Tone

Green energy & crypto

April 27th, 2023

How crypto can help improve the global energy situation.
An analysis of the current global energy situation and a look into what can be achieved the future.

tl;dr

  • Despite capital issues and hard decisions, the global energy sector has successfully supplied over 90% of the world’s population with access to power while facing the rising demand for electricity.
  • Fossil fuels like coal, oil, and natural gas have been the primary source of energy for many countries, but they are becoming more expensive because of global events and their negative impact on the environment and climate change.
  • Nuclear energy is still used by many countries, but there are concerns about accidents and waste. Nuclear fusion energy shows promise, but it will probably take years for it to be widely adopted.
  • Fracking is a method of accessing natural gas and oil from the earth, with differing opinions on its environmental impact.
  • Wind and solar energy are becoming more popular because of their environmental benefits. Overall, the benefits of clean energy will be greater in the long run.
  • Cryptocurrency and blockchain technology have the potential to transform the energy industry by enabling secure and transparent transactions, tracking energy usage, promoting renewable energy projects, facilitating secure energy trading, and improving visibility into organizations’ use of renewable sources and emissions reduction.
  • Various crypto and blockchain projects.

Energy Production – A Closer Look

Energy is essential in the modern world, providing power to our residential, commercial, and transportation needs. The global energy sector is facing capital issues and a big dilemma.
Different countries and continents use different energy sources and technologies based on the resources available to them, such as sun, wind, water, oil, gas, etc.

Over 90% of the world’s population has now accessed to the power grid, which is certainly good news.
A booming growth of the population is increasing the demand for electricity.

Can crypto improve the situation?
Let’s have a look into the energy sector first.
What resources and technologies are used to generate energy?

Fossil fuels

Notably coal, oil, and natural gas, have been the primary source of energy for many years.
Many nations, especially in Asia and North America, still rely on them as the major source of energy.
Burning resources produce steam, which drives the turbines that generate electricity. Fossil fuels used to be cheap and reliable source of energy. This has changed in the last years because of wars, COVID-19 and other black swan events. They have a devastating effect on the environment and add to climate change.

Nuclear energy

It involves splitting the nuclei of atoms to release energy.
It continues to play a significant role in the energy supply in many countries, especially in Asia and Europe. Nuclear reactors of nuclear power plants heat hot water, which converts into steam to turn turbines and produce electricity. The potential for nuclear accidents and radioactive waste disposal is a major risk. Despite these worries, many countries keep depending on nuclear energy to fulfill their energy requirements.
Innovation, like Nuclear fusion energy, is being further developed.
Scientists recently made a technological breakthrough, but unfortunately they cannot adopt it on a large scale until 2050. More information about this topic can be found at this BBC article.

Fracking

The term hydraulic fracturing, or fracking, describes the method of obtaining natural gas and oil from beneath the earth’s crust.
To execute this process, a vertical well is drilled into the ground and then it is shifted to a horizontal position to follow a layer of shale or other rock potentially containing oil or natural gas.
The well is pressurized with a mixture of water, sand, and chemicals once it has been drilled. The rock is split apart, called “fracking”. This creates small channels through which the natural gas or oil can flow to the well.

The process of fracking has been many heated debates because it’s effect on the environment. Critics state the process can sully groundwater, emit noxious chemicals into the air, and be a factor in climate change. Backers of fracking believe it is a secure and successful way to access domestic sources of energy and reduce reliance on foreign oil.

Honestly, do you posit there will be no consequences if you inject an extensive amount of chemicals into the epicenter of our planet?
If you’re looking for the source of the picture along with additional details, click here.

Renewable sources

Green energy is a sustainable and earth-friendly solution.
Renewable sources of energy, like solar, wind, hydro, geothermal, and biomass, are becoming increasingly popular. Europe and North America are leading the way in the adoption of renewable energy sources. Countries such as Denmark, Germany, and the United States investing heavily in wind and solar power. Renewable energy is self-replenishing.

But there are some disadvantages: Renewable energy is more expensive and requires more land than traditional energy sources. Energy storage technology is still developing and cost-prohibitive, making it difficult to adopt renewable energy widely.

How can Crypto help to improve the situation?

Cryptocurrency has the potential to revolutionize the energy sector by improving transparency, efficiency, and sustainability. It can solve energy sector issues because blockchain technology allows for secure transactions without intermediaries.
Here are some potential use cases:

  • By using blockchain technology, it is possible to create a system of tracking energy production, distribution, and consumption in real-time, leading to a reduction of waste and the prevention of fraudulent activities.
  • Cryptocurrency can reward energy conservation by rewarding those who use it responsibly.
    Innovative systems can get users crypto tokens for using green energy and cutting their energy use, with a benefit for the environment and their pocket.
  • Energy producers and consumers can now securely and transparently trade with each other.
    This is a significant advantage for those who produce energy from renewable sources like solar and wind, as it gives them the ability to sell any extra power to the grid or to others.
  • Crypto can fund renewable energy projects through Initial Coin Offerings.
    ICOs involve the purchase of cryptocurrency tokens, providing an alternative source of funding for renewable energy projects which often cannot get the funds because of high initial costs.
  • DLT (distributed ledger technology) could offer enhanced visibility into how organizations are taking advantage of renewable sources while curtailing their emissions.
  • Through the use of digital networks, digital identities are created and data is exchanged in a secure and efficient manner between the various participants in the market.

Green crypto projects

Let’s look at some crypto projects that exist in the green energy space.
But before that, this is not financial advice and all content here is for educational purposes only.
Do your own research!

Energie Web

Energy Web is a non-profit from Switzerland set up to help the world transition faster to renewable energy sources with the use of open-source Web3 technologies. Companies can use these to unlock the value of green and distributed energy sources. It has already partnered with EON, Hitachi, Shell, Volkswagen, Vodafone and many more.
Founded in 2017, it’s a decentralized platform using blockchain technology to create a secure and transparent ecosystem.
It helps to incorporate renewable energy sources into the pre-existing grid with the help of smart contracts and offers tools to construct tailor-made energy applications. One key goal of this project is to reduce carbon emissions.

@energywebx

Powerledger

PowerLedger’s blockchain technology, combined with the use of the $POWR token, makes the renewable energy system more efficient and sustainable.
The company is a pioneer in energy blockchain technology, was founded in 2016 in Perth, Australia.
They have created several platforms, like xGrid & uGrid, with three distinct parts devoted to trading energy, flexibility, and environmental commodities.
Powerledger has partnered with over 30 customers in 12 countries such as Australia, the USA, Japan, and more.
They use twin blockchains – EcoChain Blockchain and POWR tokens.
They are moving its Energy Blockchain to a Solana-based blockchain to handle higher transaction rates and larger projects, while still keeping its ERC20 POWR tokens on the Ethereum public chain.
The POWR token is an ERC-20 token that acts as a licence required for the company’s businesses.
By staking POWR, users can help secure the blockchain and earn rewards while participating in renewable energy transactions.
PowerLedger is looking to broaden its platform to new sectors and markets, while incorporating innovative technologies like AI and IoT to build up its capabilities.
PowerLedger’s remarkable achievements, and their ambitious plans for the future, make it a company to monitor.

More to discover on @PowerLedger_io

 

Here is a list of links with more green energy related crypto projects:

https://c-charge.io/en

https://hedera.com/use-cases/sustainability

https://www.docklab.nl/

IMPT. IO

Useful articles and blogs

https://cointelegraph.com/news/can-blockchain-help-combat-climate-change

There are still many challenges to overcome, such as regulatory and technical issues.
As we continue to explore innovative solutions to the complex issues in the energy sector, cryptocurrency will undoubtedly play an important role.

Here’re my four related Twitter threads:

 

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