Blockchain Startup LO3 Partners With Power Exchange

Linking local microgrids to wholesale markets will enable consumers to buy and sell surplus energy from neighbors or faraway strangers, the firms say.

AccessTimeIconDec 13, 2017 at 7:00 a.m. UTC
Updated Sep 13, 2021 at 7:16 a.m. UTC

Blockchain startup LO3 Energy has scored a partnership with the European Power Exchange, known as EPEX SPOT, to link local electric microgrids to broader wholesale markets.

The two organizations said Tuesday that they signed a memorandum of understanding committing themselves to finding ways to connect local energy markets to larger power networks using a blockchain-based platform.

EPEX SPOT is a power trading company based in France and covering Germany, the U.K., the Netherlands, Belgium, Austria, Switzerland and Luxembourg. It allows users in each country to buy or sell excess power to each other.

The company's chairman, Jean-Francois Conil-Lacoste, said in a press release that the energy business faces challenges of "unprecedented dimension."

He continued:

“Innovative digital solutions are needed to further serve the market in this industry revolution and to drive forward the energy transition.”

LO3 will deploy its technology on community microgrids, such as the one it helped developed in its headquarters city of Brooklyn, N.Y., while EPEX SPOT will leverage its international power trading infrastructure to create a broader source of availability.

Essentially, consumers will be able to buy and sell surplus energy from neighbors or faraway strangers. LO3 has already been working on this, developing a platform called Exergy to facilitate local trades.

Among other trades, the partnership aims to help solar panel owners sell their excess energy back to the grid to be stored in batteries operated by the two groups, while consumers can purchase this excess energy during times of need.

LO3 CEO and founder Lawrence Orsini said the partnership "will represent one of the most disruptive applications of technologies in the power markets."

Power grid image via Shutterstock


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

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

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 to register and buy your pass now.