VeChain
Crypto Overview
Overview
VeChain (VET) is a blockchain platform designed to enhance supply chain management and business processes through distributed ledger technology. The platform was founded in 2015 by Sunny Lu, the former CIO of Louis Vuitton China.
Intended Utility
VeChain aims to solve real-world economic problems by enabling transparent information flow, efficient collaboration, and high-speed value transfers. The platform utilizes two tokens: VET for value transfer and governance, and VTHO for paying transaction fees.
Actual Utility and Adoption
VeChain has established significant partnerships with major enterprises including Walmart China, BMW, and DNV GL. The platform is actively used for supply chain tracking, particularly in luxury goods authentication, food safety, and automotive supply chain management. Real-world implementation includes tracking food products in Walmart China and automobile maintenance records for BMW.
Token Distribution and Development
The initial token distribution allocated 23% to private investors, 5% to enterprise investors, 22% to the team and development, and 50% to the ecosystem and business development. The development team maintains an active GitHub repository with regular updates and improvements to the platform.
Technology and Revenue Model
VeChain operates on a Proof of Authority consensus mechanism, where authorized nodes validate transactions. The dual-token system (VET/VTHO) is designed to maintain stable transaction costs while allowing value appreciation of the main token. This model does not involve interest-bearing mechanisms or lending.
Crypto Impact
To assign a comfort level investing in VeChain from a halal perspective we need to determine whether it has a net positive or negative impact.
Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to VeChain.
If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.
We will review your contribution for accuracy before publication.
Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.