About
VeChain is a leading enterprise-grade L1 smart contract platform that pioneered the use of blockchain for supply chain management and IoT (Internet of Things) integration. Founded in 2015 by Sunny Lu, former CIO of Louis Vuitton China, the project exists to bridge the gap between blockchain technology and the real world by providing a transparent and efficient framework for tracking physical goods. Through its proprietary "ToolChain" and NFC/RFID hardware, VeChain enables businesses to verify the authenticity, temperature, and movement of products from luxury handbags to fresh produce ensuring data integrity across global logistics networks.
The network operates on a unique dual-token economic model designed to prevent transaction fee volatility from hindering business adoption. VET (VeChain Token) serves as the primary value-transfer layer and governance asset, while VTHO (VeThor Token) acts as the "energy" or gas used to power smart contract executions. Every VET holder automatically generates VTHO over time, allowing enterprises to forecast their operational costs independently of the market price of the main utility token. This stability is reinforced by the network’s ability to adjust the VTHO generation rate or gas price through community governance.
In early 2026, the protocol entered its "Intergalactic Phase" of the VeChain Renaissance roadmap. This era introduced the StarGate upgrade, which finalized the transition to a more decentralized Delegated Proof of Stake (DPoS) model and lowered the barrier for community staking. This shift also introduced Delegator NFTs, which represent a user's stake in the network and allow for more fluid participation in the ecosystem’s security. Additionally, the network has significantly leaned into "Sustainability-as-a-Service," launching VeBetterDAO to incentivize eco-friendly consumer behaviors through dApps like Vyvo and Mugshot.
Technically, VeChain utilizes a Proof of Authority (PoA) consensus mechanism where transactions are validated by 101 vetted "Authority Masternodes." This structure ensures high throughput and regulatory compliance, making it a preferred partner for global giants like Walmart China, BMW, and PwC. By combining industrial-strength security with sub-second finality and native cross-chain interoperability, VeChain continues to serve as the foundational ledger for the "circular economy," where transparency and sustainability are verifiable on-chain.
