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VTHO serves as the gas token for the VeChainThor blockchain, powering all transactions and smart contract executions on the network. It is a dual-token system, with VET being the primary store of value and VTHO generated from VET holdings, acting as the operational currency. This design decouples the cost of transactions from the price volatility of VET, providing a more stable and predictable environment for businesses. The VeChainThor blockchain utilizes a Proof-of-Authority (PoA) consensus mechanism, which offers high transaction speeds and scalability. This is achieved through a limited number of pre-approved validators, ensuring network security and efficiency. VTHO's primary use case is to enable the execution of decentralized applications (dApps) and facilitate data transfer and management on the VeChain ecosystem. It aims to solve the problem of high and unpredictable transaction fees that plague many other blockchain platforms, making enterprise-grade blockchain solutions more accessible and economically viable.
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