Research Report | VeChain Project Detailed Explanation & VTHO Market Value Analysis

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西格玛学长2025/02/06 07:16

By:西格玛学长

I. Project introduction

VTHO is VeChain's GAS token, specifically used to pay transaction fees and smart contract execution costs. In VeChain's dual-token model, VET is responsible for value transmission, while VTHO bears the cost of on-chain operation, making transaction fees predictable, stable, and not affected by market price fluctuations. For enterprise users, this design makes the cost management of blockchain applications more transparent and reduces the threshold for use.

The generation mechanism of VTHO is bound to VET. Users who hold VET will continue to receive VTHO to pay for on-chain transaction fees. The advantage of this model is that enterprises or developers do not need to directly purchase VTHO for payment, but can gradually accumulate fuel by holding VET, avoiding the trouble of gas fees fluctuating greatly with market trends. Whether it is supply chain tracking, data certification, or smart contract execution, VTHO, as the core payment method, makes VeChainThor's operation more stable and efficient.

From a technical perspective, VeChain adopts the PoA 2.0 consensus mechanism to provide an efficient and secure transaction environment. As the foundation of network operation, VTHO plays an important role in enterprise-level blockchain solutions. Currently, VTHO has been widely used in scenarios such as food traceability, carbon credit trading, and medical data management. With the expansion of the VeChain ecosystem, its role is also continuing to grow.

Research Report | VeChain Project Detailed Explanation & VTHO Market Value Analysis image 0

II. Project highlights

1. Independent fuel system to ensure transaction stability

The transaction fees of traditional public chains are often affected by the fluctuation of the main token price. As VeChain's fuel token, VTHO independently bears the execution costs of on-chain transactions and smart contracts, making transaction fees more predictable. Enterprises or developers do not need to directly purchase Gas tokens, but can continuously obtain VTHO by holding VET, thereby ensuring the stability of on-chain operations and reducing additional costs caused by market changes.

2. Demand expansion brought by VeChain's ecological growth

The usage of VTHO is directly related to the active level of the VeChain ecosystem. The continuous landing of VeChain's enterprise applications in supply chain management, carbon credit tracking, and other fields means that the increase in on-chain transaction volume will drive the consumption of VTHO. As more enterprises adopt VeChain for data certification and asset management, the role of VTHO as a payment method is also constantly expanding, keeping its demand in a long-term growth trend.

3. Consensus mechanism optimization to improve transaction efficiency

VeChain adopts PoA 2.0 consensus mechanism to ensure transaction processing speed and cyber security. Under this architecture, VTHO, as a payment token, supports high throughput and low latency transaction experience, making on-chain operations smoother. Compared with public chains with high gas fees and network congestion, VeChain and its VTHO system provide a more stable on-chain environment for high-frequency trading and large-scale data certification.

III. Market value expectations

VTHO, as VeChain's GAS token, is specifically used to pay transaction fees and smart contract execution costs, bearing the cost of on-chain operation. Therefore, we have selected some representative on-chain GAS tokens (such as SUI, STRK, APT) as benchmarks to speculate on market value expectations.

Research Report | VeChain Project Detailed Explanation & VTHO Market Value Analysis image 1

IV. Economic model

The current total supply of VTHO is 85,521,416,580. It adopts a continuous generation mode and does not set a fixed TGE release ratio. Instead, it is generated daily by VET holders and consumed during on-chain transactions.

Token allocation is as follows:

100% VET generation (Emission via VET Holding): VTHO is generated daily by users holding VET at a set rate, which can be adjusted according to network needs.

Burning Mechanism: 70% of transaction fees are burned and destroyed to reduce market circulation and maintain economic balance. 30% of transaction fees are rewarded to authoritative master nodes of the VeChainThor network as node incentives.

Token Utility is as follows:

1. Transaction fuel (Gas Fee): VTHO, as the Gas token of the VeChain network, is used to pay for on-chain transaction fees, including asset transfer, smart contract execution, data storage, and other operations. VTHO is automatically consumed during transactions to ensure the stable operation of the network.

2. Build a stable economic model: VTHO is generated by VET, and enterprises or developers can continuously obtain fuel by holding VET, avoiding the additional cost of directly purchasing Gas tokens. Transaction fees are predictable. Compared with the volatile single token model in the market, the VTHO system is more stable and suitable for long-term operation.

Ecological incentive and consensus mechanism: 70% transaction fee burning, 30% transaction fee rewarding network nodes, ensuring the long-term sustainable development of the VeChainThor ecosystem. Ecological expansion will directly affect the usage of VTHO. As on-chain transactions grow, the consumption demand of VTHO will also rise synchronously.

V. Team & financing

Team information:

VTHO is supported by the VeChain ecosystem. VeChain was founded by Sunny Lu, who used to be the Chief Information Officer of Louis Vuitton China and has long been committed to the application of blockchain technology in the enterprise market. VeChain focuses on the landing of blockchain in supply chain management, carbon credit tracking, food safety and other fields, while VTHO serves as an ecological fuel token to provide payment security for on-chain transactions. VeChain adopts a dual-token system, making VTHO transaction costs predictable and suitable for enterprise-level application scenarios.

In terms of financing:

VeChain received investment from institutions such as PwC and Qianfang Fund in the early stage, and completed angel and seed rounds of financing, with a total financing amount of several million yuan. As part of the VeChain ecosystem, VTHO did not conduct additional private placement or pre-sale financing, but distributed and circulated through VET generation. Currently, the market circulation of VTHO is completely driven by the open market, and the transaction situation depends on the development of the VeChain ecosystem and the demand for on-chain transactions.

Warning of latent risk

1. VTHO is continuously generated by users who hold VET. Although on-chain transactions will burn some VTHO, if the generation rate is higher than the consumption rate for a long time, the supply of VTHO in the market may continue to increase, affecting price stability. Even with a burning mechanism to adjust, oversupply is still a problem that needs attention.

VeChain adopts PoA 2.0 consensus mechanism. If the protocol is adjusted in the future, such as modifying the VTHO generation rate, burning ratio, or transaction fee calculation method, it may directly affect the supply and demand relationship of VTHO, thereby changing its market pricing logic.

VII. Official link

Website：https://vechain.org/

Twitter：https://x.com/vechainofficial

Telegram：https://t.me/vechainandfriends

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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