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 (By similarity). The velvet complex acts as a global regulator for secondary metabolite gene expression (By similarity). Controls the expression of the T-toxin gene cluster (PubMed:22383877). Promotes oxidative stress tolerance and acts as a virulence factors during infection (PubMed:22383877). Negatively regulate mycelial pigmentation and controls sexual development, as well as asexual development during vegetative growth (PubMed:22383877). Component of the heterotrimeric velvet complex composed of LAE1, VEL1 and VEL2; VEL1 acting as a bridging protein between LAE1 and VEL2 (By similarity). Enriched in the nucleus in the dark (By similarity). 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). Leads to hypersensitivity to oxidative stress, compromised reproductive development, repression of asexual sporulation, and reduction of virulence during maize infection (PubMed:22383877). Belongs to the velvet family. VeA subfamily.