VELO can be said to be an old tree bearing new fruits. It was positioned as a blockchain-based cross-border payment and digital credit issuance project as early as 2018.

Today, PayFi and RWA are very popular, and the project value of VELO is being rediscovered by the market.

1. Let's talk about VELO's positioning.

VELO Protocol is transforming its development direction: from a simple payment platform to an important hub connecting traditional financial markets in Asia. @veloprotocol

This project is currently focused on two main tasks: one is to connect traditional finance with blockchain technology, and the other is to help users in different Asian countries use financial services more conveniently.

Currently, the financial systems in various Asian countries are different, and payment methods and rules vary widely, making the complexity very high.

To address this issue, VELO has collaborated with several important partners: CP Group, Lightnet, and the government of Laos.

For example, VELO has launched a digital gold project (PLG) with the support of the Laos government. This shows that VELO is skilled at collaborating with governments to promote the development of blockchain projects.

VELO adopts a model of cooperation between government and enterprises, which differs from other completely decentralized blockchain projects. This approach is more suitable for the market environment in Asia.

VELO places special emphasis on user experience. Its user interface is very similar to Alipay or WeChat Pay, making it easy for Southeast Asian users to get started. Although complex blockchain technology is used behind the scenes, the interface users see is simple and user-friendly.

2. VELO's technical integration capability

VELO's integration of Stellar and Solana's dual-chain architecture is its technological core.

Stellar's low cost and high stability are suitable for cross-border payments and microtransactions, while Solana's high throughput (thousands of transactions per second) and smart contract capabilities support DeFi and RWA scenarios.

This combination of 'low cost + high performance' is superior to a single blockchain project (such as Ripple's proprietary ledger or Algorand's single-chain architecture).

In addition, VELO's Nova chain (EVM compatible) further enhances the scalability of the ecosystem, supporting Universe DEX and decentralized financial applications.

VELO's dual-chain architecture is evolving into a 'layered financial infrastructure,' similar to the layered design of the TCP/IP protocol stack.

Stellar serves as the 'settlement layer' for low-value, high-frequency transactions; Solana acts as the 'computation layer' supporting complex DeFi and RWA applications; and the Nova chain serves as the 'application layer' carrying localized financial services.

This layered design can enhance the modularity and scalability of the ecosystem, attracting more developers to join the VELO ecosystem.

3. Opportunities in the Asian market

Let's start with the payment situation:

Over 400 million people in Southeast Asia do not have bank accounts. However, mobile payments are rapidly gaining popularity, and it is expected that by 2024, 60% of people will be using it.

To serve this market, VELO has launched the Orbit application. Users only need to scan to complete payments and can earn reward points, making it as convenient to use as Alipay.

VELO has also partnered with CP Group to enable users to use this payment system in physical stores in Thailand, Vietnam, and other locations.

The goal of Orbit is to become the 'blockchain version of Alipay' in Southeast Asia. Users can not only use it for payments but also participate in investments (such as purchasing digital gold), helping those without bank accounts to enjoy financial services.

This dual function of being able to pay and invest encourages users to be more willing to use it long-term.

Now, let's look at RWA:

Countries in Asia are open to converting physical assets into digital assets. For example, Singapore is testing this technology, and Hong Kong has also established relevant regulations.

VELO has performed well in this regard, especially with its digital gold project, and is adept at seizing policy opportunities in various countries.

The experience VELO gained from its collaboration with the Laos government can be extended to other developing countries like Cambodia and Myanmar in the future.

VELO's goal is to establish an 'Asian asset trading platform' to convert physical assets like gold, real estate, and bonds into digital forms, making it easier for everyone to conduct cross-border investments.

In summary,

The ceiling for the Asian market is very high, yet it has its complexities.

Through close cooperation with governments and enterprises in Southeast Asia, VELO has established a unique market advantage.

In the future, it is likely to become an important financial service platform in the Asian region.

As the Web3 industry's compliance process progresses, we need to keep an eye on leading players in regional finance.