There has been great reason for optimism in the VeChain community after a slew of partnership announcements and the successful release of its VeChain Thor blockchain main net. It now appears that the first major adoption of the company’s blockchain is in full effect.
A Transaction Milestone
In the midst of a token swap and still during the blockchain’s infancy, VeChain followers had not expected much adoption until several months from now when the main net was proven to be stable and companies slowly came on board. Yet there has already been a major spike in transactions for VeChain Thor. In fact, the VeChain Thor blockchain recently surpassed 100k transactions, most of which were completed after August 15th.
While there has been no official announcement of blockchain adoption by the VeChain team, speculators on Reddit and elsewhere wonder if this surge is a test of the main net either by a new corporate partner or the VeChain team themselves. Regardless of who is facilitating these transactions on the blockchain, it is producing a great deal of excitement in the VeChain community, as adoption and usage of the network have already begun.
How Transactions Could Drive Prices
VeChain has opted to run its blockchain on a duel-token platform, with the Thor (VTHO) token being used to power transactions on the chain and VeChain (VET) token used to generate VTHO and obtain node status on the network.
Thus far, almost seven million VTHO have already been burned from transactions, driving up demand and prices for the token. According to the VeChain whitepaper, almost 37.5 million VTHO are generated per day, and it is expected the demand for VTHO, along with the limited supply, will drive up prices of the token for future use. If companies wish to use the VeChain Thor blockchain to optimize their supply chains, VTHO will continue to be burned, and at a much higher rate.
Just the beginning?
With countless partnerships such as PricewaterhouseCoopers, DNV GL, Renault Group, KUEHNE+NAGEL, D.I.G., China Unicom, and more, VeChain has a great deal of opportunity in front of itself. As these corporations onboard to the VeChain Thor blockchain, it is likely transaction numbers will continue to spike and adoption will increase, thus driving up prices of both VET and VTHO. Expect announcements by the company in the coming months in regards to which partners are testing the VeChain Thor blockchain for supply chain management purposes.
Dan is a freelance cryptocurrency and blockchain content writer. He has written content for startups, ICOs, financial planners, venture capital firms, and more. Previously he founded an e-commerce company that grew to $1 million in revenue and profitability in less than 3 years. Dan has a degree in Economics and Finance from Bentley University.