Vechain is a startup based in Shangai, that has developped a smart blockchain called “VechainThor” and several applications and solutions for enterprises, that enables them :
VechainThor and its solutions are perfect for tracking sensitive merchandises (such as vaccines or food), fighting fraud (counterfeit in luxury for example) and storing important informations.
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VechainThor is based on two crypto-currencies : VET, the first one, and VTHO, the second one (called “Thor”).
Without going to much into details, the dynamic between the two ensure VechainThor economic model balance, and support its ecosystem growth.
Demand for VTHO should rise as the number of companies using VechainThor’s solutions rises.
Owning VET will, eventually, generate passive income (selling the VTHO you get).
The more VET you own (and the more companies actually uses VechainThor solutions), the more your VTHO revenues will appreciate.
Customers of Vechain are enterprises, government entities that have understood what VechainThor (Vechain’s blockchain) can bring in regard of products tracking and data management.
Typically, Vechain customers are looking for solutions to :
A few concrete example :
A bit confusing we know 🙂
People tend to simply say Vechain when talking about VechainThor.
By holding VET (Vechain primary token), you get VTHO (Vechain secondary token). It’s automatic. You’ll then be able to sell your VTHO : enterprises have to pay small fees in VTHO to use Vechain’s blockchain & solutions.
So there are two possible scenarios :
Most likely, the two scenarios will happen at the same time : as Vechain onboard more and more enterprises, demand for eggs will skyrocket. So price of eggs (VTHO) will go up, and price of chickens (VET) will go up too.
We know that 1 VET produces 0.000432 VTHO per day. It’s a fixed ratio Vechain has decided. It will never ever be lower than that. It might be higher (if demand of VTHO is high, and it becomes a necessity to accelerate VTHO production.
Most Vechain investors will sell their VTHO to buy more VET (selling eggs to buy more chickens). So VET price will keep on rising.
This is why people who believe in Vechain’s future have been buying VET as cheap as possible. They are aware that, given the confirmed partnerships, and those yet to come, the demand for VTHO will soon skyrocket, and owning significant amounts of VET will produce significant passive income.
Here are some links you can bookmark if you want to follow Vechain news and evolution :
And also, to follow how usage of VechainThor grows day after day :
If you’re interested in VeChain and don’t want to miss any Vechain-related news, we suggest you follow :
To make things simple : before Vechain released it’s own blockchain, it was based on Ethereum, and its token was an Ethereum token called VEN.
During summer of 2018, Vechain released its blockchain (VechainThor), and those who held VEN tokens had to change them into VET tokens.
1 VEN = 100 VET (and price of 1 VET is 1/100 of price of 1 VET, so your holdings value stays the same, while your VET count is 100-times greater than your VET).
Changing your VEN into VET is what we call the swap.
If you don’t own old VEN tokens, there is nothing you need to do. Just dont buy VEN as it’s meant to slowly disappear (it’s likely you won’t be able to buy it anyway).
There are 3 possibilities.
Exchanges that decided to support VEN to VET swap will do so following their own agenda, keep an eye on your exchange announcements.
For example, a few days ago, Bitfinex did the swap : you had nothing to do, they changed your VEN into the right amount of VET. It was easy.
What you have to do is
Since 10th of August 2018, the official VechainThor mobile wallet (iOS or Androir) can do the swap.
So far, Vechain didn’t say anything about a deadline to do the swap. It’s likely that the swap process will be possible as long thare are VEN existing.
Using Vechain’s blockchain isn’t free : enterprises have to pay a small price every time they want to write something into Vechain’s blockchain, and rather than paying in Euros or USD, they pay with VTHO.
VTHO is the secondary token of Vechain. You can either buy it on exchanges, or produce it by owning VET (the primary token of Vechain’s blockchain).
Let’s pretend VET are chickens : then VTHO are eggs, and enterprises need your eggs to pay and use the blockchain.
By owning VET, you get VTHO, automatically, at the minimum rate of 0.000432 VTHO per VET per day.
Well if you need VTHO to pay for Vechain’s blockchain & services, maybe.
But instead of buying eggs (VTHO), why wouldn’t you buy chickens (VET) instead ? A chicken makes eggs forever (0.000432 egg per day at least).
What you must NEVER DO is sell your chickens (VET) to buy more eggs (VTHO).
That would be absolutely stupid.
Don’t be the guy who does that (unless you want to become famous on Reddit).
To put it simply : exchange BTC (or ETH) against VET. So the whole process would be :
Although serious exchange get pretty secure now (especially if you enable 2 factor authentification), we strongly suggest you don’t keep your precious VET on an exchange, since exchanges can be hacked (as well as 2FA, apparently : it’s rare but it happened already, mostly if someone hijack your phone number and resets your passwords).
Best, most secure way to store your VET is :
If you own a node (economic node or X-node), you’ll see that, in the “Rewards” section of the app, a page where bubbles appear and float.
These bubbles illustrate the amount of bonus VTHO you get thanks to your node.
In regards to Vechain, a node is a certain VET number your store on a wallet to produce VTHO at a higher speed (your chickens will lay more eggs).
The bigger your node, the more bonus VTHO it produces (chickens on steroids !).
Early Vechain investors could get even better nodes, called X-Nodes, but it’s too late to get one now. If you don’t have one, you’ll never have one so don’t worry about it.
X-nodes are special nodes you could get before March, 20th, 2018.
Now it’s too late to get one. If you don’t have one, you’ll never have one. You can only have “normal” nodes (real name is : economic nodes).
X-nodes produce more bonus VTHO than special nodes. If nodes are like chickens on steroids (producing more eggs than a regular chicken), X-nodes are chickens on top secret experimental steroids, producing even more VTHO (sorry for the silly comparison, it’s useful though).
There are several levels of X-nodes :
Bonus VTHO X-nodes get come from a special pool of VET Vechain set aside. As people lose their X-nodes (by going lower than the limit), the more bonus VTHO the remaining X-nodes will get. Over time, X-nodes will yield higher and higher amounts of VTHO.
You can’t. It’s too late. You can only have “normal” nodes (called “economic nodes”).