VeChain 101 (VEN)
VeChain is a blockchain built smart contract-based business model that is focused in the supply chain management sector. VeChain plans on bringing trustless product management to end-user consumers in many different product categories. VeChain is out to give businesses and consumers reliability with assurances that products received are valid, legitimate, and also tracked at every possible supply-chain stop.
How does this help an ever-growing digital economy?
VeChain has its sights set on many different markets with its blockchain smart contract idea. VeChain wants to help companies and consumers by helping to ensure that a product received at the last stop in a supply chain is actually the product requested. This is a huge step in our ever-growing digital trustless economy. A few of the examples or use cases for the VeChain technology apply to these current market segments.
- Alcohol sales
- Lavish items (Gucci, Prada, De Beers)
- Transportation (Cars, Boats, etc.)
- Shipping Logistics
Why is this technology needed today?
A great example of where the VeChain platform will thrive is in the used car market. Currently, pre-owned car shoppers play the frustrating game of “Russian Roulette,” when purchasing a used car. A consumer tends to get the hit-or-miss feeling after buying a used automobile. Vehicle history data such as collisions, maintenance history, insurance claims, or title ownership, are currently unavailable if even recorded at all. VeChain offers a solution to this problem. By implanting products, like vehicles, with RFID chips, (Radio Frequency Identification,) the life-cycle of the product can be tracked and recorded with a small margin of error for tampering. Think of it this way. A brand new car is implanted with the VeChain RFID chip into the vehicles onboard computer system. When the vehicle is built completely it is loaded onto a truck and distributed to a local new car dealer. Once the vehicle is sold to a customer the title, registration, inspection, and any other data would all be stored on the VeChain network using the RFID chip and VeChain’s smart contracts. Everything about the car can be saved on the blockchain. From the original shipping information to ownership transfers, maintenance records, insurance information, or accident reports. The entire life of the vehicle can be recorded on the worldwide blockchain just for when the used car consumer comes around. Once the vehicle is at this stage in its life-cycle, the vehicle will most likely have several ownership transfers, multiple insurance claims, and innumerable mechanical/repair records. This technology would take the guesswork out of used car buying. Since all the information is stored on the global blockchain, manipulating the history of a vehicle to make it look more valuable than it actually is would be extremely difficult.
How does VeChain work now?
VeChain is currently still in its ICO stage and runs over 100 nodes using the VEN token currently run off of the Ethereum blockchain. VeChain plans on launching its mainnet or blockchain sometime during the second quarter of 2018. As of the date and time of this post, VeChain has yet to launch its network. VEN tokens can be purchased using Bitcoin or Ethereum on many major exchanges such as Binance.
Image Credit: https://twitter.com/vechainofficial?lang=en