VC: Blockchain Is Key to Decentralizing the U.S. Energy Grid

thecryptoblunt
3 Min Read

Central to the Trump administration’s AI strategy is the goal of making the U.S. energy grid more resilient to shocks and maximizing its uptime.

According to Cosmo Jiang, a general partner at venture capital firm Pantera, the US electrical grid can be modernized with the help of blockchain technology by utilizing human labor and stranded resources to create decentralized energy infrastructure.

It was explained by the VC that companies in the gig economy have developed ways for people to monetize their spare time and resources outside of their normal working hours through freelance commitments. According to Jiang, blockchain can utilize this by coordinating unused infrastructure, labor, and resources to construct a decentralized energy grid.

“There are a few protocols that specialize in using token incentives to encourage everyday people to install solar panels on their roofs or install batteries in their homes. And that way, you create this energy grid that isn’t centralized and deployed through heavy capital expenditure.”

It was concluded by Jiang that this kind of energy decentralization strengthens the grid and also cuts through the regulatory red tape, which the Trump administration said is one of its three pillars of “America’s AI Action Plan,” a strategy to make the U.S. the global leader in artificial intelligence.

Trump Administration Prioritizes Strengthening U.S. Energy Grid for AI Development

“The US electric grid is one of the largest and most complex machines on Earth. It, too, will need to be upgraded to support data centers and other energy-intensive industries of the future,” a recent White House report read.

It has been repeatedly emphasized by U.S. President Donald Trump that the country’s energy resources must be maximized to meet the demand for AI data centers, crypto mining, and other high-performance computing applications.

According to the president, this involves exploring nuclear energy generation and shielding existing grid components from electromagnetic disruption.

A policy objective of the U.S. president’s energy infrastructure upgrade plan is also the building of redundant energy systems to ensure maximum grid uptime and resilience, while also making certain that critical backups are consistently available.

Share This Article
Leave a Comment

Leave a Reply

Your email address will not be published. Required fields are marked *