VeChain Docs
  • Welcome to VeChain
  • Blockchain Basics
    • Introduction to blockchain
    • Introduction to digital property
    • The evolution of the internet
  • Introduction to VeChain
    • About the VeChain blockchain
      • Consensus Deep Dive
      • Governance
    • Dual-Token Economic Model
      • VeChain (VET)
      • VeThor (VTHO)
    • Acquire VeChain Assets
    • Sustainability
  • Core Concepts
    • Networks
      • Thor Solo Node
      • Testnet
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      • Node Rewards Programme
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      • Block Model
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      • Transaction Model
      • Transaction Fees
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      • Meta Transaction Features
        • Transaction Uniqueness
        • Controllable Transaction Lifecycle
        • Clauses (Multi-Task Transaction)
        • Fee Delegation
          • Multi-Party Payment (MPP)
          • Designated Gas Payer (VIP-191)
        • Transaction Dependency
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        • User Guide
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    • EVM Compatibility
      • VeChain Modifications
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      • Test Coverage
        • Gas model
        • Raw transaction
        • hardhat specific
          • Ganache failures
          • evm_increaseTime
        • Failures in constructor
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        • BadBeacon proxy address at 0x1
      • How to Recreate
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        • Using Governance Contracts
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    • Account Abstraction
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      • EntryPoint Contract
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    • Token Bound Accounts
  • How to run a node
    • Nodes
    • How to run a Thor Solo Node
    • Custom Network
    • Connect Sync2 to a Thor Solo Node
  • Developer Resources
    • Getting Started
    • How to build on VeChain
      • Connect to the Network
      • Read Data
        • Read Blocks
        • Read Transactions
        • Read Accounts
        • States & Views
        • Events & Logs
        • VET Transfers
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      • Listen to Changes
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      • Build with Hardhat
      • Utilities
        • BigInt and Unit-Handling
        • Name Service Lookups
    • Example dApps
      • Buy me a Coffee
      • Token Bound Accounts
      • PWA with Privy and Account Abstraction
    • EVM Compatibility for Developers
      • Key Architectural Differences and Optimizations
      • Practical Implications for Developers: Key Considerations
      • RPC Methods (Detailed Breakdown)
      • Frequently Asked Questions (FAQs)
      • VeChain Blockchain Specifications
      • Key Differences Between VeChain and Ethereum (Summary)
      • Best Practices for Developing on VeChainThor
    • How to verify Address-Ownership
      • Next.js Session Verification
    • Debug Reverted Transactions
    • Account Abstraction
    • VIP-191: Designated Gas Payer
      • How to Integrate VIP-191 (I)
      • How to Integrate VIP-191 (II)
      • How to Integrate VIP-191 (III)
    • Index with Graph Node
      • Setup with Docker
      • Index with OpenZeppelin
        • Create Subgraph Project
        • Configure Contracts
        • Deploy Subgraph and start Indexing
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    • SDKs & Providers
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      • DApp Kit
        • v2
          • Installation
          • React
            • Installation
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            • Installation
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        • v1
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            • Installation
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          • Installation
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            • Installation
            • Usage
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            • Installation
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        • Installation
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        • Installation
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    • Frameworks & IDEs
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  • How to contribute
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On this page
  • VeChainThor: A Layer 1 Blockchain for Enterprise Adoption
  • VeChainThor's Consensus Mechanism: Proof of Authority (PoA)
  • The Rationale Behind PoA: Addressing the Blockchain Trilemma
  • Future-Proofing VeChainThor

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  1. Introduction to VeChain

About the VeChain blockchain

An in-depth look at the VeChainThor blockchain powering the VeChain ecosystem.

VeChainThor: A Layer 1 Blockchain for Enterprise Adoption

VeChainThor is the layer 1 blockchain which powers the VeChain ecosystem. VeChainThor is a public blockchain that is designed for mass adoption and is intended to serve as a foundation for a sustainable and scalable blockchain ecosystem.

Since it went live, the time when the genesis block was mined, in June 2018, the blockchain has been 100% online with zero downtime. VeChainThor is an extremely fast and efficient blockchain, producing blocks, on average, every 10 seconds and all the while only consuming a fraction of the energy other blockchains require to complete the same task. In fact, VeChain’s energy consumption is equal to just 0.04% of other blockchains.

The VeChainThor blockchain is not built from scratch. It expands upon some of the essential building blocks of the Ethereum blockchain and provides innovative technical solutions that are powered by our novel governance and economic models, which, we believe, will push forward broader blockchain adoption and the creation of new business ecosystems with more efficiency and trust. VeChainThor is packed with technical features that are tailor-made to meet the needs of individuals and enterprises.

VeChainThor's Consensus Mechanism: Proof of Authority (PoA)

Consensus is the process by which a blockchain network agrees on the validity of a transaction or block. In a blockchain network, transactions are grouped together in blocks, and these blocks are linked together in a blockchain. Consensus is needed to ensure that all participants in the network agree on the current state of the blockchain. Consensus occurs each time a new block gets appended to the blockchain.

VeChainThor's Proof of Authority (PoA) consensus algorithm is powered by 101 Authority Masternodes who are tasked with producing blocks for the VeChain blockchain. In order to become an Authority Masternode, an individual or entity has to voluntarily disclose their identity to the foundation and undergo a strict know-your-customer (KYC) process, before being selected. Only a block produced by an Authorithy Masternode will be viewed as a valid block by the VeChainThor blockchain.

The Rationale Behind PoA: Addressing the Blockchain Trilemma

There is a well known trade off in consensus algorithms which Vitalik Buterin, founder of the Ethereum blockchain, coined the "The Blockchain Trilemma". In essence, Buterin asserted peer-to-peer (P2P) decentralised networks cannot score highly on decentralisation, security and speed. Every blockchain network will be required to sacrifice one attribute to achieve the desired blockchain configuration. VeChain's aim is to be an enterprise grade, sustainable blockchain, and so the tradeoff was to reduce the amount of actors involved in block production in order to improve speed and security.

However, as all Authority Masternodes have their identities and reputations at stake, they are all held accountable and are incentivised to work in the best interest for the networks growth and security. Authorithy Masternode's also earn rewards for producing blocks, which further incentivises them to act in good faith and to the benefit of the VeChainThor blockchain.

Future-Proofing VeChainThor

VeChain continuously evolves the VeChainThor blockchain to meet emerging needs:

  • Regular protocol upgrades

  • Research into scaling solutions

  • Exploration of cross-chain interoperability

  • Ongoing security enhancements

By combining enterprise-grade performance with innovative features and a focus on sustainability, VeChainThor positions itself as a leading blockchain solution for businesses and individuals alike. Its unique consensus mechanism and tailored features provide a robust foundation for the next generation of blockchain applications and ecosystem growth.

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Last updated 2 months ago

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