WePower: Trading green energy on the blockchain
The world needs energy to function. Everyday tasks like switching on the light, turning on the heating, or taking a shower utilizes and consumes energy.
Worldwide consumption of energy is huge, and ever-increasing. In 2014, the world’s primary energy supply amounted to 155,481 terawatt-hour (TWh), for example, while energy consumption stacked up at 109,613 TWh. Supply and consumption differs because of the amount of energy used during refinement processes, transportation, etc. Emerging markets will significantly contribute to the growth of energy demand.
Currently, 76% of the of global energy production comes from nonrenewable energy sources. The majority of communities worldwide rely on fossil fuels for heating, production of electricity, and other basic energy needs. WePower offers an Ethereum blockchain-based, green energy-trading platform.
This piece is a full disclosure, a statement of facts without any intention of advice or endorsement about WePower or its ICO.
WePower: Blockchain provides platform to globalize energy trading
WePower defines itself as a blockchain-based, green energy trading platform that enables its participants to purchase energy (in the form of energy tokens), and also invest and finance renewable energy projects via smart contracts.
Worldwide green energy production currently stands at around 23%-24%. This is rising every year, so it offers a great potential opportunity. WePower’s utilization of blockchain technology enables fast and easy access to capital for developers interested in investing in green energy. The blockchain’s inherent transparency allows for final consumers to access investments made on profitable projects.
WePower connects energy suppliers, consumers, and investors, to develop a mutually beneficial green energy trading platform.
WePower’s ultimate raison d’etre is to fundamentally change the way energy is managed, particularly green, renewable, energy.
The Tokenization of Energy
Energy production is big business indeed. The advent of blockchain technology has not only given rise to the advent and evolution of cryptocurrencies, but it has also enabled the creation and development of revolutionary business concepts.
WePower focuses on green energy, and its blockchain-based platform allows developers of renewable energy projects to sell upfront some of the energy that will be produced in the future.
This energy is tokenized, based on Kilowatt per hour (kWh) units. Thus, one energy token represents 1 kWh of energy that will be produced at a future time point. This tokenization makes the transaction fast, global, and transparent. Each purchase then becomes a smart contract. On the consumer side, possible investors and end users of this energy can purchase these energy tokens at a discount, thus reducing the overall cost of their energy consumption. Investors may even make a profit due to price differences in the market price when the tokens were bought, and when the energy was actually produced.
WePower is also connected with the energy grid and exchange markets, so the company can trade energy if there is not enough demand on its platform.
Four reasons to use WePower
https://youtu.be/2UD87a0MMR0
The WePower platform has four immediate benefits:
Increase of the green energy production volume, and a bigger Return on Equity Ratio (25%), which enables larger re-investment on new projects
Investors will see a Internal Rate of Return of between 17%-20%
Reduction of CO2 pollution with the estimated cost to nature of at least 35 EUR per ton
The use of blockchain technology enables the recording of exactly how much and what type of energy was produced, and the amount of CO2 emissions
The WePower Token (WPR)
Underpinning the whole of WePower’s proposition is the WePower Token (WPR).
This token will accrue green energy, which will be supplied directly from the provider to the token holders, via the WePower platform. The tokens will act as gateways to renewable energy, which can be either used or sold.
The value of the token is expected to grow in line with WePower’s own growth margin.
#PressRelease: "The #WePower #GreenEnergy trading platform raised $3M in a public #presale” https://t.co/sJQQUGBoc1 #Blockchain #Renewables
— WePower (@WePowerN) October 27, 2017
Conclusion
The world runs mostly on energy that is neither clean nor renewable. While solar and wind farms go some way to produce some green energy, the yield is not enough to cater for overall demand.
WePower’s certainly a neat idea and a step in the right direction, and if all the factors come together right, it may very well become the de facto clean energy supplier in the future, via the almighty blockchain.
For more information, consult WePower’s White Paper here.
