
The rapid digitalization of energy markets, coupled with the rise of decentralized power generation, has necessitated innovative solutions for secure, transparent, and scalable energy trading. Blockchain technology, integrated with P2P energy trading and IoT-enabled smart grids, presents a transformative approach to decentralized energy management. Challenges related to scalability, interoperability, transaction throughput, and security must be addressed to enable large-scale adoption. This book chapter explores advanced blockchain-enabled mechanisms, including Layer 2 scaling solutions, cross-chain communication, and AI-driven smart contract optimization, to enhance the efficiency of energy trading networks. The role of blockchain in managing renewable energy certificates (RECs) and carbon credits was also examined, highlighting tokenization as a means to improve market liquidity, transparency, and regulatory compliance. Additionally, a comparative analysis of consensus mechanisms and throughput optimization techniques was provided, offering insights into the trade-offs between security and scalability. The integration of AI and machine learning in smart contracts was discussed as a key enabler for predictive energy trading, automated market adjustments, and fraud detection. Future research directions focus on hybrid blockchain models, cross-chain interoperability, and sustainable energy tokenization frameworks. The findings of this chapter contribute to the development of a highly efficient, decentralized, and resilient smart power ecosystem, paving the way for the next generation of blockchain-based energy markets.
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