In the blockchain ecosystem, the drive for scalability, efficiency, and speed has catalyzed the development of several EVM-compatible platforms. These initiatives are designed to underpin the decentralized ecosystem, facilitating smart contracts and dApps with improved performance. The competitive arena is witnessing the emergence of ultra-fast blockchains, reflecting a significant trend towards more scalable, efficient solutions. Amid these advancements, leveraging artificial intelligence for improved scalability and performance, Velas (VLX) distinguishes itself as one of the numerous projects contributing to the evolution of blockchain technology.

What is Velas (VLX)?

Velas, inspired by the transformative potential of Web 3.0 and blockchain technology, was founded with the vision of creating a transparent, community-driven, and decentralized ecosystem. This ambition was set into motion in 2019 by crypto entrepreneurs Alex Alexandrov and Farkhad Shagulyamov. With its roots firmly planted in Zug, Switzerland, often hailed as Crypto Valley, Velas aimed to set a new standard in the blockchain domain, offering a secure and swift platform for a myriad of applications and services.

The founders, Alexandrov and Shagulyamov, brought a wealth of experience in cryptocurrency, blockchain, and EVM technologies. Alexandrov, taking the role of CIO, had already made his mark as the CEO of CoinPayments, a leading payment gateway in the digital currency space. Shagulyamov, serving as CEO, entered the crypto industry in 2016 and had a background in technology entrepreneurship in China. Their collective expertise laid a solid foundation for Velas, steering it towards becoming one of the most secure and fastest EVM-compatible blockchains in the industry.

Velas quickly garnered support from a robust team of blockchain developers, investment experts, and marketing specialists, alongside guidance from advisors like Dr. Moe Levin, CEO of Keynote, and Marshall Long, Managing Partner of Mockit Esports. This collaboration fostered the project’s initial growth and integration within the blockchain community. Velas also engaged with its audience through various social media channels, including Telegram, Reddit, Facebook, and Twitter, fostering a vibrant community around its project.

Partnerships formed an essential part of Velas’s strategy, notably with CoinPayments, which adopted the Velas token for discounted trading fees, and Mind AI, which sought to build its framework atop the Velas blockchain. These alliances not only expanded Velas’s utility but also solidified its position within the blockchain ecosystem, marking key milestones in its journey toward redefining the landscape of decentralized applications and services.

How Does Velas Work? Technological Solutions and Consensus Mechanism

Velas stands at the confluence of technological innovation and decentralized ambition, aiming to address the core challenges of scalability, security, and decentralization within the blockchain arena. By intertwining state-of-the-art cryptography, advanced consensus protocols, and user-centric interfaces, Velas endeavors to empower developers, businesses, and individuals globally. This initiative lays the groundwork for a transparent, accessible, and community-governed ecosystem, pivotal for the Web 3.0 evolution. Transitioning into the domain of consensus mechanisms, Velas integrates these technological solutions to enhance the blockchain’s foundational robustness and user engagement.

Technological Solutions

Velas Account: Velas Account revolutionizes access to blockchain services with passwordless authentication, enhancing convenience and security. By potentially utilizing technologies like Account Abstraction (AA) or Multi-Party Computation (MPC), Velas eliminates traditional passwords and seed phrases, streamlining user interaction. This approach significantly lowers the barriers to Web 3.0, making blockchain technology more accessible and user-friendly. Velas’ innovative system aims to simplify blockchain for everyday users, encouraging broader adoption. The emphasis on removing complex security measures without compromising safety demonstrates Velas’ commitment to bridging the technological divide, ensuring a seamless and secure user experience in the blockchain realm.

Ethereum Virtual Machine (EVM) Compatibility: Velas embraces EVM compatibility, merging the expansive ecosystem of Ethereum with its high-performance blockchain. This strategic integration facilitates developers in deploying decentralized applications with enhanced efficiency and reduced costs. By supporting Ethereum smart contracts, Velas not only broadens its appeal to the developer community but also contributes to the scalability and versatility of the DeFi landscape, marking a significant stride in blockchain interoperability and innovation.

Based on Solana: Leveraging Solana’s architecture, Velas achieves remarkable transaction speeds and scalability. This choice reflects a strategic move to harness Solana‘s proven performance capabilities, optimizing transaction throughput and reducing latency. Velas’ adaptation of Solana’s technology underscores its commitment to providing a robust infrastructure for decentralized applications, setting a new benchmark for speed and efficiency in the blockchain ecosystem.

Velas Vault: Velas Vault represents a groundbreaking approach to secure, decentralized asset custody. By integrating advanced security measures and leveraging the blockchain’s inherent security features, Velas Vault offers a reliable solution for storing digital assets and private keys. This technology exemplifies Velas’ dedication to enhancing security and privacy in the digital age, offering users peace of mind and fostering trust in decentralized financial transactions.

Velas Freedom: Velas Freedom employs innovative approaches to achieve a no-transaction-fee model, distinguishing it from traditional blockchain platforms that may only reduce fees. This is possible through a unique combination of technological innovations and economic models designed to offset transaction costs. For example, Velas might utilize a system where transaction validators are compensated through network inflation, a reserve fund, or alternative revenue streams such as the platform’s own services, staking rewards, or sponsorships. This ensures that users can engage with on-chain operations without direct transaction fees, thereby removing one of the significant barriers to blockchain adoption and enhancing the user experience to a level comparable with centralized applications, all while upholding the principles of decentralization.

By focusing on user empowerment and the democratization of blockchain technology, Velas Freedom aims to make blockchain accessibility and usability a reality for a broader audience. This approach underscores Velas’ dedication to innovation and its commitment to fostering an inclusive digital ecosystem.

As Velas continues to innovate within these domains, it lays a strong foundation for a decentralized future, paving the way for a discussion on its consensus mechanism—a critical component ensuring network security and democratic governance.

Source: velas whitepaper

Consensus Mechanism

The Velas blockchain stands out in the crowded field of digital ledger technologies by adopting a high-performance protocol that integrates an innovative time architecture, transaction processing mechanism, and a consensus model that surpasses many of its contemporaries in efficiency. Velas represents a fusion of the best features from both Solana and Ethereum, including security, scalability, and high performance, with added benefits such as 1.2-second finality, minimal fees, and support for EVM/Solidity.

In the inception phase, the Velas team meticulously researched over 48 consensus mechanisms to identify the most fitting solution for a network that is decentralized, scalable, and secure, capable of accommodating billions of users. This exploration led to the selection of the Delegated Proof of Stake (DPoS) mechanism, acclaimed for its scalability, low entrance threshold, and robust protection against double-spend attacks, positioning it as a democratic and decentralized governance model.

Velas differentiates itself by employing a hybrid consensus model, combining Proof of Stake with Proof of History, addressing the blockchain trilemma—security, scalability, and decentralization—without compromise. Introducing the Artificial Intuition Delegated Proof of Stake (AIDPoS) consensus mechanism underscores Velas’s innovative approach. AIDPoS, supported by the Artificial Intuition protocol, seeks an equilibrium between artificial intelligence and human consciousness, optimizing the network’s efficiency by analyzing patterns and relationships within the data traversing the Velas ecosystem. This consensus mechanism paves the way for a new era of decentralized applications, leveraging Velas’s native VLX token for transactions, smart contract operations, and staking, all while maintaining environmental consciousness through energy-efficient operations and carbon neutrality efforts.

Velas Use Cases

Velas offers a platform for developing decentralized applications (dApps). Its unique combination of speed, scalability, and environmental stewardship positions it as a leader in the blockchain evolution. Here are expanded insights into the pivotal use cases for Velas:

• Decentralized Finance (DeFi): Velas propels the DeFi revolution forward by providing a high-performance infrastructure for financial applications that democratize lending, borrowing, and investing. Its unparalleled transaction speeds and scalability ensure that financial transactions are executed nearly instantaneously, making finance accessible and efficient for everyone, everywhere.
• NFT Marketplaces and Collections: By leveraging Velas, developers can craft NFT platforms with significantly reduced transaction costs and high throughput. This empowers artists and creators to mint and trade digital assets with ease, fostering a vibrant ecosystem for digital art, collectibles, and more, all while ensuring creators retain a larger share of their earnings.
• Decentralized Exchanges (DEXs): Velas supports the creation of next-generation DEXs, enabling rapid, cost-effective token swaps. This facilitates a fluid, user-friendly trading experience that can handle the volume and speed required by the modern crypto market, transforming how users engage with decentralized finance.
• Metaverse Projects: Velas provides the infrastructure for building expansive metaverse environments, incorporating NFTs, governance tokens, and P2E gaming. This allows for creating rich, interactive virtual worlds where users can own assets, participate in governance, and enjoy blockchain-based games, all within sustainable and scalable environments.
• Web 3.0 Applications: As the fastest EVM-compatible blockchain, Velas is the foundation for Web 3.0 applications, enabling developers to build decentralized platforms that offer enhanced user autonomy, privacy, and interaction. This includes social networks, content platforms, and decentralized autonomous organizations (DAOs), pushing the envelope on how we think about online spaces and community governance.

Source: velas.com

In conclusion, Velas catalyzes the shift towards a decentralized digital future, underpinned by its commitment to performance and eco-friendliness. By embracing Velas, developers, and creators are not just participating in the blockchain movement but are also contributing to a sustainable and inclusive digital ecosystem. As we delve into the consensus mechanism that powers Velas, we uncover the technical prowess that makes these advancements possible, highlighting the platform’s role in shaping the future of blockchain technology.

What is the VLX Coin?

VLX is Velas’ native cryptocurrency, powering transactions, staking, and governance on the Velas blockchain. Its total supply counts 2.5 billion units, all already in circulation (February 2024).

The VLX Coin is the foundational utility token of the Velas blockchain, designed to facilitate a wide array of functions within its ecosystem. With an inflation rate of 8% annually, VLX serves multiple purposes, from transactions and payments to fees and staking support under the Proof-of-Stake consensus mechanism. This tokenomics model is anchored in DPoS (Delegated Proof of Stake) economics, promoting a favorable and incentivized environment for network participants.

Key characteristics and use cases of VLX include:

• Staking: To become a validator, one must hold at least 1 million VLX tokens, while becoming a delegator requires just 1 VLX. This system not only secures the network but also rewards participants with staking incentives, aligning their interests with the network’s health.
• Transaction Fees and Payments: As the primary currency on the Velas network, VLX is used to cover transaction fees at a reduced cost, especially when utilized on the CoinPayments platform, offering a 25% discount, thereby enhancing user engagement and network utility.
• Governance: Holding VLX tokens allows users to participate in governance processes, influencing the development and operational decisions within the Velas ecosystem.
• Energy Efficiency: Staking with VLX supports the blockchain’s operation in a more environmentally friendly manner compared to traditional proof-of-work systems, aligning with contemporary concerns about sustainability.
• VelasPad Integration: VLX plays a crucial role in the VelasPad launchpad, facilitating access to cross-chain launches and partnerships within the Velas network, thereby expanding the token’s utility beyond simple transactions to include support for innovative blockchain projects.

In sum, VLX Coin is not just a digital currency but a central pillar of the Velas ecosystem, designed to incentivize participation, secure the network, and facilitate a broad spectrum of decentralized applications and services. With a total supply of 2.5 billion tokens pre-mined to ensure a smooth transition for CoinpaymentsCoin holders, VLX stands as a testament to Velas’s ambition to foster a scalable, secure, and user-centric blockchain environment.

Velas Ecosystem

The Velas ecosystem is a vibrant hub of innovation, connecting communities, businesses, and technologies through various pioneering projects.

EGG City Coins

Among these initiatives, EGG City Coins emerge as a transformative tool for local economies, creating a platform where city inhabitants can engage with freelancers and businesses, facilitating payments in city-specific coins, cryptocurrency, or fiat. This initiative not only boosts local economies but also fosters community-driven governance through DAOs, encouraging sustainable practices and local wealth creation.

Velas Wallet

Velas Wallet offers a seamless and secure way to manage cryptocurrencies, allowing users to store, pay, and transact with digital currencies effortlessly. Its user-friendly interface and QR code functionality make digital payments accessible to a broad audience, enhancing the usability of cryptocurrencies in everyday transactions.

Vulos.io

Vulos.io disrupts the digital identity and signatures space, providing a blockchain-based identification layer that enhances security, transparency, and user autonomy. Vulos.io paves the way for a more secure and trustless digital interaction landscape by simplifying user authentication and ensuring control over personal data.

Wavelength Exchange

Wavelength Exchange introduces an advanced Automated Market Maker (AMM) system on the Velas Blockchain, inspired by Balancer’s technology. It offers features like Weighted Pools and Smart Order Routing, improving liquidity, trading efficiency, and enabling the creation of custom AMMs, significantly enhancing the trading experience within the Velas ecosystem.

Warlands

Warlands brings a competitive esports gaming experience, combining survival and strategy in a team-oriented 5vs5 video game. This project aims to merge the traditional gaming market’s success with blockchain technology, offering a unique P2E environment that attracts gamers and brands to the evolving digital landscape.

These projects represent just a glimpse into the vast array of applications and innovations developed on the Velas blockchain. Each contributes to a diverse and growing ecosystem that leverages blockchain technology to solve real-world problems, improve digital interactions, and create new opportunities for decentralized community engagement.

Is VLX a Good Investment?

In the evolving blockchain landscape, scalable solutions like VLX, which enable micropayments and DeFi platforms, are pivotal. Their capacity for super-fast transactions enhances user experience but may also heighten susceptibility to external attacks. The robustness of such networks often hinges on the number of active nodes, serving as a critical defense mechanism. Therefore, while evaluating the potential of VLX as an investment, one should consider the balance between scalability, security, and network support, mindful of the inherent risks and opportunities in this dynamic and rapidly advancing sector.

How to Own VLX?

To own VLX, you can use the services of a centralized crypto exchange. Start by creating a Gate.io account, and get it verified and funded. Then, you are ready to go through the steps to buy VLX.

News on Velas

According to what was reported on the official Velas blog, in August 2023, Velas partnered with Metaforra to revolutionize gaming through blockchain integration. This collaboration will support Metaforra’s token on Velas, enhancing liquidity and providing gamers with a seamless Play & Earn ecosystem. The partnership aims to merge gaming with blockchain, ensuring low fees, high speeds, and secure asset ownership. This union not only promises to elevate the gaming experience but also empowers players with control over their digital assets, heralding a new era in the gaming industry.

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