A Change Is Gonna Come in Energy Sector
The US Congressional Research Service has released a report entitled “Bitcoin, Blockchain, and the Energy Sector” on August 9, shedding light on the current state of energy consumption pertaining to crypto mining and exploring the possibility of integrating blockchain technology into existing energy systems.
The report delves into, among other things, the possible pros and cons of pursuing blockchain-based solutions for the energy sector.
The report estimated that nearly 1 percent of the country’s electricity generating capacity goes towards mining cryptocurrencies, a rate they observed increasing year over year. Hopefully, the huge strain on the national power grid may not last long. “Some anticipate that energy demands will diminish as the reward incentive shifts from discovering new Bitcoin to earning revenue through transaction fees,” the researchers write.
According to the report, launching a blockchain solution which allows consumers to purchase energy services within a distributed system, in particular, could make for an energy system that is more transparent, efficient and flexible for the consumer. “Traditionally electric utilities are vertically integrated. Blockchain could disrupt this convention by unbundling energy services along a distributed energy system,” the report claims. Such a system would see no shortage of benefits and could increase consumer choice in the energy market. However, there are two sides to every coin, and such a seemingly ideal system also involves some tricky issues concerning distribution control and cybersecurity.
The U.S. Department of Energy has recently awarded a grant of $1.05 million to four organizations working to create a blockchain-based energy transaction platform. Dr. Amin Khodaei at the University of Denver commented: “The growing proliferation of distributed energy resources calls for advanced management frameworks that support peer-to-peer communications while being fast, scalable and secure. Now is the time to develop and demonstrate the technologies that can make a more sustainable and resilient future possible.”
Blockchain tech will figure more and more prominently in our daily lives. And you can enjoy generous returns on your crypto investment in POKKET. For more information, please follow us: