The VeChain Foundation is a Singapore-based company with offices in China and Europe and exists since 2014. The VeChain tokens could be bought since august 2017. The vision of VeChain is to build a trust-free and distributed business ecosystem based on the Blockchain technology self-circulated and expanding. For example:
– In cooperation with a luxury brand in Europe, VeChain embedded its designed anti-counterfeiting NFC chips into the products and realized anti-counterfeiting, product tracing and lifecycle management with the blockchain technology. Consumers can see the history of the product by simply scanning the embedded chip with the mobile application (Partnered with Givenchy Paris).
– VeChain creates a digital profile for each car based on its unique ID to meet the needs for different scenarios. It establishes various profile authorizations based on the car ownership in different stages (Partnered with Renault).
– By installing smart sensors on the transportation vehicle, key information such as temperature, humidity and steadiness during the cold-chain logistics can be collected and recorded on the blockchain in a real-time manner. Brands and consumers can easily check and trace the transportation condition (Partnered with Xiamen Innov Information Technology).
They use RFID, NFC and QR codes for multi-industries. VeChain has patented RFID chips which can measure temperature and pressure and have an application in the Google play and IOS app store. VeChain (VEN) which is now on the Ethereum blockchain will be upgraded to VeChain Thor (VET). They will be launching their own blockchain (mainnet) in 2018 Q2. All the VEN will be converted to VET automatically.
THOR Power (TP) (1)
The basic principle for designing the VeChain Thor protocol is to prevent transaction fees from being directly exposed to the volatility in price of VeChain tokens (VET), making the VeChain Thor blockchain more suitable for conducting business/financial activities for enterprise and government users. They designed two types of digital tokens named VET and TP.
The function of the VET is to serve as the intermedium of value, or in other words, smart payment currency, to enable rapid value circulation within the ecosystem based on the VeChain Blockchain.
TP represents the underlying cost of using the VeChain Blockchain and will be consumed (proportionally burnt) after certain blockchain operations are performed, such as transferring VET and executing smart contracts. As VeChain ecosystem becomes more mature, there will be multiple methods for enterprises and smart contract owners to acquire TP to acquire services on VeChain Thor, such as borrowing and utilizing THOR Power Futures to secure current positioning, etc.
Staking and Masternodes (1)
Holders are paid in TP by holding their VET in the wallet. You will receive at least 0.00042 TP/VET/day, called base rate (BR). So, 2381 VET will give you 1 TP a day. It’s similar to the NEO/GAS principle. VeChain will offer two types of masternodes, the Authority and Economic masternodes. Authority masternodes are the only nodes that create blocks and ledger records and only 101 people will be selected to maintain one. But anyone can have one of the 3 Economic nodes. The rewards will be as follows:
Thrudheim Node: 250k+ VET, generate +75.2% of the BR + 30% of all TP consumed by transactions on the blockchain (remaining 70% will be burned).
Mjolnir Node, 150k+ VET, generate +75.2% of BR.
Thunder Node, 50-150k VET, generate +57% of BR.
Strength Node, 10k-50k VET, generate +38.7% of BR.
They want to empower everyone within the community. For this reason, they decided that the wallets holding 1 million VET and above, require to contribute the VeChain community in various ways before they deem a qualified Mjolnir Masternode to receive Foundation allocated rewards.
Otherwise, the THOR Power generated by those wallets will be donated back to the Foundation’s THOR Power Pool and distributed to other VET holders.
VeChain special advisor, Nan Ning, who is the CEO of BitOcean China, has been instrumental in the development of VeChain’s model to make VeChain widely adoptable across governmental bodies. BitOcean is committing to buy and sell VET with their physical ATMs using Japanese Yen. As Chinese regulations become more transparent, BitOcean will also support VeChain’s development of the world’s first blockchain powered exchange as advisor.
China partnership (3)
On December 26, 2016, the State Council issued the 13th Five-Year Plan on China’s national informatization. According to the plan, China will spend a tremendous amount of resources into the development of cutting-edge information technology, including blockchain technology. Gui’an New Area has been chosen to become the National Data Centre of the west. The New Area will heavily focus on high-tech industries including Big Data, Blockchain, Cloud Computing, and Smart Solutions. Herein is VeChain the blockchain technology partner of the government of Gui’an. They will work closely with Administrative Examination and Approval Bureau of Gui’an New Area to provide a blockchain based information system to collect and analyse administrative data, offer privacy protection of data and apply blockchain technology to reform business registration. The Management Committee of Gui’an Free Trade Zone officially partnered with VeChain to build the world’s first Blockchain Smart-Town.
What about the northern names?
The Norse theme seems to tie in with the fact that DNV GL (Norwegian) are getting more involved on the governance committee.
CEO: Sunny Lu, CIO Louis Vuitton China, Co-founder BitSE, IT manager Bacardi China. (4)
CFO: Jie Zhang, SFO BitSE, Manager Deloitte, Senior Manager PwC. (5)
General manager: Jérôme Grillères, General manager VeChain Europe, 12 years experience at Goldman Sachs and Barclays. (6)
Some partnerships are:
– China Unicom, Chinese state-owned telecommunication operator.
– Direct Imported Goods, (D.I.G.) Subsidiary of Shanghai Waigaoqiao Free Trade Zone Development Co., Ltd. – Which aspires to build the largest distribution centre for imported goods in China. As it stands, 30% of all Wine imported into China comes through DIG.
– GNV GL Assurance, international accredited registrar and classification society.
– Kuehne & Nagel, global transport and logistics company.
– PricewaterhouseCoopers PWC, Second largest professional services firm in the world and one of the Big Four auditors, along with Deloitte, EY and KPMG.
– Xiamen Innov Information Technology, Provides the patented technology, VeChain will utilize its hardware to meet the growing needs of signed customers. (7)
– Jiangsu Printed Electronics, develops the hardware for VeChain Thor. (8)
– An official strategic partnership announcement event is planned late January at London between DNV GL and VeChain.
– VeChain Rebranding Event in Singapore, planned mid-January.
– Complete upgrade and rewrite of current VeChain Development plan. (Not a Whitepaper document).
– Partnership announcement event January.