Blockchain technology is being increasingly used in the energy sector with peer-to-peer energy marketplaces being one of the most popular applications. According to research by Wood Mackenzie, 59% of blockchain energy projects are focused on building these marketplaces.
A peer-to-peer energy market allows individuals to trade and buy excess energy from other participants on a shared network. This helps to reduce control from central authorities, such as wholesale entities, and benefits the masses by providing them with more control over their energy usage.
As the cost of renewable energy continues to decrease, more people are able to produce their own energy and participate in these marketplaces. Australian-based company Power Ledger has already connected communities together to create “microgrids”, which are a group of interconnected loads and distributed energy resources.
As blockchain technology continues to advance and more energy companies adopt this technology, we can expect to see more peer-to-peer energy marketplaces being developed, leading to a more decentralized and sustainable energy system.
