VeChain EXPLAINED: 5 Things You NEED TO KNOW

– Hey, how's your going? My name's Josh Burns and
welcome to Josh Burns Tech. The best cryptocurrencies to invest in that will make you rich longterm, are the ones that will be the most used and solve the most global issues, and one of the absolute
best cryptocurrencies fitting that description
perfectly is VeChain, it's one of the earliest
blockchain technology companies in the world, with offices in China, Europe, US, Singapore, and Japan as well. Unlike a lot of cryptocurrencies, VeChain's utilization has
been proven in the real world, and is a front runner in
cryptocurrency adoption as well, in my opinion, VeChain is a cryptocurrency that you definitely
need in your portfolio.

So in this video, we're
gonna cover five things that you need to know about VeChain, also, if you appreciate all the hours that I pour into creating
cryptocurrency content for you, then you can easily support the channel by hitting the like button,
and also subscribing as well, either way, I really hope
that you enjoyed this video and learn why I believe VeChain is one of the best
cryptocurrency investments for years to come. The first thing you need to know about VeChain is who is the founder.

VeChain was founded in 2015 by Sunny Lu, the former CIO of Louis Vuitton China, who held various other
IT leadership positions at well-known companies,
such as Bacardi and 3M. As the CIO or chief information officer, Sunny Lu served as the bridge between technology and the business, he also learned a lot about
large scale enterprise needs, and how to solve them
with technology solutions. According to Sunny Lu, he
actually submitted a proposal to Louis Vuitton in 2012, regarding accepting Bitcoin
as a payment method, now, unfortunately this was rejected, it would have worked out
very well for them longterm. However, his experience
in bridging the business with technology, is exactly
what he now brings to VeChain. So when Lu first got into cryptocurrency, most people at that time
were so immersed in the tech, they weren't really thinking about how to provide
value to the business, because of his CIO role and
other professional experiences, he understands that
technology needs to serve and also provide value to the business, you can have amazing cutting
edge blockchain tech, but if it doesn't provide business value or have a real use case, then
in success will be limited, and completely built on
hype and speculation.

Sunny Lu brings a competitive
advantage to VeChain, by instilling the process of
first identifying a use case, then a product, then the technology, the use case should drive the product, and the product should
drive the technology, not the other way around. – The future of the
blockchain is blockchain needs to prove the business value, if we just talk about trading
or cryptocurrency trading without any valuation, then, no future, so, the blockchain needs
to prove its business value to go for the next stage. – This strategic focus and
positioning is why VeChain is often referred to as
the Amazon web services of the public blockchain, and while VeChain is paving the way for cryptocurrency adoption as well. The second thing you need to know VeChain is what's VeChain's mission, what are they trying to accomplish? VeChain originally started
as a revolutionary disruptor to traditional supply chain models, which is an industry that
seemed very little change or improvements in decades, however in recent years,
VeChain has evolved into so much more than
just a blockchain solution for supply chain.

As I mentioned earlier,
VeChain is arguably becoming the Amazon web services equivalent for blockchain technology, okay. So VeChain's mission is
to enable business owners, enterprises, governments,
or any individual to move their business activities to blockchain effortlessly, similar to opening an
online store in Amazon with just a few clicks and no
technical knowledge required. VeChain has a three-phase approach to achieve mass public adoption as the world's premier
choice of blockchain, which includes technical consensus, business consensus, and
governance consensus. I personally love that
VeChain is enterprise focused in building solutions
that solve real problems, there are so many cryptocurrencies
in the world today, built on hype and speculation that don't have any real business value, do you think a lot of
those cryptocurrencies are still gonna be around and
successful 10 years from now? The truth is, a lot of them won't be, or they'll be replaced by platforms that have real use cases. VeChain also did something
that no one really did before, before they launched their main net or even went to the design, Sunny Lu and other members of the team, talked to around 40 different executives at Fortune 500 Companies, they asked the same questions
over and over again, how do you want to build out
your blockchain application? And what hurdles or
roadblocks could you encounter if you wanted to migrate your business to a public blockchain? VeChain's mission and
focus on mass adoption is a massive competitive advantage, which I believe will help VeChain continue to rise in market cap rankings, and be a top cryptocurrency
in years to come.

The third thing that you
need to know about VeChain, is why supply chain needs VeChain. The global supply chain is still feeling the ripple effects of the global pandemic with shortages of shipping containers and air freight capacity,
along with materials like semiconductors and plastics as well. There's also numerous supply chain issues that have been around for years, such as tampering,
counterfeiting, and poor quality, the pandemic highlighted
many of the failings of the current highly
inefficient traceability systems that we depend on globally. Large enterprises collectively
pay billions of dollars per year for supply chain solutions that don't get the job done, and are stuck on traditional
supply chain models. If you want another example of why supply chain needs VeChain, just take a look at the
building material shortage and the dramatic growth in
housing prices this year, lumbers record high prices day back to the start of the pandemic, and come from a combination
of a supply chain under a huge amount of stress, and a massive jump in demand as well. Blockchain technology is
one of the best solutions to many global supply chain issues, and VeChain is the best platform that can solve these issues.

VeChain is designed to mitigate challenges that many businesses frequently face in their supply chain process, by improving their
efficiency, traceability, and also the transparency
of supply chains. VeChain created the ToolChain system, which helps deliver to and
validate data on the blockchain, enabling businesses to
stream on supply chain and product management processes. By using RFID tags and sensors, VeChain is able to accurately track the entire supply chain process, and record data onto the
VeChain through a blockchain, work can not be altered or manipulated. VeChain is also in the
top 10 global companies for blockchain related patents as well, most of these patents protect
their tool chain innovations, which is a main reason
why I personally believe that VeChain won't have much competition in the supply chain space when it comes to blockchain technology.

Now there's so many use
cases for ToolChain, so to keep it simple for you, the main thing for you to remember, is that it can be used to
track and authenticate products in numerous industries, while also reducing
counterfeiting in the process. Now, before we dive into the
impressive technical aspects and discuss why large
enterprises are using VeChain, you're probably wondering
where can you buy VeChain? One of the best places where you can buy the VeChain VET token, just so happens to be the
sponsor for today's video, Crypto.com is by far
one of the best places where you can buy, sell, track, store, and send cryptocurrencies that
has over 10 million users.

The Crypto.com app offers up
to 100 plus cryptocurrencies with 20 plus fiat currencies as well. You can also use Crypto Earn, which is really similar
to a savings account, that allows you to stake your crypto to an interest of up
to 8.5% on your crypto, and up to 14% on fiat. They also have a crypto.com visa card which is extremely popular. Can use the crypto.com visa card at 50 plus million locations worldwide to pay with crypto without annual fees. It comes with tons of amazing rewards like up to 8% cash back, free Spotify, free Netflix, and free Amazon Prime, depending on the card tier. VeChain is a cryptocurrency that I personally invest in consistently by dollar-cost averaging. Crypto.com makes it extremely simple for beginners to buy crypto, and to show you just how simple
and quick this process is, I'm going to purchase
700 VeChain VET tokens right now using the crypto.com app.

Okay, so here we are
in the crypto.com app, I'm going to navigate to buy, select the VeChain. Okay, this default order is way over what I wanna purchase today, so I'm gonna go ahead
and update this to 700, (soft music) select buy. And one thing that I personally
love about Crypto.com, is when you first sign up, they waive all debit card and
credit card fees for 30 days, so, this 2.99% fee, would
not apply to you for 30 days if you sign up. Okay, now I need to check this box, click continue, order summary, it's gonna be $68 that includes the fee, go ahead and click
confirm, and there we go.

We just purchased 700 VeChain VET tokens using the Crypto.com
app that was so quick. So go ahead and use the link
down below in the description, to get $25 when you
sign up using code JBT. Thank you so much Crypto.com
for sponsoring this video and supporting my channel. The fourth thing you need
to know about VeChain, is what is the VeChainThor Blockchain? The VeChainThor blockchain is not a proof of work
blockchain like Bitcoin, or a proof of stake
blockchain like Cardano, but rather uses a
Proof-Of-Authority consensus model. Proof of authority is often viewed as an improvement to proof of stake, since all nodes are validated and approved by trusted central party, which is more appealing
to large enterprises, it also eliminates the risk involved with having anonymous block producers.

So at a very high level, VeChain nodes can be
divided into two types, authority nodes and economic nodes. Authority nodes are used to validate all blockchain transactions, there can only be 101 authority nodes, and to become one, users must take a minimum 25 million VET, which is only 24,999,300 more VET that I purchased earlier on Crypto.com. – Really? – In addition to become an authority node, users must also submit
identifying information to the VeChain Foundation as well, and after acceptance, the
25 million VeChain VET must be locked up in order
to remain in authority node, this basically means that you can't sell the 25 million VeChain
VET once you're approved, you have to hold it in order
to stay in authority node.

Economic nodes do not validate
blockchain transactions, but they offer stability to the ecosystem, and provide benefits when compared to non-node VeChain owners. A minimum 1 million VET
is required to gain access to the smallest node,
no hardware is required, all you have to do is place
your VeChain VET tokens into a traceable wallet, and then use the VeChain mobile wallet to go to rewards and upgrade to a node. In order for the VeChainThor blockchain to run as efficiently as possible, VeChain uses two native
tokens, VET and VTHO. VET is used to store and transfer value, while VTHO which is known as VTHO Energy, is used for transactions
on the blockchain.

The two token design
isolates the price volatility of the VET token from the cost of computations on the network, allowing applications on
VeChain to charge stable fees, since the VTHO token
supply can be adjusted to maintain a stable
price for transactions. Simplified at a high level, if you want to ride
data to the blockchain, then you have to pay for it using VTHOR, additionally it's important to know, that if you hold the VeChain VET token, then you're considered a stakeholder, and automatically generate VTHOR, which is really easy passive income, and similar to dividend income when you think about
traditional investing. It's so simple that all you have to do is hold your VeChain VET
tokens in a supported wallet and that's it, you will
automatically receive VTHOR payments in that wallet. The current APY for holding
the VeChain VET token that's paid out in VTHOR is around 1.24% at the time of recording this video, again, you can think of this percentage as a dividend yield that's
paid out to VET token holders. The fifth thing you need to know about VeChain is who uses VeChain.

As the VeChain 2.0 Whitepaper states, these solutions are not just theoretical, these are solutions that
are tested and discussed with over 700 enterprises, and implemented for over 100
plus fortune level enterprises. VeChain has some of the best
partnerships and collaborations in all of crypto, some of the most notable include Walmart China, DNV GL or DNV, PWC, H&M, BMW, Bayer China,
and now even Salesforce. VeChain has been enabling Walmart China's traceability
strategy for products, as well as pioneering the
large-scale application of a blockchain traceability system. By scanning products, customers can acquire detailed information about the source of the scanned products, the geographical location
received by Walmart, the product inspection report, and many other data points as well. One of the biggest problems in the contemporary business world is data sharing between stakeholders, it's basically impossible
for a business to verify the quality and integrity
of data of a third party without extensive time
and cost requirements. One of the recent major
partnership announcements is Salesforce, which has been named the number one CRM provider
for seven consecutive years.

CRM stands for customer
relationship management, and is a technology that helps companies keep track of everything
about their customers, and potential customers as well. The Salesforce director of
strategy and architecture, recently tested enterprise adoption ideas on VeChainThor, and successfully connected VeChain ToolChain with Salesforce. He stated that the driving
decision in choosing VeChain, was a simplicity of integration
using VeChain ToolChain, which provides a powerful and easy way for enterprises to implement
blockchain use cases, this is why VeChain is the best platform for enterprise adoption, because the use case
comes before the product, and the product comes
before the technology. You really need to understand that the Salesforce and
VeChain partnership, and potential for software integrations, is absolutely massive for
cryptocurrency adoption. VeChain continues to pave
the way as the front runner for enterprises and businesses
seeking to unlock new value through blockchain technology. So what are your thoughts? Do you think VeChain will become the Amazon web services of blockchain and solve major issues in
the supply chain industry? If you've found this video helpful, and got value from it,
or learn something new, then all I ask is they hit the like button and subscribe to the channel if you wanna see more videos like this.

If you haven't signed up on BlockFi yet, then go ahead and use my link below BlockFi.com/JoshBurnsTech to
get up to $250 in free Bitcoin when you open a new account, this is such a great way to
make your crypto work for you, generating passive income,
earning compound interest while you sleep or read the little book of "Common Sense Investing", or if you wanna store your crypto in the most secure way possible, and you don't really care about making passive income with it, then I personally recommend the Trezor or Ledger hardware wallet. I've been using the Trezor
for about four years now, and it's a great hardware wallet. You can find links for
the Trezor and Ledger in the description of this video as well.

As always, thank you guys
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