Estimated reading time: 2 minutes, 7 seconds
This episode of – What is it? covers VeChain! In this series, we will cover the different types of blockchain platforms and cryptocurrencies on the market right now. We’ll give you a quick description of each blockchain/token, its function, who is their competition and where you can learn more.
Worried about where your food and other goods are coming from? VeChain is a blockchain-enabled platform that is designed to enhance supply chain management processes. By utilizing tamper-proof and distributed ledger technology (DLT), VeChain provides shippers, retailers, and consumers with a trustless system, ensuring the highest level of quality assurance.
VeChain plans to digitize the whole supply chain process wherever it can be, providing a platform for asset digitization and tracking. It starts tracking where the product was sourced, and leaves an unique electronic thumb print every stop it makes, all while providing transparency to the necessary parties. Nodes along the way track the progress of a shipment, and all maintenance or upgrades to these are recorded to the chain.
VeChain uses its own VeChain Identity (VID) technology, which is used to tag a shipment. VIDs are produced using a SHA256 hash function, which generates a random hash value that corresponds to a VID. Unlike other supply chain solutions that rely solely on RFID, VID can also be pegged to a QR code or NFC tag, which is important because some metals and liquids can interfere with RFID scanners.
With VID, digital ownership can be represented on the platform. Smart contracts allow a digital asset to be linked to an account that possesses both a public key and private key. The public key is made public and is shown as an alias email address, which can be recognized and accessed by other users. The private key indicates ownership and authorizes and access to the corresponding digital asset.
VeChain’s innovation can prove huge for the supply chain. The technology limits food fraud, discourages child labor, and mitigates loss of inventory.
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