China’s Fudan University Creates Decentralized Exchange For Unused Power
Chinese University Develops Exchange For Unused Power
Most exchanges are basically for cryptocurrency trading, but a team of researchers, from one of the top university in China, have developed an Exchange, where users can trade their unused power.
Researchers from Fudan University in China filed a patent application in January and revealed on Friday, setting out the workings of a blockchain based electricity exchange that assigns power to sellers and buyers nodes on the network, which allows them to securely trade electricity without the intervention of a third party or intermediary.
The nodes have the transmit request for sales or purchases over the network, after which smart contracts will connect matching requests based on relevant data, such as price and volume. A mechanism that is closely rated to the system used is a decentralized cryptocurrency exchange.
The response from an expert is that it is a direct reaction to the growing supply of renewable energy in China, most especially the sun power (solar) generated by households.
The esteemed researchers said,
“Household then have no other choice, but to let the unused solar power go to waste because they don't have a direct way of exchanging electricity.”
They continued by explaining that a digital currency would be used during transactions between buyers and sellers of the electricity on the decentralized network.
The digital currency that will be used is still a subject to discuss. Nevertheless, the researchers reiterated that they have been able to build the system on two blockchains.
The document released by the Fushan team read,
“This idea can be achieved, in either or public or private or a consortium blockchain. But in this case, the system has been developed on IBM Hyperledger platform, as well as the Ethereum blockchain, to make electricity tradeable and shearable within a community.”
The Universities in China are growing way ahead of others in Asia and even some part of Europe and America, on the usage of blockchain technology.
Several weeks back, the top players in the science and technology field met in China, with different professors tutoring the rest of the participants on the relevance of blockchain technology and how it can be used to better the lives of people, aid transactions of businesses, and also ease ways of conducting business.
This research is the first of its kind in China. It is surely going to open a floodlight of opportunities for other developers and can only get better from here. With this development, households in China will be able to trade their unused electricity.