IOST Blockchain Trials P2P Energy in Japan

IOST Blockchain Trials P2P Energy in Japan

The team behind the Internet of Services Token, better known as IOST, have partnered with EverySystem and ElDesign to launch a simulated peer-to-peer (P2P) energy trading project for Fujimi City in Nagano Prefecture, Japan.

According to IOST sources the trial platform will employ gaming-elements and enable companies and individuals to utilise a “…blockchain-driven bidding system and incentive mechanism to conduct an on-chain electricity trading experiment…”

P2P Evolution

Local media outlet, Nagano Nippo, report that the initial period will begin in February 2020 and will last for around 3-4 weeks and according to the Nikkei, will verify “…whether it can cope with a variety of power trading mechanisms that are expected in the future.”

P2P energy provision was quickly recognised as a potential beneficiary of blockchain technology and is now evolving at a rapid pace in Japan. This latest IOST announcement follows Power Ledger’s (POWR) blockchain rollout in the Kanto and Kansai regions.

IOST is known to use a consensus mechanism known as Proof-of-Believability (PoB) which uses a similar process to the more familiar Proof-of-Stake (PoS) method but works on a two league system. Nodes participating in the first league have earned trust to not misbehave and are responsible for processing transactions quickly while the second group are able to sample and verify to ensure security.

Formed in 2017, the Singapore-based company have attracted major venture capital investors including Nirvana Capital, Sequoia Capital, and Node Capital.