Design Phase

Grid

Energy settlement and circular debt resolution. Time-indexed netting windows aligned to energy delivery periods for utilities, grid operators, and energy traders.

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Multilateral netting for energy markets

Energy markets generate dense webs of bilateral obligations between generators, distributors, traders, and consumers. Circular debt — where A owes B, B owes C, and C owes A — is endemic, particularly in emerging markets. Grid applies multilateral netting to energy settlement, resolving circular debt and reducing the gross payment volume between market participants.

What Grid will deliver

01

Time-indexed netting windows

Netting windows aligned to energy delivery periods — hourly, daily, or monthly settlement cycles matching market structure. Obligations grouped by delivery period for accurate compression.

02

Circular debt resolution

Automated detection and resolution of circular debt chains. Multilateral netting eliminates circular obligations in a single atomic operation, releasing trapped liquidity across the entire chain.

03

Generator-to-consumer tracking

End-to-end obligation tracking from energy generation through transmission, distribution, and retail consumption. Netting applied at each layer with full provenance preserved.

04

Capacity market settlement

Settlement of capacity market obligations — availability payments, capacity credits, and penalty calculations. Netting across capacity and energy obligations for the same counterparty pairs.

05

Renewable energy certificates

On-chain tracking and settlement of renewable energy certificates (RECs) and guarantees of origin. Certificate lifecycle from issuance through retirement with netting of associated payments.

06

Cross-market aggregation

Obligations from day-ahead, intraday, and balancing markets aggregated into unified netting windows. Cross-market compression for participants active across multiple trading venues.

Addressable Market
$8.8T/yr

Global energy market settlement volume. Circular debt alone exceeds $100 billion in emerging markets, with Pakistan, Nigeria, and Turkey among the most affected.

Where Grid applies

Emerging market circular debt

In markets like Pakistan and Nigeria, circular debt between government, utilities, generators, and fuel suppliers traps billions in liquidity. Grid's multilateral netting resolves these chains automatically.

  • Government-to-utility-to-generator chains
  • Fuel subsidy offset netting
  • Multi-party circular debt resolution

Wholesale energy markets

Developed market energy exchanges settle billions daily across day-ahead, intraday, and balancing markets. Grid compresses these bilateral obligations into net positions.

  • Day-ahead and intraday market netting
  • Balancing market settlement
  • Cross-border interconnector flows

Oracle-determined FX rates

All Settlement Computer products use FX rate feeds from AFXO — an institutional-grade FX oracle delivering deterministic rate feeds across global currency pairs. Cross-border energy obligations are priced at the oracle rate at netting window close.

Patent protected

PROV-003
64/013,031
Grid — Maturity-Aware + Temporal Netting
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