Geneve traffic is not properly handled by the velocloud edge.
When the geneve tunnel traffic is sent through the edge as transit, edge is dropping the traffic when it is coming on the WAN Underlay.
Edge will be used as transit for the Geneve traffic.
When the Geneve traffic is coming through the underlay edge will be dropping the Geneve traffic.
Traffic is placed in the following queue and will not process further.
edge:VELH-AU-NSW-EQUINIX(active):~# dispcnt -z -a | grep -i edged-nw.pkttrace.pkt_noqueue
edged-nw.pkttrace.pkt_noqueue = 148328038
edge:VELH-AU-NSW-EQUINIX(active):~#
Engineering confirmed this to be the Defect and working on the fix.
This issue is fixed in the 6.1 version.