Hailing as one of the leading producers of electronics products, Mitsubishi Electric has announced its collaborative blockchain project with the Tokyo Institute of Technology (Tokyo Tech), a research university in Japan working on science and technology. The teams partnered to design a revolutionary blockchain project that was focused on enhancing P2P energy trading. The new project will play a significant role in managing energy supplies through effective technology and judicious use.
According to the report, the Mitsubishi team has worked on the design of the energy trading project along with the management of the clearing functions thereon. The handling of blockchain-related R&D and the designing of the clearing algorithm was executed by Tokyo Tech. The firms have used their joint expertise to benefit the energy business with blockchain infusion.
The blockchain channel will help to allocate the surplus electricity extracted from renewable resources rightly. It will manifest a trading ecosystem that will promote shared trading between various environments to boost the surplus electricity in the sphere. Starting in April 2021, the firm will evaluate the P2P energy trading cluster’s performance to improve the newly designed channel to get the best results.
The 4-Step Process
- The information about trading orders with a common objective is shared by servers in a pre-defined time.
- Each server computer looks for buying and selling orders matched to the common goal ascertained earlier.
- The servers then share the search results.
- The server users receive the search results and a new block is created by choosing trades that match the collective goal, which is further added to each blockchain.
- To ensure fairness, the decentralized search happens parallelly on multiple systems where equal matches are chosen randomly.
The P2P energy trading system and the distributed optimization algorithm designed by Mitsubishi and Tokyo Tech allows users to accomplish shared trading objectives and data. The mining is easily accessible on a micro-computer server, which would enable users to execute transactions in limited computations. It helps customers to be involved in direct trading transactions as buyers and sellers. If a customer manages to find the right match, they can trade above the offer prices or below the bidding price. The trading goal shared among the users can be altered depending upon the specific needs of the involved computers.