Buy VeThor Token (VTHO)

VeThor token (VTHO) is an essential part of the dual-token system of the VeChainThor blockchain and plays a crucial role in the operation of the network. VeChainThor is a Blockchain-as-a-Service (BaaS) platform that helps enterprises implement smart chips such as NFC, QR codes, and RFID trackers, which are of great importance for enterprise Internet of Things (IoT) applications on the blockchain.

Within the VeChain ecosystem, VeThor token functions as the primary payment method and serves as the network’s “gas” currency. Every transaction performed on the network requires VTHO, including sending data to smart contracts. All transactions and operations with smart contracts are performed using VeThor token.

VeChain’s dual-token model consists of two tokens: VET and VTHO. VET is used to generate VTHO, while VTHO covers the operational costs of operating the VeChainThor blockchain. This separation of VET and VTHO helps to decouple market speculation from operational costs, which contributes to the stability of transaction fees. VTHO is generated by simply holding VET tokens in a wallet.

A unique aspect of VeThor token is that it is a VIP-180 token, meaning it is fully compatible with the VeChainThor blockchain and is specifically designed for enterprise applications. VTHO enables the initiation of multi-party payments and the management of multi-task transactions.

The total supply of VTHO is not capped, unlike many other cryptocurrencies such as Bitcoin and Ethereum. Instead, the supply is regulated by destroying 70% of the VTHO used for transaction fees, while the remaining 30% is distributed to the Authority Nodes that are responsible for validating transactions on the network.

Who founded VeThor token?

VeThor token was developed under the leadership of Sunny Lu, CEO and Founder of VeChain Foundation. Sunny Lu has an extensive background in the industry, having previously served as Chief Information Officer at Louis Vuitton China and IT Manager at Bacardi China. Under his leadership, VeChain was established in 2015 as a subsidiary of Chinese blockchain company Bitse. In 2016, VeChain became a standalone entity thanks to Lu’s efforts. VeChain’s team consists of over 100 professionals with expertise in blockchain technology, supply chain management, and enterprise solutions.

VeThor token (VTHO) has several applications within the VeChain ecosystem, for both end users and developers:

• Transaction fee payment: VTHO is used to cover the cost of each transaction on the VeChainThor blockchain, allowing users to trade without worrying about VET price fluctuations.
• Use of smart contracts: Developers can use VTHO to send data to smart contracts and activate them.
• Sending data: For managing and sending large amounts of data within IoT applications, VTHO plays a crucial role.
• Multi-party payments: VTHO enables payments to be made between multiple parties, which is useful for complex supply chain transactions.
• Authority node rewards: 30% of the VTHO used will be paid out to Authority Nodes as a reward for validating transactions.
• Burn mechanism: 70% of the used VTHO is destroyed, which helps regulate the total VTHO supply and prevent inflation.

The VeChain ecosystem operates with two separate tokens: VET and VTHO. VET serves as a value transfer token and generates VTHO, which is then used to cover the operational costs of transactions and smart contracts. This separation ensures that transaction costs are not directly dependent on VET’s market fluctuations, providing stability for both users and businesses.

VTHO is used to send data to smart contracts and trigger them. This makes it possible to automate complex business processes and make them more efficient. Developers can create smart contracts that manage different aspects of the supply chain, such as inventory management, logistics, and quality control, all powered by VTHO.

Generation of VTHO

VTHO is generated by holding VET tokens in a wallet. For every VET you hold, the system generates a fixed amount of VTHO. Specifically, 0.00000005 VTHO are generated per VET for every new block on the VeChainThor blockchain, with a new block created every 10 seconds. As a result, a user with 1 VET can earn approximately 0.000432 VTHO per day. This constant generation ensures a predictable and continuous supply of VTHO within the network.

Proof-of-Authority consensus mechanism

VeChainThor uses a Proof-of-Authority (PoA) consensus mechanism. In PoA, Authority Masternodes are responsible for validating transactions and creating new blocks. These nodes are selected by the VeChain Foundation based on strict Know Your Customer (KYC) procedures, which increases the security and reliability of the network.

There are 101 Authority Masternodes within the VeChain network. These nodes are essential for validating transactions and maintaining the integrity of the blockchain. When a transaction is made, it is validated by multiple Authority Masternodes before it is added to the blockchain.

Burn mechanism and VIP-180 token standard

The burn mechanism, where 70% of the used VTHO is destroyed, plays a crucial role in controlling the total VTHO supply. This reduces the circulating supply as VTHO is used, helping to maintain value and prevent inflation within the network. At the same time, the 30% reward to Authority Masternodes provides sufficient incentive to ensure the security and efficiency of the network.

VTHO is a VIP-180 token, meaning it is fully compatible with the VeChainThor blockchain and optimized for enterprise applications. This makes it easy for businesses and developers to integrate VTHO into their existing applications.

VeThor Token stands out with a number of unique features specifically designed to support enterprise applications and large-scale blockchain adoption:

• Dual-token economy with separated functions: VeChain's dual-token system, where VET is used for value transfer and VTHO for operational costs, allows for the separation of price speculation and network fees.
• Built-in cost stability: VTHO is specifically designed to prevent price volatility by decoupling transaction fees from the market value of VET. This makes the VeChainThor network well-suited for businesses that require predictable costs.
• Unique consensus mechanism: VeThor Token uses Proof-of-Authority (PoA), where a limited group of known and verified validators validate transactions.
• Focus on supply chain and IoT: Unlike many other blockchain projects, VeThor Token is specifically optimized for supply chain management and IoT solutions.
• Dynamic adjustment and control of token supply: By destroying 70% of the VTHO used and allowing an unlimited supply, the system retains the flexibility to adapt to changing market conditions without losing stability.

VeThor Token (VTHO) can be purchased via Bitvavo. Our platform is suitable for both beginners and experienced traders. Follow these steps to buy VTHO via our website or mobile app:

1. Create an account or log in to your existing Bitvavo account.
2. Deposit funds by clicking "Deposit" and follow the instructions.
3. Go to the VeThor Token purchase page.
4. Enter the amount in euros you want to invest, or select the number of VTHO tokens you wish to purchase and click "Buy".

The price of VTHO is directly determined by the current market rate. After purchase, the tokens are automatically added to your Bitvavo account, where you can easily manage and trade them. This gives you the opportunity to quickly respond to market developments.

Want to store your VeThor Tokens safely? You can easily do so in your Bitvavo account. Bitvavo stores the majority of customer funds in secure offline cold storage, ensuring the safety of your tokens. While the security is robust, we recommend enabling two-factor authentication (2FA) for extra protection. This adds an extra layer of security by requiring a second code when logging in.

Additionally, most hardware and software wallets support VeThor Token storage. If you choose to send your VTHO to an external wallet, make sure you carefully verify the wallet address in your Bitvavo account. Once you have verified the address, you can quickly and safely transfer your tokens to your external wallet.