VeChain (VET) is a robust crypto project that gets value from community and developer engagement. Their blockchain boasts of being the solution to real-world economic problems. Amid this 2021 bull run, price predictions are running wild for almost every cryptocurrency. We dive into VeChain fundamentals and see whether 2021 will be bullish or bearish for this blockchain giant.
What is VeChain?
VeChain is a blockchain project that launched in June 2015. The main focus of the project is to build a distributed business ecosystem that is trustless. To this end, VeChain has made great leaps and bounds.
The Ve Chain developers mainly specialize in the Internet of Things (IoT) and blockchain, as these two are the future of world economies. VeChain is the brainchild of Sunny Lu.
Partnerships and Fundamentals
VeChain has been hard at work securing partnerships with big industries. Ve Chain’s vision runs on the VeChainThor (VTHO) network, which is their public blockchain. This blockchain is built on several concepts. They include Proof of Authority (PoA), fee delegation protocols, on-chain governance (as in DAOs), and built-in smart contracts.
The PoA requires the authorization of nodes before they can participate in blockchain consensus. While this slows down the transaction speeds, it ensures maximum security of the chain.
VeChain has been slowly gaining popularity but is still heavily under wraps. Among the most prominent partners of VeChain includes PriceWaterhouseCoopers (PwC), BMW Group, Walmart China, Haier, and Groupe Renault. These are all multibillion-dollar conglomerates spanning several continents.
The latest hot news on VeChain is the unveiling of Air Trace, a low-code digital service platform developed by PwC on VeChain technology.
VeChain (VET) Tokenomics
VeChain has a total supply of about 86 billion tokens, and 66 billion of them are already in circulation. This huge supply has put great downward pressure on the price of VET. In addition to this, the daily trading volume for VET is somewhat small for a company of its size.
Standing at $762 million across several Tier-1 exchanges, the trading volume shows reduced interest from traders. Despite this, VeChain has over 1 million accounts, which shows the incentive to hold is more than the pressure to sell the token.
Presently, VET has a market cap of $10B. At a $1 token price, the market cap would swell to $66B, propelling it to the top 10 cryptocurrencies by market cap. All of the top 10 crypto projects have a trading volume of more than $2B. Given this fact, however, trading volume can spike at any time and is hardly an indicator of the future price.
VeChain (VET) 2021 Price Prediction
Lets look at Ve Chain Price Prediction by end of 2021.
The current price of VET is $0.1369. This is a 1040.9% increase for the year 2021 so far. Several price analysis platforms have forecasted the price of VET in 2021. The Wallet Investor predicts a high of $0.20 for VET by the end of 2021. CoinPrice Forecast sees a single VET going for $0.17 by year’s end. At the same time, Long Forecast have pegged their price prediction at $0.24 by December 2021. All predictions combined, it would be an average of 45% increase from the current price, which is bullish for the project.