Past ICO Review: Power Ledger

power ledger ico review

The growth of this new tech has effectively caused a shift in the electricity industry, with power no longer monopolized by central authorities but increasingly in the hands of consumers. To complete this shift and send the solar revolution mainstream, Power Ledger offers a trustless trading platform where consumers can sell energy to their peers. Power Ledger is an energy trading platform that allows buyers and sellers to trade energy directly with one another and without the need to go through a power company. Creation of Sparkz tokens is virtually unlimited, as they are created whenever they are needed, put to use and destroyed after they are redeemed. In addition to the local fiat, their prices are also linked with the energy costs in a particular area which is supposed to help them maintain a stable exchange rate.

power ledger ico review

In essence, this event is about selling the market access at a discount, based on the assumption that the value of the market will grow in the future. Similar to shares in companies, where you participate in the growing value of the company and its profits, POWR tokens let you participate in the growing value of the whole global market that is being created. Power Ledger is a system that works globally, using a single, global POWR token and a public Ethereum blockchain. Any number of local electricity trading markets can be created in different jurisdictions, but they are all part of the same ecosystem. Power Ledger is an Australian company with plans to transform the global energy industry.

It allows the energy producers which generate excess power to sell their energy to the potential customers. The trading is done on a regulated electricity grid, with the platform’s blockchain mechanism being in charge of managing transaction settlements in an instant, transparent and low-cost manner. With xGrid, the energy producers have an opportunity to extract more value from their investments in renewable energy, while the customers should be offered the benefit of paying lower power bills. Smart Bonds function as automated contract bonds which use smart contract technology.

Power Ledger token holders are empowered to sell their surplus renewable energy through Power Ledger’s blockchain based platform. It’s possible to transmit this privately generated energy through the existing electricity distribution networks, or through micro-grids created on the Power Ledger platform. The Power Ledger Token is the fuel of the Power Ledger Ecosystem with bespoke private trading applications creating Sparkz in exchange for POWRs. Sparkz are currently purchased and redeemed using fiat currencies with individual trading platforms hosting closed-loop exchanges for energy and Sparkz.

Token System

The program is funded by charging fees for P2P transactions taking place on the platform. Power Ledger Tokens allow application hosts and participants access to use the platform. If an application host does not have a sufficient number of POWR, it will not be able to access the platform. In the system, POWR is traded and put into escrow via an Ethereum Smart Bond exchange for Sparkz.

In the white paper, the company revealed an ERC-20 Ethereum-based token called POWR, which would be implemented into the Power Ledger platform, and Sparkz, on their own Consortium Ethereum Network. The company maintained that demand for POWR tokens would increase as the platform user-base grows, thereby changing the price of the token and allowing for the exchange of POWR tokens for Sparkz tokens. In 2016, they launched the first peer-to-peer energy trading platform in Australia. The platform works by allowing individual markets to exchange fiat currencies for Sparkz, which can be used to exchange for POWR tokens.

Power Ledger is a blockchain-based peer-to-peer energy trading platform enabling consumers and businesses to share excess solar power with their neighbours. According to the Power Ledger white paper, the tokens are designed to be used to access the trading platform the startup is developing. They serve as a kind of common currency between participants, acting as fuel for the smart contracts that govern the system but also as an incentive for people that buy power through it.

What is Power Ledger?

The transactive layer of the platform establishes communication with the power grid via devices called smart meters. These are electronic systems which keep track of the level of electricity consumption and send the information to energy producers so that they can issue bills based on these data.

Power Ledger is a dual-chain, dual-layer platform that enables a decentralized, peer-to-peer energy-trading marketplace. It uses two coins to create smart contracts to let anyone sell their excess electricity either on- or off-grid. On 17 November 2017 the company announced in a press release that the Australian government had awarded $2.57 million AUD in grants for a two-year research project to take place in the City of Fremantle. The project is expected to be Power Ledger’s first examination of the potential of blockchain technology in integrating distributed energy and water systems. Seven additional project partners contributed a combined value of $5.68 million for the project for a total funding of $8 million.

They feature a built-in code which enforces compliance among the contractual bond parties. They are used to provide loyalty rewards to the participants in the network. All producers of energy and consumers which purchase renewable energy receive POWR tokens for using the Power Ledger platform as part of the Green Energy Loyalty Rewards program.

  • Power Ledger (POWR) is a 2016 founded Australian blockchain-based cryptocurrency and energy trading platform that allows for decentralized selling and buying of renewable energy.
  • The market is based on a dual-token ecosystem operating on two blockchain layers, POWR and Sparkz.

Power Ledger

The project was the second largest recipient of the 2017 Smart Cities and Suburbs Program award, a $50 million grant from the Australian government supporting innovative smart city projects. Other recent developments include an agreement with Thailand’s largest renewable energy developer BCPG to bring the Power Ledger technology to Thailand. They are also trialing a peer-to-peer solar energy trading marketplace in Malaysia.

The Australian-based project aims to facilitate peer-to-peer trading through an automated and trustless reconciliation and settlement system. In practice, this means that Power Ledger’s blockchain will provide the platform and the interface for energy trading taking place within microgrids. is a dual-layer blockchain-based, peer-to-peer energy platform that lets users buy and sell electricity. The Australian platform uses dual-chain architecture, with one layer residing on Ethereum and using POWR ERC-20 tokens and the other using the Ecochain platform and using Sparkz. Each is exchanged through an Ethereum smart contract that tracks energy generation and payments.

In the case of this project, this risk is lessened by the idea that a great many of the POWR token holders will be directly invested in the economy, in that a quick exit on speculation is not ideal for them. This will also increase the long-term demand for the tokens to be taken back off the market, making it easier to sell at higher prices. Like many ICO tokens, POWR tokens will have a utility and they will be the only way to achieve it. Therefore holding a bag of them when others go in search of them is not the worst position to be in.

The ties between Sparkz and local currencies are supposed to bring additional stability to the energy trading ecosystems which use Power Ledger. POWR tokens can be converted into Sparkz tokens, which are, in turn, made redeemable through fiat currencies used in the energy trading markets or on other similar platforms. The Power Ledger’s ecosystem operates based on the interactions between its layers and two tokens. This is made possible with the use of Ethereum-based smart contracts.

The initial coin offering for POWR tokens became the largest crowd funding project in Australia and the 14th highest in the world. Plans for a blockchain energy trading platform based in Perth, Australia were publicly announced on 11 August 2016 by chair Jemma Green and managing director Dave Martin. On 24 August the company announced that it would utilize Ecochain technology to store energy readings. Power Ledger’s white paper was officially released in a company press release on 27 July 2017.

Built on blockchain technology, this peer-to-peer energy trading platform allows users to buy and sell renewable energy directly with one another. The POWR tokens are kept in an Ethereum smart bond contract that was designed specifically for Sparkz. These Sparkz are the internal currency used for the Power Ledger platform and are the medium of exchange for buying and selling energy on Power Ledger. It seeks to empower communities to create and develop power systems that are resilient, low-cost, zero-carbon and community owned.

POWR tokens are the base unit of the ecosystem, whereas Sparkz are earned and sold in practice by the energy producers and buyers. Earlier this year, they were able to get banks on board for this purpose. Also earlier this year, they were able to strike a deal with a large retailer in New Zealand to demonstrate the abilities of the Power Ledger platform.

Since their first successful experiments, they’ve only increased the number of other companies interested in leveraging some aspect of the Power Ledger platform. The Token Generation Event is about selling crypto tokens called POWR. They are needed to access the market and access available services, mainly electricity trading.

Power Ledger (POWR) is a 2016 founded Australian blockchain-based cryptocurrency and energy trading platform that allows for decentralized selling and buying of renewable energy. The platform provides consumers with access to a variety of energy markets around the globe and is meant to be scalable to various energy infrastructures and regulations. The market is based on a dual-token ecosystem operating on two blockchain layers, POWR and Sparkz. POWR tokens allow consumers and hosts providing energy to interface with the ecosystem and are protected through Smart Bond technology. POWR tokens can be converted into Sparkz tokens, which can be used for frictionless transactions in the energy exchange market.

Access and permissions on the Power Ledger platform are controlled by POWR tokens. They can be used for trading on the platform, but they also have real world uses.

In short, POWR tokens are a proof-of-stake staking coins, and rather than generating more POWR tokens, they generate Sparkz. Existing industries are one where we can see Proof-of-Stake being a viable approach, because such industries are filled with companies who have capital they can put up as stake. The problem with many proof of stake coins has been lack of economic incentive to actually stick with the program – fluctuations in the market encourage dumping and so forth.

Power Ledger project has to contend with several energy-focused projects which plan to use blockchain and other decentralized technologies as their technical backbone. These projects include Restart Energy Democracy, a renowned European manufacturer of solar cells which plans to allow energy producers to sell electricity directly to their customers via its platform. SunContract (SNC) is yet another platform dedicated to decentralized trading with electricity with the help of cutting edge technologies. Finally, Electrify Asia (ELEC) is the energy marketplace focused on the Asian market which aims to enable direct purchases of energy from private producers.

Once an application host has escrowed enough of its Power Ledger Tokens, it can no longer transact on the platform until it obtains a sufficient number of POWR to provide access. After an application host returns Sparkz to the platform, the Ethereum Smart Bond is unlocked. POWR is the ERC-20 utility token used to grant access to the Power Ledger Network. Sparkz is the Ecochain stablecoin token used as currency to purchase energy through and Ethereum smart contract.

The power generators are in charge of maintaining both power supply and distribution infrastructure. These producers, alongside any entity (property managers, retailers) running the Power Ledger application are known as “application hosts”. Power Ledger provides a blockchain-based marketplace that can truly change the world. Taking power away from large energy companies, Power Ledger gives local communities the ability to sell their excess solar power to neighbors. Power Ledger has created an energy distribution and tracking platform that allows consumers to buy carbonless, sustainable energy at lower prices than what’s offered by traditional electric companies.