Blockchain technology and DePIN provide a critical framework for decentralized energy systems. This article introduces several key energy protocols that embody notable progress in this decentralized energy landscape. This article is derived from an article by insights4.vc (Decentralized Energy Protocols), organized, compiled, and written by PANews. (Background: Tokyo Electric Power Company plans to mine Bitcoin with surplus power: successful profits will introduce more green energy mining) (Background information: Promoting green Bitcoin mining) PayPal collaborates with EnergyWeb to propose clean energy mining incentive programs. The energy landscape is undergoing profound changes, with global electricity demand expected to nearly double by 2040. This puts pressure on the gradually aging centralized grid. Traditional unidirectional power flow (from large centralized plants to end users) has failed to keep pace with the complexity of modern energy demand, especially as renewable and decentralized energy resources (DER) become an integral part of the energy mix. This year is a critical year for energy investment, with global spending expected to exceed $3 trillion, of which about $2 trillion is allocated for clean energy technologies and infrastructure. Investments in renewable energy, grid upgrades, and storage are expected to surpass total spending on oil, natural gas, and coal for the first time. By 2030, renewable energy is expected to account for nearly 20% of global energy consumption, up from 13% in 2023, primarily due to advances in solar and wind energy. Grid diagram The role of decentralized energy resources (DER) Decentralized energy resources (DER), such as solar power, wind power, battery storage, and demand response technologies, are reshaping the energy landscape by enabling decentralized energy production and consumption. These innovations challenge traditional centralized radial models and require a transition to decentralized bidirectional grids to accommodate the expanding network of small producers and consumers. While DER offers higher efficiency and flexibility, its integration poses new complexities for grid management. Traditional grids lack the flexibility to handle dynamic interactions within multiple energy networks, especially the intermittency of renewable energy. Blockchain and DePIN: Transformative solutions Blockchain technology and DePIN provide a critical framework for decentralized energy systems. The transparency and peer-to-peer energy trading capabilities of blockchain empower energy producers and consumers to participate in a more efficient and equitable market. Transactions are streamlined through smart contracts and tokenization, reducing costs and incentivizing the generation and consumption of renewable energy. Additionally, blockchain's real-time data capabilities enhance grid reliability by enabling precise supply-demand balancing. Key advantages of blockchain in decentralized energy networks Enhanced grid efficiency and reliability: Local generation and storage can reduce transmission losses, while blockchain's real-time verification enhances grid stability and reduces outages. Supporting renewable energy integration: Blockchain platforms coordinate supply and demand among DER, helping to manage the intermittency of renewable energy and reduce reliance on fossil fuels. Empowering producers and consumers: Decentralized grids democratize the energy market, allowing consumers to monetize excess energy, enhancing energy independence, and driving competitive pricing. Simplifying compliance and financing: The transparency of blockchain simplifies regulatory reporting, while tokenization introduces new financing channels by attracting investment in renewable energy projects through tokens associated with energy assets or environmental attributes. Decentralizing the grid is key to driving DER innovation. However, modernizing the grid remains a challenge, hindered by traditional infrastructure, insufficient real-time data, and limited automation. The entire industry recognizes the need for transformation to meet growing energy demands, enhance resilience, and extend service offerings to under-served areas. Decentralized solutions address challenges related to supply-demand balancing, grid reliability, and rural access. However, realizing the impact of scalable solutions requires significant capital and regulatory coordination. Below, we will explore several key energy protocols that embody notable progress in this decentralized energy landscape. Project Zero (developed by Fuse) Focus: Decentralized renewable energy network integrating DER services Core team: Alan Chang (CEO), Charles Orr (COO) Funding (Total funding amount: $90 million): Seed round: September 7, 2022; Funding amount: $78 million; Investors: Ribbit Capital, Accel, Balderton Capital (lead), Lakestar (lead), BoxGroup, Creandum, Lowercarbon Capital Strategic round: September 12, 2024; Funding amount: $12 million; Investors: Multicoin Capital (lead), Anatoly Yakovenko Fuse was co-founded by former Revolut executives Alan Chang and Charles Orr, addressing the energy crisis through a vertically integrated, data-intensive renewable energy approach. Leveraging their experience in scaling Revolut, Chang and Orr established Fuse to operate utility-scale solar and wind power plants, DER installation businesses, and serve thousands of UK households as a regulated electricity supplier. Key data: Energy demand: Globally, 4,000 terawatt-hours of generation capacity must be added each year over the next decade to meet energy demand — essentially rebuilding the US grid every year. Investment requirements: By 2030, $4 trillion in annual investment is crucial for grid modernization and infrastructure. Fuse addresses inefficiencies in the traditional energy stack by establishing real-time data monitoring and vertically integrating energy production, distribution, and retail. Through Project Zero, Fuse incentivizes participants to shift energy consumption towards renewable sources, helping stabilize the grid and promote DER adoption. By integrating DER, Fuse can also operate as a virtual power plant (VPP), providing grid services that can generate up to $100,000 in revenue per megawatt while optimizing profitability while facilitating renewable energy integration. Fuse combines advanced data collection, real-time monitoring, and a vertical integration model that goes beyond traditional utilities. By leveraging DER, Project Zero, and real-time analytics, Fuse is committed to providing cleaner, cheaper energy while transforming the energy retail industry into a consumer-responsive ecosystem. Daylight Focus: Decentralized energy protocol Core team: Jason Badeaux (CEO), Dallas Griffin (COO), Udit Patel (CTO), Evan Caron (CSO). Funding: Series A funding: July 31, 2024; Funding amount: $9 million; Investors: Andreessen Horowitz (lead), Framework Ventures, Lattice, Escape Velocity (EV3), Lerer Hippeau. Daylight...