VeChain Price (VET)

VeChain (VET) is a blockchain-based solution that solves major data hurdles for supply chains, enhancing supply chain management and information flow for businesses. It offers a platform that combines distributed ledger technology (DLT), Internet of Things (IoT) devices, and QR codes to track and authenticate goods throughout their journey from manufacturers to consumers.

The VeChain blockchain enables companies to authenticate and track their products, ensuring quality control and addressing issues promptly. By leveraging blockchain technology, VeChain provides a tamper-proof record of the entire product lifecycle, enabling users to trace the origin and journey of goods.

VeChain's unique two-token system consists of VeChain Token (VET) and VeChain Thor Energy (VTHO). VET is used for value transfer within the VeChain network, while VTHO acts as energy or "gas" to power smart contract transactions. This separation of tokens helps in optimizing the blockchain's functionality.

VeChain's combination of DLT and IoT allows for the integration of centralized and decentralized elements. VeChain's blockchain technology enables high-quality and fast transfers, transparent information flow, and efficient collaboration. 

Many companies, including luxury brands and manufacturers, utilize VeChain to track their products and ensure quality assurance. The platform's QR code-based tracking system enables users to scan codes using smartphones and access detailed information about a product's origin and journey.

VeChain price history 

2018

The VeChain ICO began on August 18, 2017, and ended on August 31.

VeChain (VET) was listed at $0.015 in April 2018, experienced many price fluctuations throughout the year, and ended 2018 trading at $0.004.

2019

In January 2019, The price of VeChain was approximately $0.0042. From January to December 2019, VeChain experienced a modest price increase of about 23.8%, ending the year at around $0.0052.

2020

In January 2020, the price of VeChain was approximately $0.0051. By December 2020, the price had decreased to around $0.002.

2021

2021 proved to be a bullish period for cryptocurrencies, with Bitcoin breaking numerous previous records. VeChain (VET) reached its all-time high of $0.2782 in April.

However, as the market started to cool off, the VeChain price gradually declined, ending the year at around $0.084.

2022

In January, VeChain (VET) started the year at approximately $0.087. However, by December, the price had decreased significantly to around $0.015.

2022 proved to be a challenging year for VeChain, which reached its all-time low due to the bear market.

2023

VeChain (VET) had a nice start to 2023, increasing from $0.01598 to $0.03202 by February. After that, the price of VET steadily decreased, dipping below $0.01424 by mid June.

How does VeChain work?  

VeChain utilizes Near Field Communication (NFC) or Radio Frequency Identification (RFID) technologies as part of its traceability and supply chain solutions for physical goods. 

NFC technology is a short-range wireless communication technology that allows devices to communicate when they are nearby. VeChain integrates NFC tags and chips into products and packaging, which can be scanned by NFC-enabled devices such as smartphones or specialized readers. These NFC tags contain unique identifiers and can store additional information about the product, such as its origin, manufacturing details, or quality certifications.

RFID uses radio waves to identify and track objects. RFID tags consist of a microchip and an antenna that can transmit and receive information wirelessly. VeChain incorporates RFID tags into product packaging or containers to track and monitor the movement of goods along the supply chain.

VeChain uses a Proof of Authority consensus algorithm, and the Authority Nodes (also known as Thrudheim Nodes) play a crucial role in validating all blockchain transactions. These nodes are limited to a total of 101 and are carefully selected and rated by the VeChain Foundation. 

To become an Authority Node, a rigorous application process and full KYC (Know Your Customer) compliance are required. Authority Nodes are the only ones equipped with specialized hardware for validating the blockchain. Additionally, they must hold a minimum of 25 million VET tokens to be eligible. In return, Authority Nodes receive the highest VTHO (VeThor) production rate and gain voting rights within the VeChain ecosystem, providing them with significant benefits and influence.

Who are the founders of VeChain? 

VeChain was founded by Sunny Lu, who has a background as a former Chief Information Officer (CIO) at Louis Vuitton China.

The project was initially launched in 2015 with a token named VEN on the Ethereum blockchain. In 2018, VeChain transitioned to its independent blockchain to address challenges related to scalability and performance, and the token was also rebranded as VET.

Lu is also the CEO of The VeChain Foundation, a non-profit organization that is dedicated to driving the advancement of VeChainThor and establishing it as a leading smart contract platform globally.

What is VeChain used for?

The VeChain network is used as a blockchain-enabled platform for food traceability and sustainability management in the food and beverage industry. It offers a range of traceability functions, including product provenance, quality certificates, and sustainable footprint tracking throughout the supply chain. It ensures transparency and trust in sustainability practices. 

With over 300 enterprise cases, VeChain’s General Supply Chain Track and Trace Software-as-a-Service (SaaS) caters to diverse business scenarios and industries, providing a fast and consumer-facing solution via blockchain technology.

The platform offers standardized templates for various industries, enhancing production, marketing, and brand building. It also offers solutions to address climate change, including sustainability track and trace services, carbon emission inventory mechanisms, and product carbon footprint assessment.

What makes VeChain unique?

Supply chain disruptions have resulted in revenue losses of up to $4 trillion. These disruptions are primarily attributed to the lack of transparency and vulnerability to data damage. VeChain solves major data hurdles by integrating two technologies. 

First, through the Internet of Things (IoT), businesses can track, account for, and automate processes. 

Second, the VeChain blockchain ensures that information remains secure and verifiable without the risk of tampering. What sets VeChain apart is its high degree of centralization, which enables it to maintain sustainability and achieve real-time speed. This unique combination of features makes VeChain an ideal solution for businesses seeking enhanced supply chain efficiency and reliability.

How can I mine or stake VeChain?

VeChain uses a Proof of Authority (PoA) consensus mechanism. Unlike Proof of Work, where miners compete to solve complex mathematical puzzles to validate transactions, or Proof of Stake, where validators are chosen based on the amount of cryptocurrency they hold, Proof of Authority relies on the identity and authority of validators.

In a PoA system, a predetermined set of trusted nodes, known as "validators" or "authorities" are selected to create and validate new blocks. These validators are typically identified entities or organizations with a reputation and trustworthiness within the network.