Blockchain is a technology that has expanded its use cases across different industry segments. Blockchain technology evolved from being an underlying technology for Bitcoin exchange to becoming a mainstream technology for aiding the exchange of data or information exchange in healthcare, medical, education, finance, and other segments. One of the prominent use cases of Blockchain is in the field of energy. Blockchain has a tryst with transformation and growth, and it dissipates the same in the segment where it is used. This has also impacted the energy sector, and now you can find many companies using the Blockchain platform. In this blog, we will decipher how this is happening.
Blockchain and its use in the energy sector:
The joint report by the World Economic Forum, Stanford Woods Institute for the Environment, and PwC shows that there are more than 65 existing and emerging Blockchain use-cases for the environment. These use cases include business models for energy markets, real-time data management, moving carbon credits, or renewable energy certificates onto the blockchain.
DLT technology can enhance the efficacy of the utility providers by tracking the chain of custody for going materials. Besides this, there are other use cases in the energy sector which we are going to assess ahead:
- Peer-to-peer energy trading– One of Blockchain’s first use cases is in peer-to-peer energy trading. As per Blockchain In Energy report by Wood Makenzie, around 59% of the Blockchain energy projects build peer-to-peer energy markets. This is a shared network where individuals can participate in buying and trading excess energy. This type of market benefits the individuals because of the lack of interference or control from central authorities.
- Wholesale electricity distribution– Energy sector companies, are now focussing on connecting the end-user with the grid. With the assistance of IoT devices, this can be easily achieved. Grid+ is one such example of a Blockchain energy company that uses Blockchain technology to distribute electricity to the end-user. The end-user can make use of Ethereum to purchase energy from the grid at the cost they desire, thus creating a more stable energy market with lower electricity costs.
- Management of data-One of Blockchain’s key features is that it gives the user more control. Under the conventional system, the data can be misinterpreted or omitted. With Blockchain’s help, you are assured that there is going to be no manipulation of data, and the transparency is maintained in the system. Moreover, the threat to hack data or information gets eliminated with the use of the Blockchain platform.
Conclusion- The use cases of Blockchain in the energy segment is going to increase with time. Blockchain ensures transparency, data security, and easier access.
Thus, companies are now hiring Blockchain experts and professionals who can help in leveraging this technology in the energy segment. If you wish to make a career in this field, this is the right time to enroll for the Blockchain certification program with Blockchain Council.