Component of the velvet transcription factor complex that controls sexual/asexual developmental ratio in response to light, promoting sexual development in the darkness while stimulating asexual sporulation under illumination (PubMed:20572938). The velvet complex hat acts as a global regulator for secondary metabolite gene expression (PubMed:20572938). Controls positively the expression of the gibberellins, fumonisins and fusarin C gene clusters (PubMed:20572938). Controls the expression of the fusaric acid gene cluster (PubMed:24389666). Controls negatively the expression of the bikaverin gene cluster (PubMed:20572938). Regulates the expression of laeA (PubMed:20572938). Plays a crucial role in virulence (PubMed:20572938). Component of the heterotrimeric velvet complex composed of LAE1, VEL1 and VEL2; VEL1 acting as a bridging protein between LAE1 and VEL2 (By similarity). Interacts with LAE1 (PubMed:20572938). Enriched in the nucleus in the dark (By similarity). Expression is repressed in media containing high amounts of nitrogen (PubMed:20572938). The C-terminal PEST domain is a region rich in proline, glutamic acid, serine and threonine residues that is required for the light-dependent regulation of development and secondary metabolism (By similarity). Impairs the production of gibberellins, fumonisins and fusarin C (PubMed:20572938). Reduces both the fusaric acid gene cluster expression and production of fusaric acid (PubMed:24389666). Affects conidiation associated with stunted aerial hyphae (PubMed:20572938). Belongs to the velvet family. VeA subfamily.