China Looking to Leverage Blockchain to Facilitate Electricity Trading

Different uses for blockchain technology are being explored around the globe. China, for example, is looking to use the technology to promote electricity trading.

The latest developments on electric trading come as the country is in the midst of an increased demand for electricity. Extreme heat and drought have pushed a demand for more air conditioning and thus more electricity, which is pushing the electric infrastructure to its limits.

“The China Energy Administration (CEA) is set to investigate the use of blockchain-based power trading platforms to promote energy trade between self-contained power generation units and state and national networks,” a Finbold article said. “Notably, the CEA, a state organization under the National Development and Reform Commission (NDRC), responsible for drafting energy policy, says the policy would look into the feasibility of small and medium-sized power generating and storage facilities serving local communities, according to a policy paper published on August 25.”

“The Plan for Deepening the Reform of ‘Decentralization, Management and Services’ and Optimizing the Division of Key Tasks in the Business Environment in 2022 has been deliberated and adopted by the Leading Group for Comprehensively Deepening Reform and Promoting Functional Transformation of the National Energy Administration.”

A Blockchain ETF to Consider

As more blockchain usage becomes more prevalent, it provides an excellent avenue for growth. As such, the space is rife for investment in exchange traded funds (ETFs) that focus on blockchain.

One fund to consider is the Amplify Transformational Data Sharing ETF (BLOK), which features an active management strategy that can flex with the movements of the market by putting holdings in the hands of seasoned portfolio managers.

With 50 holdings as of August 12, BLOK adds diversified exposure and cryptocurrency exposure without investing in the currencies themselves. As mentioned, BLOK is actively managed, investing in companies partnered with or directly investing in companies utilizing and developing blockchain technology, which is the technology behind cryptocurrencies like bitcoin.

Summary of BLOK’s features per its product website:

  • Global equity portfolio of professionally selected companies involved in blockchain technology and indirect crypto exposure.
  • Active management approach that could enable the fund to remain flexible, make timely decisions, and identify companies that are best positioned to profit from the developing blockchain technology space.
  • Convenience and transparency of the ETF structure.

For more news, information, and strategy, visit the Crypto Channel.