Slides contain basics of blockchain technology with its working model .and followed by application of blockchain technology in energy sector.

1. Presentation by-
Gaurav Singh Shekhawat
Roll No.-152123
4/4 BTech.
Electrical and Electronics Engineering
NIT Warangal

2. CONTENTS
 WHAT IS BLOCKCHAIN TECHNOLOGY?
 WHY BLOCKCHAIN TECHNOLOGY?
 FEATURES OF BLOCKCHAIN TECHNOLOGY.
 WORKING MODEL OF BLOCKCHAIN TECNOLOGY.
 BLOCKCHAIN IN POWER SYSTEM.
 BLOCKCHAIN APPLICATIONS IN ENERGYSECTOR.
 OTHER APPLICATIONS OF BLOCKCHAIN.
 CHALLENGES .
 CONCLUSION.
 REFERENCES.

3. WHAT IS BLOCKCHAIN
TECHNOLOGY
 Invented by Satoshi Nakamoto in 2008.
 The blockchain is a public ledger that works like a log
by keeping a record of all transactions in chronological
order, secured by an appropriate consensus
mechanism and providing an immutable record.
 First-ever decentralised cryptocurrency is Bitcoin
which not only revolutionized the finance industry
but proved a boon for peer-to-peer (P2P) information
exchange in the most secure , efficient , and
transparent manner.

4.  A blockchain, originally block chain, is a growing
list of records, called blocks, which are linked
using cryptography .Blockchains which are readable
by the public are widely used by cryptocurrencies.
Private blockchains have been proposed for business
use.
 Blockchain can be used for any kind of Transaction
e.g., Cryptocurrency , Contracts, Records.

5. WHY BLOCKCHAIN TECHNOLOGY?
 Centralising method of transaction which requires a
third party for verification and authentication . This
trusted party is able to be questioned in the event of
any failures in updating data, dalays in delivery , or
fraud. But with just a single network controller,
multiple questions arise:
▼ What if the trusted part goes rouge and cannot be
trusted ?
▼ What if it is hacked and an attacker seizes all of the
data?

6. ▼ Each time an intermediary is used, additional delay
in communication occurs. Why not communicate P2P?
▼ The authenticity and validation of each transaction
are very important, but, again, can the intermediary be
trusted?
-The solutions to all of the above problems is provided
by the blockchain.

7. FEATURES OF BLOCKCHAIN
TECHNOLOGY.
 Decentralized system: There is no need of
intermediary trust authorities. Data can be accessed by
everyone.
 Security: Feature that makes blockchain stand out of
the crowd is security. It has not been hacked yet.
Blockchain uses public and private key for encryption
which makes it difficult to hack.
 Transparency: One copy of ledger is stored in every
block which makes the blockchain technology
transparent.

8.  Immutable: Once the transaction details are recorded
in the block, it can not be altered and remains in the
blockchain permanently.
 Its exceptional characteristics include irreversibility,
persistence and anonymity.

9. A. Centralised
B. Decentralised

10. WORKING MODEL OF BLOCKCHAIN
TECNOLOGY
 OVERVIEW OF BLOCKCHAIN.
 CORE COMPONENTS OF BLOCKCHAIN.
 NETWORK OPERATIONS.
 CLASSIFICATION OF BLOCKCHAIN SYSTEM.

11. OVERVIEW OF BLOCKCHAIN

12.  Block: To keep track of transactions simultaneously,
multiple transactions are grouped together in a
structure called a block.
 Nodes: The computer or devices on the
network, known as nodes, make up a blockchain
network.
 Hash and Timestamp: Block is uniquely identified
by its hash and timestamp.
 Nonce: Nodes compete to find a unique, one-time
number , called a nonce.
 Mining: The process by which nodes perform rigorous
computations, thus devoting their resources to find
the nonce, is called mining.

13. CORE COMPONENTS

14. NETWORK OPERATIONS
 1. Transaction broadcast.
 2. Transaction collection and Verification.
 3. Running the consensus protocol.
 4. Block acceptance and chain update.
 5. Earning incentives.

15. CLASSIFICATION OF BLOCKCHAIN
SYSTEM.
1. Public blockchain: it provides an open platform for peole
from various organisations and backgrounds to join,
transact, and mine.
-Permissionless blockchains.
-open and transparent .
2. Private blockchain: it facilitate the private sharing and
exchange of data among a group of individuals or among
multiple organisation, with mining controlled by one
organisation or selected individuals. It is also called a
permissioned blockchain.
3. Consortium blockchain: partially private and
permissioned blockchain, where no single organization is
responsible for consensus and block validation but rather a
set of predetermined nodes.

16. BLOCKCHAIN IN POWER SYSTEM
 Energy demand / supply system.
 Peer-to-peer trading.
 Blockchain based billing model.
 Peer-to-peer lending.
 Green certificates.
 Distributed file storage.

18.  Peer-to-peer trading: A peer-to-peer (P2P) service is
a decentralized platform whereby two individuals
interact directly with each other, without
intermediation by a third-party. Instead, the buyer and
the seller transact directly with each other via
the P2P service.
 Blockchain based billing model:
-mobility, dynamic pricing.
-consumers providing service towards power
companies.

19.  Distributed file storage: -centralised metered data.
-today regulation requires to keep the archive for
years.
 Peer-to-peer lending: -buying a share in solar plant.
-Renting an electrical storage.
-sharing your charging point.
-crowdsource new green energy investments.
 Green certificates: -a tradable commodity proving
that certain electricity is generated using renewable
energy sources. Typically one certificate represents the
generation of one Megawatthour of electricity.
-energy represented as token.

20. BLOCKCHAIN APPLICATIONS IN
ENERGY SECTOR.
 1.PowerLedger-it provides a market trading and clearing
mechanism based on blockchain.Owners of renewable energy
sources can sell their surplus of energy at a choosen price within
microgrids or over the distribution network. It is publicly
announced on August 11, 2016 in Perth, Australia.
 2.LO3 Energy- Transactive Grid and Brooklyn Microgrid. -
this company developed Transactive Grid Platform, that is based
on Ethereum and Smart Contracts.
 3.Electron: UK-based company also performs P2P trading.
 4.PWR.Company
 5.Key2Energy
 6.NRGcoin.
 7.SolarCoin.

21. OTHER APPLICATIONS OF
BLOCKCHAIN.

22. CHALLENGES

23. CONCLUSIONS
 Blockchain technology is a promising innovation ,
which can be used in different microgrid areas.
Probably the most popular use case application is P2P
trading, where the blockchain enables energytrading
between peers in a secure way.
 Most projects are based on Ethereum, which offers
the possibility of smart contract implementations.
 Still, before operating on large scale, issues like
regulation and scalability must be solved .

24. REFERENCES
 https://ieeexplore.ieee.org/document/8386948/?part=1
 https://cfrd8-
files.cfr.org/sites/default/files/report_pdf/Discussion_Pape
r_Livingston_et_al_Blockchain_OR_0.pdf
 https://www.cfr.org/report/applying-blockchain-
technology-electric-power-systems
 https://www.technologyreview.com/s/609077/how-
blockchain-could-give-us-a-smarter-energy-grid/
 https://www.cleantech.com/from-the-brooklyn-microgrid-
to-exergy-a-conversation-with-lawrence-orsini-ceo-of-lo3-
energy/
 Google, Wikipedia.