Blockchain Technology: Opportunities For The Energy Sector

Abstract

The blockchain technology, well-known for Bitcoin, can bring major benefits to various economic sectors, including energy. Firstly, by cutting out intermediaries, the adoption of blockchain in energy sector would lead to huge savings, accelerated processes and higher flexibility of the system. Secondly, the direct involvement of participants to the network, as „prosumers” (producers and consumers in the same time), would allow for profitable integration of renewable energy into the grid. Last but not least, blockchain technology could accelerate investments in energy efficiency, thus contributing to alleviate the negative effects of climate change.The large-scale adoption of blockchain technology in energy sector is a scenario hard-to-accept, especially for the big players on this market. Nevertheless, it would be a revolutionary change at the system level and the consumers would have much to gain. Undoubtedly, there are risks and limitations of this scenario, but the biggest obstacles to implement it will probably be those beyond the technological constraints