Binance To Distribute VTHO To VET Holders on a Monthly Basis After Daily Snapshots
Binance Announces VTHO to VET Holders on Monthly Basis
Yesterday we reported that Binance had completed the Mainnet swap of VEN to VET and that all holders could log in to see that the token swap had been completed. VeChainThor (VET) holders can generate VTHO which is similar to GAS for NEO, in that it allows transactions to happen on the VeChainThor blockchain. Many Binance users wondered if they would be awarded with VTHO for holding VET tokens.
Many holders flocked straight to the official VeChain wallet since they knew they could start earning right away. Many questions were left lingering on VTHO distribution until now. Binance just announced that it is going to support the distribution of $VTHO to holders of VeChain's $VET.
— Binance (@binance) July 25, 2018
The distributed $VTHO on Binance will be calculated as follows:
Daily VTHO generated by each user = Daily total VTHO generated by Binance * User VTHO holdings ratio1.
However, VET balances under 1 VET (including those in trade orders) will not be included into the daily VTHO calculations. For further details and classification one can refer Page 38 of VeChain Development Plan and Whitepaper.
What this essentially means is VeChain holders don't have to get their funds off the exchange to receive their reward, the $VTHO token, for holding. According to the blog post, VTHO generation is calculated daily but distributed monthly. Distributions will be completed before the 5th of each month. Binance team will start calculating VTHO from 23rd July.
This is similar to how it works for holders of NEO: they receive utility token $GAS on a monthly basis, but based on daily snapshots as well.
If users don’t want to keep their $VET on an exchange and see their $VTHO earnings real time, they can still transfer their $VET to the VeChain Thor Wallet.