European Energy Firms Trial Blockchain Trading Marketplace

European energy providers Enel and E.On tested a new blockchain-based trading platform earlier this month.

AccessTimeIconOct 26, 2017 at 2:00 p.m. UTC
Updated Sep 13, 2021 at 7:05 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Two European energy providers tested a new blockchain-based trading platform earlier this month.

Italian gas and electricity firm Enel and Germany-based E.On conducted the trial using technology developed by IT firm Ponton, according to statements.

Like other trials of its kind that have taken place in recent months, the energy firms explored how peer-to-peer trading can facilitate direct sales of power. The idea is the technology could help reduce the costs associated with power distribution intermediaries and provide more transparency to the process.

The test initiative formed part of the "Enerchain" initiative, a broader attempt baked by 30 European utility providers. Some of the earlier work was made public in May, according to a Bloomberg report at the time.

In statements, representatives from the firms involved with the latest trial struck an optimistic tone about the prospects for the tech in the energy space.

"The Enerchain initiative is a good example of open, cross-industry collaboration. We all believe in the enormous potential that blockchain technology has for the new energy world and especially for our customers,” Matthew Timms, E.On's Chief Digital Officer said in a press release.

As previously reported by CoinDesk, blockchain potential use cases for the energy sector include peer-to-peer (P2P) trading networks, customer billing, and renewable energy certificates.

Further, European energy giants are not the only companies looking to blockchain to facilitate decentralization.

Japan's Tokyo Electric Power Company (TEPCO), for example, has been moving to explore applications of the tech. As its venture capital director, Jeffrey Char, told CoinDesk, the firm is looking at how it could shift the country's centralized nuclear power system to a more decentralized model.

Image via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.