How The VeChain Thor Blockchain is Set to Revolutionize Governance, Finance, Logistics, and Agriculture in China
There are whole baskets of breadcrumbs and signals indicating how
VeChain (VEN) and the Thor Blockchain will be the infrastructure on which cities of the future will run, starting with the Gui’an Smart City.
In the case of VeChain, the implementation will be truly revolutionary:
At its core the VeChain Foundation does not believe in a fully anarchically decentralization, nor does it believe in totalitarian governance. It is for that reason the board members envisioned something in between. Our governance structure is a new breed of a decentralized system through centralized channels.
Unthinkable complexity
VeChain, once upgraded to the VeChain Thor Blockchain (VET) will operate in a similar way to Ethereum, acting as a network/blockchain upon which other applications can be built. Unlike Ethereum, which is left to developers and companies to think of blockchain uses and develop their own token, VeChain has a long list of BIG partners that it has been working with to develop applications. Whilst VEN is currently an
ERC20 token and runs on the Ethereum network, and will continue to do so when converted into VET at the end of February, it is unlikely to remain on the Ethereum network — for reasons I will discuss in
Part 2 — once the
mainnet launch takes place in June.
The core message is that legitimate and near-term business applications, rather than speculation and hype about potential future uses, are the most fertile ground for execution of Blockchain technology.
Along with the logistics applications, VeChain has multiple partnerships with the State Council of the People’s Republic of China. In case you are hard of thinking, that means the Chinese Central Government.
Posted by Yicai Global, part of China’s state ran Yicai Media Group
What signals are being sent when China bans ICO’s and
Crypto exchanges and then shortly afterwards mandates a small selection of homegrown teams be government partners? Considering the fate of Facebook, Youtube, Google, Twitter, Amazon and Uber in China, this is hardly surprising.
Gui’an New Area in Western Guizhou province has been given the status of special economic development zone, with the intention of turning it into the National Data Center of western China, focusing on Big Data, Blockchain, Cloud Computing, and Smart Solutions.
In case the clear government endorsement (above) on Twitter by the state media wasn’t a big enough clue, VeChain released the following press statement in December 2017:
VeChain is mandated to be the blockchain technology partner of the government of Gui’an to plan, design and implement such processes.
Below is an overview of the processes alluded to above:
National Governance
· Providing a blockchain based information system to collect and analyze administrative data and cut red tape.
· Offer privacy protection of data and store business registration related documents.
· Allow for remote business registration and robust auditing.
The First Blockchain Powered Fine Wine/Liquor Exchange
Vechain already has a working product through its connection with DIG (Shanghai Waigaoqiao Direct Imported Goods sales Centre Ltd.), also a government owned entity, using their NFC chip (a smart chip that is attached at sources and tracks data on whether the product is authentic, location, temperature, ownership etc.) to enable full and immutable traceability from source.
PwC video explaining VeChain used in DIG wine counterfeiting
VeChain not only intends to use this partnership and technology to power the first ever blockchain liquor exchange, they also plan to use VeChain to power future exchanges around the world, where physical assets will combined with digital assets.
SmartBlockchain Agriculture
VeChain, along with the Liaoning Academy of Agricultural Sciences (also a government entity), has developed a cloud platform for intelligent agriculture.
If you are unsure of just how serious the Government of China are about implementing blockchain technology, the following extract from the release seems pretty conclusive:
When the technology and implementation process streamlines are well tested, it is expected that this process will be rolled out throughout the entire region of China.
Logistics
VeChain Thor Finds Its Own Uses For Things
I could run on for another 2,000 words detailing the plethora of partnerships. Not to mention their development team, which is nearly as impressive as the number and strength of partnerships — an overview of the team can be found
here. However, as the point of this article was to demonstrate beyond a shadow of a doubt the scale of VeChain’s future operations and use cases, links with the relevant details will suffice.
Yes, a lot of these are Twitter announcements. Yes, it’s lazy to copy and paste from Twitter. But, I would like to finish Part 1 of this series and move on to Part 2, which will discuss VeChain Thor/mainnet implementation and likely market cap moving into 2018 and beyond.
Pricewaterhouse Coopers (PwC):
Sunny Lu — CEO of VeChain
I am not your financial advisor. This is not financial advice. I own some VEN/VET but am not affiliated with VeChain in any way.
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