EnergyFunders Unveils Blockchain Tech for Energy CrowdfundingJuly 16, 2018
After more than a year of research and development, Houston-based EnergyFunders will unveil their own release of a first-in-class blockchain technology platform by the end of February 2018, with a later release to a planned secondary market. EnergyFunders’ new blockchain technology is the first to market in the energy investment equity crowdfunding sector.
The proprietary technology, which took several thousand hours to develop, will improve the experience for both energy investors and energy operators on the groundbreaking platform.
Traditionally, buying and selling energy assets and ownership interests has been a time-consuming and often expensive process requiring lengthy title searches, due diligence, and multiple requests for information.
Often plagued by contradictory or inconclusive findings with regard to mineral rights ownership, oil and gas investors and leaseholders have dealt with court battles, transactional delays and even the postponement or abandonment of agreements due to cumbersome ownership disputes.
With accurate on-boarding and initial verification, blockchain-verified ownership and smart contract transactions can reduce or eliminate disputes and create a clear chain of ownership. Transactions can be authenticated and settled using smart contracts that engage in predefined commercial actions according to criteria required by the transaction.
Moreover, relevant information is easily stored, retrieved and correlated with assets. Ultimately, expensive and time-consuming transactions will become streamlined with large reductions in cost and time.
“In addition to enabling ground-level access to opportunities for investors, our blockchain technology will offer a new, critical transparency along with greatly reduced transaction times compared to traditional transactions,” said Aalok Shah, Chief Technology Officer of EnergyFunders.
Additional benefits of EnergyFunders’ blockchain include:
- Efficiency and optimization – Bringing liquidity to an illiquid energy market, allowing transactions to occur more securely and quickly, and opening up a secondary market.
- Accountability – Providing immutability and transparency for transactions, creating an audit trail for investors and regulatory compliance.
- Enhanced security – Securing via unbreakable cryptography all the relevant details of each transaction, which are independently, cryptographically verified.
EnergyFunders’ blockchain technology anticipates expanding the energy investment market to include all legally permitted users around the world with built-in regulatory and legal compliance as appropriate for each user’s country of citizenship. Eventually, EnergyFunders users are projected to experience a true borderless trading environment resulting in a dramatic reduction of transaction costs.
Investors and operators who want to learn more about this innovative new technology platform can learn more and create a free account.