Don't blockchains use lots of energy?
Some blockchain designs (like Bitcoin's) use a great deal of energy. We designed Omega Grid to be energy efficient.
Proof of Work algorithms are the reason that many blockchains use so much electricity. Omega Grid is built on an energy efficient Proof of Authority model. We also interface with public blockchain Proof of Stake networks that similarly use much less energy than Proof of Work blockchains.
I heard that blockchains are very slow, how can this work for my grid?
Omega Grid is designed to store information quickly.
Running an energy market requires many participants to share data over relatively short timeframes. Writing data to the Omega Grid blockchain is fast, we are targeting 5-min blocks in the field. Our technical proof of concept stored data in 1-min intervals. Our public blockchain interface has reliable settlements times under 5 seconds.
Do you understand that electricity is more than a financial transaction, it is a system complete with infrastructure and limitations?
Omega Grid takes the infrastructure constraints into account to help safely deliver electricity across the grid.
We take a cue from the existing wholesale transmission markets to calculate a distribution level congestion fees. Think of it as surge pricing that encourages the efficient placement and operation of generation on the grid.
If Omega Grid is fast, energy efficient, and understands grid infrastructure; is your technology even considered a blockchain?
Yes, a blockchain is a growing list of records, called blocks, which are linked using cryptography. [Wikipedia]
When we started Omega Grid, we recognized that most blockchains were largely not appropriate to help manage the electric grid. We built a lightweight blockchain technology suitable for operating in a cybersecure environment on utility infrastructure.
If you use Proof of Authority, then are you still relying on a central point of failure?
No. We can still perform calculations and conduct transactions independent of a central authority.
For safety and security, the initial setup requires your meter is registered with whoever is responsible for the local grid. After set up, we can still conduct fast, decentralized and secure transactions. The meter will receive pricing and reference our basis for any peer-to-peer agreements.
