What is Veloce? All You Need to Know About VEXT

7 min readDec 27, 2023

What is Veloce?

The Veloce project is a decentralized platform built on Polygon. It aims to use blockchain technology to create a platform that allows fans to interact and engage with their favorite sports team or athlete within the racing and gaming space.

The platform is built to be user-focused and controlled which gives the Veloce users full power to avoid being controlled by a single entity. It also incorporates gamified elements that encourage user participation and engagement. This usually includes challenges, leaderboards, and tokenized rewards.

This article will dive into the workings of the Veloce platform, its uses, and how active participants in sports and blockchain technology can access and enjoy using the platform.

History of the Veloce project

The Veloce project was started in 2017 as a disruptor within the motorsports industry before it expanded into other sporting spaces and events.

The Veloce project raised a total of 12.5 million pounds since its inception in 2017 through traditional financing, with a more recent 60 million pre-money valuation in 2021.

The eSports aspect of the Veloce project owns and operates teams on behalf of Ferrari, Mercedes AMG Petronas, and McLaren. In addition, it operates Yas Heat on behalf of the Abu Dhabi Government, seeking to gather the best talent available and inspire future regional and UAE-based champions.

By 2023, the Veloce project was made up of 42 core staff working within the headquarters in Fulham, London, to make the Veloce project the foremost decentralized sports and media platform.

The Veloce Team

Image Source: Veloce Website

The Veloce executive team comprises Rupert Svendsen, the CEO and co-founder of the Veloce Group. He started as a self-managed international motorsport driver who transitioned into the business aspect of the industry after a career as one of the world’s fastest young racing prospects. He helped set up the value proposition, vision, and legal structure of the Veloce Group.

The next member is Jack Clarke, the co-founder and Chief innovation officer of the Veloce Group. He was a Formula 2 career driver who pivoted to sports tech funding, which led to him managing both the esports infrastructure for the Abu Dhabi government, as well as the Veloce media network. In his capacity as chief innovator, Jack developed the concepts and utility for the Vextverse dApp.

The next co-founder and Chief commercial officer for the group, Daniel Bailey, is a graduate of Bristol University. He assisted in building IMG’s motorsport department, then went on to develop the commercial and corporate infrastructure of the Veloce business. With a 250% growth attributed directly to him, Daniel is attributed with one of the most successful partnership teams in the history of the Extreme E series.

The final cofounder and Chief Sport Officer for the Veloce group is Jamie MacLaurin. Jamie started his career as a successful sporting agent representing top international athletes before going on to build a professional gamer stable in Veloce. The gaming stable allows him to manage and develop 10 teams of successful gamers from concept to execution.

How Does Veloce Work? Self-custody, Penrose Voting Method, and Gaming

Image Source: VMG Website

Self-custody

The main idea behind Blockchain technology and the Veloce infrastructure is decentralization and self-custody.

With the amount of theft, fraud, hack risks, and creative accounting that abound in traditional systems and centralized crypto projects, the move towards self-custody allows the users to take control of their assets, while monitoring the movement of financial transactions through the distributed ledger integrations.

The same level of transparency is integrated into the Vextverse section of the Veloce project from the idealization stage, ensuring that users are fully informed to make decisions.

Penrose voting method.

The Penrose voting method assigns the voting weight of each group proportional to the square root of the population of that group. This is based on a mathematical result by Lionel Penrose, who concluded that the decision-making power of an individual in a group is inversely proportional to the square root of the size of the group.

This means that the larger the group, the more indecisive a person is as a member of the group. As such, utilizing the square root method balances the power rift between bigger groups and smaller groups, reducing the disadvantage experienced by the minority.

This is also used by the Veloce Vextverse which aims to mitigate excessive voting capacities, thereby allocating each voter’s vote weight proportionally to the square root of their VEXT holding.

This would help protect shareholders regardless of their majority or minority.

Gaming

The Veloce project is a leading digital racing and media network that comprises Veloce Esports, a gaming and racing platform. This form of entertainment allows users to join games, either online or offline, using various devices and platforms.

Veloce is planning to integrate more Web3 games, DeFi protocols, and real-world racing partnerships into its network to create a more immersive and interactive experience for the Veloce community. Veloce also aims to become the first truly decentralized global sporting group with a community that has a say in the growth and direction of the project.

Features of The Veloce Ecosystem: Vextverse and Race Clubs

Vextverse

The Vextverse is a virtual reality world that Veloce is creating to allow motorsport fans and enthusiasts to engage better with teams. The project features immersive and interactive experiences for fans to connect, participate in gamified activities and races, and interact with their favourite athletes.

Vextverse incorporates play-to-earn gaming elements, allowing fans to earn VEXT tokens by playing games, completing challenges, and contributing to the community. Fans can explore virtual racing circuits and events, participate in esports competitions, participate in interactive, exclusive experiences, virtual meet-and-greets with athletes, behind-the-scenes access to racing events, and unique virtual merchandise.

The Vextverse also integrates an AI algorithm that uses the users’ preferences and activities to personalize their content, recommendations, and interactions

Race Clubs

Image Source: VMG Website

The Race Clubs are destinations for users of the Veloce platform to earn rewards and perks by participating in races. The clubs comprise three levels and each level is determined by the amount of tokens held by the user. The levels are silver, gold, and platinum.

The Silver Race Club is the starting point for not more than 2,000 beginners looking to improve their skills competitively. To participate, the user needs to hold 200 VEXT and above.

The gold race club is more exclusive with a space limit of 2,000 participants. The users here are more experienced and they need to hold 1k VEXT and above to participate in this level.

The platinum race club is the most exclusive and reserved for the most elite racers of the ecosystem. The available space is half of the two above (1,000) and the entry requirement is 5k VEXT tokens.

Each race club offers a 3-month Sprint Race and a 6-month GP, and its participants are set to receive rewards during the duration of the events.

What is the VEXT Token?

Image Source: VMG Website

The VEXT token is the backbone of activities and transactions in the Veloce project. It is not intended to be a speculative token, instead, its market value is determined by the utility and popularity of Veloce, the Vextverse, and their constituent brands, games, teams, and products.

The total supply of VEXT tokens is 300 million, with 46.2 million currently in circulation. The tokens are forecasted to be locked up with two ways of getting into circulation. The first is through staking rewards and the second is via allocations by the treasury through new games, exchanges, and other dApps.

Risk Analysis

Advantages

The Veloce media and sports project has a couple of advantages like decentralized governance, enhanced fan engagement, exclusive access and experiences, seamless integration of VEXT token utility, community engagement tools, data analytics, real-time data streaming, transparency, and security.

It uses a combination of blockchain technology, AI, and cloud computing to provide these utilities for its users.

Disadvantages

One of the major disadvantages is the complexities of the blockchain technology. Sports fans could find it difficult to navigate the platform and utilize it fully as the knowledge of decentralized governance and tokenized utility is not a part of daily sporting events.

Another downside is the heavy reliance on technology. The platform’s functionality and user experience are heavily dependent on the underlying technology and infrastructure. So any technical disruptions could negatively impact fan engagement. Since the platform depends on community participation, a negative impact on fan engagement could hamper the overall success of the project.

Challenges

The Veloce project is in its early stages, thus, the rate of adoption for its platform and its VEXT token is limited.

It is also a recent addition to the sporting ecosystem, which would make navigating and integrating into the current sporting ecosystem difficult. With limited integration and partnership opportunities, the Veloce project could find it difficult to integrate with established teams and leagues.

Competitive Product Analysis

Although there are multiple competitors like SportX, Animoca Brands, and Sorare, the closest competitor is Bitsports, a blockchain-based platform that aims to revolutionize the sports industry by connecting fans, athletes, and teams through a decentralized, tokenized ecosystem.

Bitsports has an established token marketplace for fans, an NFT platform, and real-time sports data streaming features. But unlike Veloce, the project puts less emphasis on fan ownership and governance.

Veloce on the other hand focuses on giving users a personalized experience while enhancing security, transparency, and governance.