No, Velveeta is a solid processed cheese mixture made from milk, canola oil, whey and milk protein concentrate, sodium phosphate and citrate, modified food starch, maltodextrin, calcium phosphate, sodium alginate, enzymes, coloring, and cheese culture. When melted, these ingredients create a very smooth, thick, and almost plastic consistency. Nacho cheese can use Velveeta as the base, plus hot peppers for a spicy taste.