A Blockchain Approach for the Future Renewable Energy Transaction

Abstract

Blockchain technology holds great promise to rewire the current financial system which relies on the third party. Every transaction is recorded in a secure and transparent for the parties in the blockchain network. Blockchain technology in the energy sector becomes an interesting topic among researchers at this moment. The use of blockchain allows producers and consumers to trade energy transactions through smart grids because of a decentralized energy trading system. The trading activities without a third party involved would reduce the cost of a transaction thus it brings to a new level of quality of service in the trading system. In this paper, we propose an architectural model for decentralized energy trading system among the neighbors that allows the producer who has the surplus energy to conduct a trading activity with his/her neighbors. The transactions manage by the miners in the same blockchain network. Moreover, we analyze the security issues from various attacks and presenting the performance of the selected attack that might occur in the model.