Founded in 2015, VeChain is an enterprise-level public blockchain that was created with the mission of solving one of the biggest problems in worldwide product distribution: how to determine the quality and authenticity of products and to identify and eliminate counterfeit goods.
Internet of Things (IoT) technology allows for the data collection and management of real-world objects. VeChain has built its platform to make this technology more secure and verifiable in the interest of protecting all parties, from the manufacturer to the consumer.
Through the VeChain platform, every piece of the supply chain process can be recorded and verified using a tamper-proof distributed ledger that can track the product from its source materials to its complete servicing history. This has applications for many industries, including luxury goods, electronics, clothing, automotive products, wine, and liquor, just to name a few.
VeChain plans to disrupt the supply chain industry through the process of asset digitization, which allows manufacturers to uniquely identify the movement of a product throughout its supply chain. VeChain Identity (VID) technology can be embedded into RFID and NFC tags, allowing all of the information and history of a product to be verified.
For example, sensors embedded in the product can detect environmental conditions, such as variations in temperature during transportation, which will be stored in the VeChain blockchain.
In a real-world application, a bottle of wine with an embedded VID provides assurance of authenticity to the wine producer, the distributor, the retailer and the consumer. Products with inferior quality, or those intended to defraud the buyer can be identified before they reach the point of sale, making the entire process tamper-proof.
The Vechain platform has two tokens: VeChain Token (VET) and VeChainThor Energy (VTHO). VET is used to transfer value across VeChain’s network, and VTHO is used as energy or gas to power transactions.