VeChain’s Proof of Authority (POA 3.0) Upgrade

Overview

• An analyst breaks down VeChain’s Proof of Authority (POA 3.0) upgrade and highlights its potential to improve inclusivity and democratize decision-making.
• The analyst also pointed out the prediction that VET could imitate the explosive price move recorded in 2020 to hit $1.

In a previous article, we discussed one of VeChain’s (VET) most exciting updates of the year, Proof of Authority (POA 3.0). It aims to provide new staking opportunities while enhancing greater decentralization for the network. Shortly after, renowned investor and analyst, Cheeky Crypto, offered an extensive breakdown of this technical upgrade.

Source: Cheeky Crypto

In a 13-minute 51-second video, Cheeky Crypto explained that the upgrade seeks to significantly transform the crypto industry by:
– Ramping up security
– Slashing staking barriers
– Eliminating Know-Your-Customer (KYC) verification

This upgrade is the third iteration of the Proof of Authority (POA) consensus model. Most notably, it revamps the validator nodes, enhancing the decentralization and security of the VeChain ecosystem. Previously, running a node required a minimum stake of 1 million VET, posing a challenge for many participants. With POA 3.0, more users can stake smaller amounts and join the network.

Key Features of POA 3.0

• X Economic Nodes Delegation System: Allows small nodes to delegate their collateral to one of the 101 validator nodes, ensuring a more inclusive staking process.
• Elimination of KYC: Encourages massive participation and fosters democratic decision-making in blockchain.

VeChain’s Roadmap and Price Prediction

Cheeky Crypto indicated that VeChain’s ambitions extend beyond this upgrade. They are pursuing various transformative initiatives to enhance the network:
1. VeBetterDAO: Empowers the community by giving them a voice in governance and decision-making.
2. Veworld Wallet: More than just custody; expected to be a hub for payment, asset management, and decentralized applications.

Current Price Performance

Currently, VET is trading around $0.033, experiencing a 4.4% gain on its 24-hour price chart.

Predictions suggest a dramatic surge for VET. Analyst EGRAG CRYPTO believes VET could replicate the 6,538% surge of 2020, which added $0.19888 to its price.

While Cheeky Crypto thinks this prediction may take time, he believes ongoing development shows the project is on the right track. VeChain is also working on a holistic upgrade named the “VeChain Renaissance,” aiming to reimagine its tokenomics as previously mentioned.