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- EVs can trade energy directly through IOTA without money, using mutual return agreements.
- Simulation showed energy costs dropping over 69% while boosting grid stability during outages.
A new study published in the IEEE Transactions on Green Communications and Networking outlines a method to reshape how electric vehicles interact with the power grid. The work by Muhammad Rizwan, Ammar Hawbani, Xingfu Wang, Shivanshu Shrivastava, Pelin Angin Ulkuer, and Liang Zhao proposes a framework using IOTA technology to allow direct energy exchange without financial transactions.
The model treats each EV as a portable battery capable of supplying or receiving power directly from other EVs or the smart grid. Instead of payments in currency, the arrangement works on mutual energy return agreements. Every trade is documented on IOTA with zero transaction fees and instant processing, allowing for millions of micro-energy exchanges without congestion.
Salima, a technology enthusiast with an interest in cryptocurrency, summarized the concept in her post on X:
Goodbye money, hello energy bartering.
🚀 “Goodbye money, hello energy bartering” — that’s the bold vision of Muhammad Rizwan, Ammar Hawbani, Xingfu Wang, Shivanshu Shrivastava, Pelin Angin Ulkuer, and Liang Zhao in their IEEE Transactions on Green Communications and Networking paper “An IOTA-Based Energy Bartering…
— Salima (@Salimasbegum) August 11, 2025
Simulation Shows Cost Reductions and Network Stability
The researchers used a Stackelberg game approach, where EVs submit offers and the grid operator selects the most suitable deals based on demand. This ensures that energy is distributed efficiently, while the system optimizes itself without human intermediaries.
Simulation tests showed up to a 69.23% cut in energy costs for EV owners compared to traditional trading setups. The model also proved capable of boosting grid resilience, with idle vehicles able to supply power during emergencies. This helped maintain service during simulated outage events.
The framework was designed to avoid the scalability and high costs seen in conventional blockchain systems, making it suitable for future high-demand energy networks.
Salima noted,
IOTA isn’t just crypto — it’s the backbone of tomorrow’s energy economy.
Wider IOTA Applications in Trade and Compliance
IOTA has developed beyond its initial IoT focus, with projects spanning multiple sectors. In trade finance, it is piloting tokenized invoices and tokenized critical minerals in Singapore and East Africa. For logistics, IOTA integrates sensor-equipped containers to monitor cargo conditions such as location, weight, and temperature, as well as enabling remote door control for secure deliveries.
In environmental and regulatory compliance, IOTA has presented the EU with a battery lifecycle tracking system for electric vehicles. This records manufacturing through to recycling on-chain while keeping sensitive documents off-chain, with data deletion options to meet GDPR requirements.
Resistance is seen at $0.86, $1.49, $2.14, and $2.6, while strong support sits around $0.20 and $0.15. Whether prices move higher or lower may depend on the broader crypto market, especially Bitcoin performance, and the possibility of an altcoin surge.
