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- VeChain just released its performance report for Q1 2023.
- The protocol recorded a jump in total holdings that was complemented by reduced operational costs.
Sustainability-inclined blockchain platform VeChain has published its earning report for the first quarter of 2023. According to a tweet from the protocol’s official Twitter handle, the report was released as part of keeping up with its industry-leading approach to transparency and accountability.
In keeping with our industry-leading approach to transparency & accountability, we proudly present our latest Financial Report, detailing the Foundation Treasury holdings and expenses for Q1 2023.https://t.co/O4aODqchIk#vechain #blockchain #crypto #web3 #VET pic.twitter.com/HpP6vVdpxD
— vechain (@vechainofficial) July 5, 2023
The VeChain’s Report
The report, which provides an overview of the firm’s balance sheet, treasury holdings, expenses, and notable developments, equally confirms that in Q1 2023, there was explosive growth. In a letter to VeChain community members, the blockchain protocol emphasized that it had successfully navigated and overcame turbulent times in the crypto industry.
Worth noting, according to its balance sheet, is that most of VeChain’s assets are held in Bitcoin (BTC), Ethereum (ETH), and VET, one of the native tokens of the platform, with just a small percentage dedicated to stablecoins. Hence, the surge in the price of BTC and ETH may have contributed significantly to the explosive growth of the foundation. From $275 million it holds at the end of 2022, VeChain’s balance sheet showed a tangible increase to $380 million at the end of March 2023.
The increase was attributed to better market conditions than that of the previous year which was filled with several bankruptcy filings including that of the FTX Derivatives Exchange. Investors seem to have regained their confidence and trust in the crypto market following the price rally of BTC at the beginning of this year.
Apart from the increase in its treasury holding, a Profit and Loss Sheet that VeChain shared shows that the protocol’s total expense was almost 7 million, implying that it used only 1.8% of its balance to run its operations. These expenditures include ecosystem integration, operations, PR and marketing, tech operations, and legal and finance with a larger percentage of the total expense allotted to ecosystem operations.
Consequently, VeChain is in a healthy state and if this momentum is maintained, it is safe to say that it can support its ecosystem efficiently for as long as possible without any external contributions. Notably, no income or revenue statements were published in addition to this report.
VeChain Hit Milestones, Bags Multiple Partnerships
During Q1 2023, VeChain hit several milestones and partnerships including facilitating the first transaction on Supply@ME Capital’s Inventory Monetisation Platform. VeChain collaborated with the United Nations to achieve its 17 sustainable development goals (SDGs) in digital ecosystems. There has also been the launch of the VeWorld Wallet which recently unveiled a new mobile wallet UI.
Toward the end of Q1, the first release of Dev Tool Updates resulting from the collaboration between VeChain and Electi Consulting to accelerate Web3 adoption using ETH tools was rolled out. This included the Hardhat plugin, Remix, and the Open Zeppelin Library.
Since Q1 to date, VeChain has been doing well and has bagged more collaborations as it expands its use cases across several industries.
