Blockchain Could Change Everything for Energy

Published onFebruary 22, 2018

Scientists have observed that the electricity sector contributes to 35 percent of the carbon emissions in the U.S. every year. And as climate news piles up, there is a growing movement among ordinary people to do something. But historically, we’ve had a pretty one-sided relationship with energy. Our homes use energy from the grid, we pay our bill, and the cycle continues. Today, those who have rooftop solar have a slightly more reciprocal energy relationship. Excess energy produced by solar panels is sold back to the utility. Yet even this two-sided relationship is pretty dated and inefficient.

Enter: blockchain. With the application of blockchain, the energy our homes use may soon be much cleaner. And, we may soon have more control over how our homes consume energy to begin with. Blockchain is a decentralized ledger technology. When applied to the energy sector, it will enable people to trade energy among themselves. Just as Venmo allows the exchange of money with its peer to peer platform, blockchain will enable a fundamental shift in the distribution of energy.