereum, the VeChainThor codebase is build from scratch and offers unique features that are not available on Ethereum.

Proof of Authority

VeChainThor implements a Proof of Authority (PoA) consensus algorithm to create new blocks. PoA is an improvement on Proof of Stake, in which all nodes are validated and approved by a trusted central party (the Vechain Foundation) before allowed to add blocks. This eliminates the risks that come with having anonymous block producers, one of the key barriers given by enterprises.

Since all Nodes can be trusted, blocks can be validated faster and far more efficient compared to PoW and PoS, reducing costs for Blockchain users, while being safer and more energy friendly. To be an Authority Masternode (AM), the individual or entity voluntarily discloses who they are (identity and reputation by extension) in exchange for the right to validate and produce blocks. It is their identities and reputations placed at stake that give all the AMs additional incentives to behave and keep the network secure. Next to the 101 Authority Nodes, everyone is free to run a Thor Node and validate transactions.

Unique Features

Fee Delegation

The Multi-Party Payment Protocol is a payment model that allows a third party to pay the transaction fee. This opens up the possibility for end users to interact with the VeChainThor blockchain, without them ever knowing about VeChainThor or having to understand the concepts of blockchain or cryptocurrencies. The goal is that there is no change in the end user’s experience, while greatly improving the widespread adoption of blockchain technology.

Multi-Task Transactions (MTT)

A Clause is one single data entry sent to the Blockchain. This can be anything, the transfer of VET or tokens, the creation of a smart contract or saving data on the Blockchain to be displayed by an application.

These clauses can be bundled into Multi-Task Transactions, offering cheaper transaction fee’s and more capacity compared to sending each single data entry as one single transaction (like other blockchains like Bitcoin or Ethereum are doing).

VIP181

The VIP-181 Standard was proposed by the VeChain Foundation and is a standard providing basic functionality for Non-Fungible (NFT) tokens within smart contracts. It is similar to Ethereum’s ERC-721 used in Cryptokitties and Decentraland.

VIP180

The VIP-180 Standard was proposed by the VeChain Foundation and is a standard providing basic functionality for tokens within smart contracts. It is based on Ethereum’s ERC-20 standard.

VeChain ToolChain allows any business to implement blockchain technology using turnkey software and various IoT chips that can be ordered from VeChain.
VeKey is a hardware wallet created by VeChain.

The VeChain economy

The VeChain economy consists of two coins.

VeChain token (VET)

Use case: Store of value and smart payment currency. How to get: You can buy VET on various crypto exchanges. Strategic partners can buy from a dedicated pool from the Foundation.

Thor power (VTHO)

Use case: Needed to interact with the blockchain for certain operations, like executing smart contracts and transferring tokens. If you want to write data to the blockchain, you have to pay for this using VTHO. How to get: You will generate VTHO when owning VET. Currently, 1 VET generates 0.000432 VTHO per day. You can also buy VTHO on crypto exchanges.

Stable transaction costs

One of the most important aspects of implementing Blockchain technology, is the costs associated with. VeChain’s unique two-token system allows the costs for using the Blockchain to not be affected by the increase in price of VET.
Two important parameters can be changed through voting to keep the transaction costs stable:
  • Decrease or increase the amount of VTHO that is needed per transaction.
  • Increase the amount of VTHO generated by VET.

VET and VTHO Demand

With more and more parties using the VeChainThor Blockchain, the demand for VTHO will increase, since everyone needs VTHO to pay for their transaction fees.
As the demand for VTHO grows, the price of VTHO will also increase. As a result, this will also drive the demand and price of VET:
  • Instead of buying VTHO to pay for their transactions, it will financially make more sense in the long run to just buy VET and use the VTHO generated by it.
  • Investors will start buying VET, since they can sell their generated VTHO to those that need it.

Nodes and VTHO generation

VET Holders can earn extra VTHO by staking their VET using VeChain’s official wallet. This will create a Node, which is represented by a Non-Fungible Token held in your wallet. These Node tokens can be bought and sold in the mobile wallet.

Authority Nodes

The 101 Authority Nodes validate the blockchain, for this they get rewarded with 30% of the used VTHO by transactions.

Authority Nodes are selected by the Foundation and need at least 25 million VET to be able to apply.

Economic Nodes

The economic nodes are not validating blockchain transaction, but offer stability to the ecosystem and in return get extra VTHO.

A minimum of 1 million VET is required to upgrade to a Strength Node. A Thunder Node can be acquired for 5 million VET and a Mjolnir Node needs at least 15 million VET.

X Nodes

X Nodes are special economic nodes for the most dedicated and loyal VeChain supports, offering various additional rewards next to VTHO.

X Node tokens can’t be created anymore and have to be bought on the market.

X Nodes range from 600k VET, to 15.6M VET for the biggest X Node.

Learn more about the X Node program here.

A overview of the additional VTHO rewards as the result of staking can be seen in the following picture:

To learn more check out this guide to learn more about VeChain Nodes and Node rewards, or check out the VTHO generation calculator by VeChainStats.com.

Funding, Financials and Buybacks

The VeChain Foundation is very transparent about their financials and the usage of the token supply held by the Foundation, allowing the community to monitor how VET is spent. Each quarter the Foundation releases a Financial Report. Financial Reports: 1 | 2 | 3 | 4 | 5 | 6 | 7 |

VET use of proceeds

The Foundation uses part of the VET they still hold to fund their operations. Currently around 75% of the total supply is circulating (source: financial report 10). Of the circulating supply, around one third is locked up in Nodes held by the community. The remaining 25% of VET tokens held by the Foundation will be used for:

  • Funding of the daily Operations
  • The (technological) development of the VeChainThor blockchain and its core infrastructure.
  • Funding of research done in cooperation with various partners universities around the world.
  • Strategic institutional partners that can offer VeChain a long term advantage to the VeChain ecosystem can buy from a dedicated pool held by the Foundation and funding the daily operations of the Foundation.
  • Rewards to the core team, which is locked up for a period of two years after each quarterly distribution.

The Foundation has enough income from clients to not be depended on selling VET tokens to operate: “In the winter of the crypto market, our top priority is to stay stable and continue building. We are under no threat of instability and have both the current finances, and future investment options, to withstand any further downturn in the market. We are seeing incoming cash flow from the enterprise solutions we provide and expect to see an increase in incoming cash flow across different regions such as China, EU and South East Asia.”

Buyback and Bounty programs

On the 30th of June 2019, the Foundation announced that they will buy back $25 million USD worth of VET from the open market. The VET acquired will be injected into VeChain’s funding pools. Allowing the Foundation to provide more support for projects that want to operate on the VeChainThor Blockchain. Hence, the Foundation can enable a lowered threshold for developers, projects and enterprises to try out the VeChainThor Blockchain, thereby boosting the adoption of the ecosystem. VeChain is currently also running various Bounty programs to help boost adoption by lowering the (financial) barrier for dApp creators. The Developer Academy rewards creators of technical documentation and developer tools, while dApp creators can get their VTHO expenditure subsidized for 50% using the VTHO subsidy bounty.

The Chinese President Xi JingPing and the French President Macron enjoying Limousin Label Rouge Beef tracked using Foodgates running on VeChain.
DNV GL, shareholder of VeChain, aims to implement VeChain across its network of over 900.000 clients.

Clients and Investors

CREAM

Strategic Partner

CREAM is a pioneering investment incubator using blockchain and the crypto-economy to enable the potential of startups and enterprises globally. CREAM works closely with the VeChain team on a daily base to further expand the VeChain ecosystem.

DNV GL

Strategic Partner

DNV GL is the largest company providing certification services globally.

VeChain is integrated within the digital assurance solutions DNV GL provides to their clients to improve trust and transparency (source).

PwC

Strategic Partner

PwC is one of the Big Four auditors worldwide.

PwC will offer VeChain’s blockchain powered solutions to its big client base, providing its clients with improved product verification and traceability (source).

Breyer Capital

Investor

Breyer Capital is a premier global venture capital and private equity investor focused on catalyzing high-impact entrepreneurs in the United States and China (source).

Draper Dragon

Investor

A member of the Draper Venture Network, Drapor Dragon is an early stage fund looking to invest into innovative technologies with appeal in Silicon Valley (source).

Fenbushi Capital

Investor

Founded in 2015, Fenbushi Capital is the first China-based venture capital firm that exclusively invests in Blockchain-enabled companies and helps them grow (source).

China

National level partnership

VeChain has been selected by the Chinese government to provide a system to store business and tax registrations, certificates and audits for the Gui'an New Area (source).

Cyprus

National level partnership

VeChain is working with the Cyprus government to enable blockchain as an underlying infrastructure for operations and financial services provided by the Cyprus government (source).

San Marino

National level partnership

VeChain and DNV GL, will guide the Republic toward the adoption of blockchain technology by utilising token use cases, in order to incentivise sustainable behavior from its citizens (source).

BMW

Client

After having successfully participated in the BMW Startup Garage Program, VeChain is now developing CarVerify together with BMW, it is a Blockchain powered solution to store vehicle data so it can easily be shared (source).

BYD

Client

BYD is the world’s largest manufacturer of electric vehicles and batteries. It is rewarding users driving electric with Carbon Credits on the VeChainThor blockchain that people can exchange for various intensives (source).

LVMH

Client

VeChain is currently working with multiple LVMH brands to integrate blockchain and IOT technology into their products. One example of this is Givenchy bags so users can verify if the handbags are genuine or fake (source).

PICC

Client

The People’s Insurance Company of China (PICC), is one of largest non-life insurers in China. It will implement VeChain in its claims process to reduce paperwork and allow the validation and auditing of data (source).

Walmart

Client

Walmart China in June 2019 launched the Walmart China Blockchain Traceability Platform. Running on VeChain, over 50 different product lines are tracked using IoT and blockchain from source to the retail stores (source).

Haier

Client

Haier is the biggest worldwide producer of consumer home appliances and will utilize blockchain technology in all applicable use cases within the lifecycle of clothing and clothing management (source).

This is just a selection

VeChain currently has over 32 Fortune-500 companies using LIVE solutions running on VeChainThor. There are over 250 projects currently in the trial stage or waiting to get started.

PlayTable - A blockchain powered gaming console running on VeChainThor.
HackenAI - A Platform for all cybersecurity-related protection needs.

Projects

VeChain is used by more than just big enterprises. Various startups are building projects on top of the VeChainThor Blockchain. Below you can find a selection of the most popular ones.

Safe Haven

CREAM Incubated

Building solutions for inheritance, asset distribution and asset control on the blockchain!

Hacken

CREAM Incubated

Hacken offers cutting-edge cybersecurity services to protect and grow your business in the digital age.

Jur

Jur empowers companies, lawyers, and other professionals to create and use smart legal contracts for their daily business.

Plair

Cream Incubated

Plair is a decentralized global gaming ecosystem platform supporting the gamer's life.

DecentBet

CREAM Incubated

Blockchain gaming on the VeChain platform. Play your favorite esports and monetize your passion.

Cecil Alliance

Tracking, and transacting animal data on the blockchain in order to bring transparency and traceability to animal based industries.

OceanEx

Cream Incubated

Next Generation crypto currency exchange for the VeChainThor ecosystem.

8Hours Foundation

CREAM Incubated

Bringing people together for meaningful social interactions for at least 8 hours a week through blockchain powered gaming.

Yeet Coin

We are an unserious token with a serious goal: to get developers to build on the superior VeChain Blockchain

Recommended VeChain wallets

Next to storing your VET and VeChain Tokens on exchanges (which we strongly advise you NOT to do, not your wallet = not your coins!) there are lots of cryptocurrency wallets supporting VET and VET tokens. Below we have listed the two official wallets created by the Foundation.

Where to buy VeChain

VET and other VeChain ecosystem tokens can be bought on various exchanges, below we have listed the two exchanges which we can personally recommend.

Find out more!

This was just a brief introduction to the VeChain Ecosystem, there is much more to discover. Please see the links below to continue your journey into the VeChain World.