Cali-based Lawrence Livermore National Laboratory scientists reportedly revealed their success in building a stablecoin called “the Electricity Stablecoin (E-Stablecoin)”, to transmit energy as a form of data.

Specifically, Livermore’s Maxwell Murialdo and Jonathan L. Belof reportedly claimed that this freshly invented stablecoin would reportedly allow for electricity transmitting with no involvement of physical wires or a grid, and design a fully collateralized stablecoin pegged to electricity. 

Per the scientists, the minting process of the E-Stablecoin would reportedly be carried out via the input of one kilowatt-hour of electricity, accompanied by a fee. 

The stablecoin would then be available for transactions in a similar measure as any stablecoin, or the energy could be extracted by burning it, also for a fee. Smart contracts will have control over the whole process, with a decentralized data storage cloud. No trusted centralized authority is required for the maintenance or disbursement of the asset.

This would reportedly set an unprecedented record for a hard-pegged stablecoin, with direct exchangeability for a specified quantity of a physical asset, the scientists revealed. 

They additionally recommended that electricity comes with a highly stable price and demand, which would mean the electricity used in minting E-Stablecoins would be easily sustainable. 

Investors would have the ability to mint E-Stablecoins in territories where electricity prices are low and burn the tokens where electricity is more expensive.

Murialdo and Belof referred to their work as a proof of concept and extensively utilized advanced mathematics for their reasoning. To make a working E-Stablecoin, “further advances that increase the speed, transfer entropy, and scalability of information engines will likely be required,” according to the scientists.