Rowan Energy — The Crypto Underdog, Bitcoin & Holy Grail of the Energy Sector
Rowan Energy is firstly an energy company and secondly a crypto company that uses blockchain to operate efficiently and effectively. It is the world’s first community fed green energy company with similarities to Uber and Airbnb. Using existing infrastructure, Rowan enables domestic and commercial owners of rooftop solar to sell their generated energy to other consumers peer to peer (P2P) bringing in the best returns possible for solar and the cheapest green energy on the market. Rowan offers revenue streams to its solar customers and lucrative investment opportunities to its crypto community. The Rowan cryptocurrency ($Rwn) is currently traded on Probit and LAToken exchanges, with a first tier exchange in the plans some time after the Rowan network goes live.
Before we dive into the income streams of its solar customers and delve deeper into the beauty of Rowan Energy, we need to mention the team and partnerships as well as also address a current issue for its crypto community that will be resolved in the imminent future, which involve a new but temporary max supply, a detailed burn back schedule, and the new staking APY.
Rowan Energy CEO
The founder and CEO of Rowan Energy is David Duckworth who began it all in 2018 from his kitchen table. This is reminiscent of many a start-up that began from downstairs basements, college dorm rooms and home garages to becoming successful enterprises and juggernauts in their respective spaces. These enterprise creators were often trail blazers and/or geniuses solving world problems with so much passion and vision.
At first glance, David is an enthusiastic character, down to earth, real, funny, no fuss and who honestly cares about the environment. But don’t judge a book by its cover. After you do your research, his qualifications and experience as a network security specialist, engineer, analyst, blockchain dev and a quick thinking on his feet entrepreneur will impress you. Add on to that, glowing references and his past employers and clients being Deutsche Bank and Aviva.
David’s References
Confidence in Rowan Energy is completed when you consider the investments, partnerships and team behind him, and that this team is growing rapidly. Moreover, Rowan has enough investment seed money to pay for the operations of the business for the next few years, which is a nice comfort to know for crypto investors lest creators tokens are liquidated sooner than later; for the record, unlike normal crypto projects, no portion of the 45mil max supply was put a side for the team. Considering all the above, it makes it even nicer that everything is ready to go live sometime between March to April 2021, right at the start of a crypto bull run.
Rowan Energy Team Members
Some of Rowan Energy Partnerships
Passivsystems
Margin
Biosus
Ecocute
CurveBlock
ENSEK
Cambridge Cleantech
Quest GLT
DDoS
EmonPi
Future Partnerships & Planning
In the near future, Rowan Energy will be partnering with a solar battery company to have their smart miners preinstalled in the batteries. This is a massive step in the right direction to facilitate mass adoption. Also, they will partner with another firm that specializes in obtaining energy utility licences. All the ground work has been finalized and both the firm and Rowan will be formalizing their application as soon as the Beta testing with over 200 homes concludes in February 2021, and on the completion of the new rounds of fiat fundraising in March to April 2021.
Interestingly, there have been legislative whispers in the UK that every new home built on large building estates will have to have solar panels installed. Not surprisingly, Rowan has four private investment funds who want to come on board. One of which is a VC with very deep pockets that specializes in climate and renewable energy. This is a partnership that David is allowing to buy shares in Rowan since they will be adding immense value to Rowan Energy with their experience and expertise in their industry.
Moreover, there will also be a crowd fundraising on a popular platform to maximize investment and promotional opportunities. As crypto investors, we should pause for a minute and appreciate just how early we are into owning $Rwn, since Rowan Energy has not released their crowdfunding smart miner campaign. The amount of early adopters nocoiners and organic PR buzz that will be created from this is potentially huge.
David owns 75% of the company and has and continues to invest significant fiat capital into his business. As a crypto investor, when you see this type of personal investment from non anon devs and creators, its a breath of fresh air. Rowan Energy is currently valued at $4mil pounds but is estimated to be worth $50mil pounds in the next 4 years. Eventually in time and which is the norm for most start ups is that as Rowan expands, major multibillion dollar conglomerates will want to buy Rowan Energy. The Rowan community once asked David why would he sell his business and in true character, David said he does not want to be working 18 hours a day forever and wants to spend more time with his daughter. As crypto traders we can relate. We are all here to better our lives and the ones we love, and with most of us having an exit dollar number in mind.
Temporary Max Supply Increase
Now back to addressing the issue. Due to recent changes in UK crypto custodial laws, Rowan legal advised David and his Board to desist looking after stakers’ tokens in their Rowan Vault in case of any future legal issues. Therefore, in early January 2021 Rowan had to release all the community’s staked $rwns earlier than planned (before their staked time expired) and needed to temporarily increase the max supply to compensate and pay all stakers accordingly. This was only relevant for stakers in the Rowan Vault and not for the normal stakers who were getting a daily $Rwn ROI of 0.001% per day paid in $Rwn.
Token Buy Back & Burn to Reduce Max Supply
All new minted tokens have now been released into the market and no surprise dumps will occur by Rowan Energy. Fortunately, Rowan has an effective plan to resolve this. This increase will be reduced over the next few months as smart miners are sold and a portion of sales goes into buying $Rwn off the exchanges and burning them until we get back down to the 45mil max supply. The excess $Rwn will be reduced significantly and quickly, because the smart miners will sell like hot cakes once mass marketing begins and consumers realise the problem they solve and opportunity they create. In the meanwhile, we are currently awaiting more information from the Board on what is the new max supply and burn back schedule, which will be released after the current Beta testing of the smart miners in over 200 properties.
Staking and How to be a Millionaire Staking Calculations (Non Vault)
We do not know what the new staking terms or APYs will be and they of course may be subject to change; however, regarding the initial staking before the January changes, the old APY was a generous 36.5. Therefore, for an investment of $5,000USD, it was quite easy to be a millionaire in 3 years or less as a crypto trader. At the time the calculations were done a few months to a few weeks ago, 1 $Rwn was 1 cent. $Rwn has been trading above 1 cent or lower for the last 6 months and has found support at below 1 cent quite often. Please note that this is crypto trading speculation and not endorsed by Rowan Energy.
1 $Rwn @ $0.01USD. Invest $5,000USD = 500k $Rwn, then stake 500k at x 0.001 (= 500 $Rwn) for 365 days = 182.5k $Rwn ROI per year.
Due to tokenomics of the Rowan ecosystem (which will be explained below), in 12 months 1 $Rwn = $1. Your ROI $182,500 USD.
In 2–3 years with P2P and P2EV onboarded, 1 $Rwn = $3. So your ROI is between $365,500 to $547,500.
Subsequently, if you add the staking onto initial investment you get:
1 year — $682,500
2 or 3 year — $865,500 to $1,047,500.
The Revenue Streams of Rowan Solar Customers
The solar home owner or small commercial (with 50kwh or less) will have three revenue streams:
The first one is selling RECs to Rowan Energy. A REC is a green certificate that is a valuable and tradable commodity proving that certain electricity is generated using renewable energy sources. Rowan will buy RECs from its solar customers by collecting data from the installed smart meters linked to their solar kit. Rowan will then resale the RECs at premium prices to the open market. This is a multibillion dollar international industry with massive growth potential. One only needs to research green certificates, Guarantees of Origins (GoOs) and carbon offsetting to get a better idea. However, what makes Rowan’s RECs a little more unique is that it is 100% pure solar certified and not green washed, which increases its demand and value in the marketplace.
Rowan gives its solar customers about 30 cent USD per kwh. The average home generates 20 kwh per day, so they get about $6 USD per day or $2,190 per year or $10,950 in 5 years. A solar home kit usually costs about $11k USD so in effect, you pay off your kit in 5 years. Since the kit has a 25-year life span, you actually get 20 years of free kit. If you’re smart, you could spend the following 5 years saving for your next kit (for when your current one needs replacing) and you would still have 15 years of an additional cash revenue stream.
Now this gets very interesting… As tech improves, so do the batteries and energy storage which means, in time, you could actually have free power. You would essentially live off the grid but are still part of the Rowan network. As the years go by, you could also consider upgrading your current batteries so you could live off the grid sooner while being connected to the Rowan network.
This is why crypto traders are so stoked and invested in this coin because there will be long waiting lists of people (nocoiners) wanting to buy a Rowan smart miner and join the Rowan network. Can you imagine all those energy bills people will save? Rowan Energy is a great solution to an everyday problem or issue that affects all of us — that is power. Electricity bills! To make it sweeter, the smart miner is retrofit so you could just plug it into your current solar system. Rowan smart miners are compatible with a few brands, and has a partnership with Passivsystems, who are installed in over 400k homes in the UK with an average of 350 new installs per day.
The second revenue stream is P2P. When Rowan gets its utility’s licence towards the second half of 2021, solar customers will be able to sell their excess energy to others on the Rowan network and not just back to the Main Grid. This means the market is decentralized and homes will be getting better prices for their excess power. In effect, the excess energy seller gets more revenue than selling to the Main Grid and the buyer gets charged less than getting it from the Main Grid. We are not sure how much revenue will be earnt or saved per household but we do know that a decentralized network will be a solar home or a commercial property owner’s preferred choice.
The third revenue stream is P2Ev. It like P2P but instead of selling your excess energy to another home, you are selling it to electric vehicles. We all know that all automotive companies are moving to EVs. It’s the present and future, and with the new tech for battery storage, home owners will be generating revenue selling excess energy to owners of EVs because they will offer cheaper prices than the Main Grid.
Rowan is Somewhat Similar to an Underdog Bitcoin
At a very low max supply of 45mil and the ability of the $Rwn token to be divisible like satoshis, we could say that $Rwn is now what bitcoin was like 10 years ago: humbly undervalued yet immensely valuable — the crypto underdog. Rowan token is like the bitcoin of energy and people haven’t found out or just don’t want to research to understand the immense impact it will have on the energy sector in the UK and in other countries when the company expands. With that said, let’s research some more…
1 $Rwn is currently $0.015 on exchanges but this price only becomes relevant when thinking about buy pressures on exchanges.
Home owners on the other hand don’t care about the value of 1 $Rwn, they only care about getting 30 cents per REC for 1 kwh ($6 per day). This means the quantity of $Rwn will fluctuate depending on the value of 1 $Rwn (Just like satoshis increasing or decreasing in quantity to mirror their value in fiat).
Thus, as $Rwn price increases in value due to more homes coming onboard to the Rowan network, and thanks to the buy pressures on the exchanges as well as the limited supply from people staking and Rowan company holding onto $Rwns (who manage and control the supply since it’s in their best interest not to flood the market), the home owner would not know about $Rwn prices increasing but crypto traders would know.
Traders would see it on the exchanges. However, solar customers would not. They instead would have a nice UI on their computer, tablet or smart phone and they would get a fixed fiat value with fluctuating $Rwn quantity called points and they would simply cash out their $Rwn points (tokens) in fiat value through a Debit card, PayPal or donate to an energy poverty charity (They will have a fixed fiat value in spite of $Rwns quantity generally decreasing over time due to the natural demand as more homes are on boarded on the network).
They also would not be able to sell on exchanges because of the way Rowan has designed their UI and that Rowan limits their access to directly sell onto exchanges. This is to stop them from dumping and crashing the $Rwn price. Only the Rowan company has access and permission to these tokens. Sophisticated bots will buy and sell the tokens at the best timing to make sure not to flood the marketplace whilst providing enough liquidity to sustain trading interest and growth.
This in turn contributes to the buy pressures. The key reason is that every REC is paid for by Rowan company firstly going to the exchanges and buying 30 cents worth of Rowan tokens at MARKET PRICE, then holding onto the $Rwns for staking, storing them, or selling them later back onto the exchanges at the appropriate time. The important thing to remember, which is the genius behind this profitable economical tokenomics is that Rowan Energy is only buying 30 cents worth of $Rwns and not exact quantities of $Rwn every time they buy 1 REC. This means supply reduction of $Rwn; very often until $Rwn increases substantially in value per token. Also, we need to highlight that thanks to staking, a lot of $Rwn will not be on the exchanges, which will affect the price positively. Some of the staking will be very long term for a better ROI.
Thus, as the price of $Rwn goes up, the less $Rwns are required to represent 1 kwh. Once again, the home owner won’t really know or care, but eventually due to the buy pressure on exchanges, 1 $Rwn will eventually be more than 30 cents up to many dollars, which means that 1 kwh or 1 REC will not be 1 full $Rwn, but a smaller percent of 1 $Rwn. Therefore, like satoshis in bitcoin, $Rwn will have its own fractional subparts, which subsequently creates and facilitates the effortless growth in the value of the $Rwn token.
The Holy Grail of Solar Energy
The solar home market in the UK is about 1 million homes; this estimate does not include commercial properties, churches or schools etc. So if we do the math, 1 home generates an average of 20kwh and this will earn that home $6 per day and with 1 percent of the 100mil market would be 10k homes. This would be $60k USD a day, which at current $Rwn price of $0.015 is $60k divided $0.015 = 4mil. That’s 4mil $Rwns that are being taken off the market a day and held or sold back immediately by Rowan bots via exchanges when dealing with RECs. That is about 9% of the supply, which is quite high for an energy coin. Just a reminder, max supply is 45mil.
If Rowan had 5% of the market with 50k homes, that would mean 20mil $Rwns (5 x 4mil) at $0.015 USD each being taken off the exchanges, which is almost 45% of the max supply being traded daily. However, this will not be possible because the value of $Rwn will have to dramatically increase to try to please the invisible hand and balance the laws of supply and demand on exchanges.
We know that 50k homes would generate $300k USD buy pressures a day from exchanges. We also assume that the max supply would have been reduced down to 45mil and a portion of the community would be mid to long term staking. So we could assume that the circulating supply would be around 40mil.
So let’s be very conservative and say at 50 cents, that would be 600k $Rwns ($300k USD divided by $0.50), which is 1.5 percent of the 40mil circulating supply and is only a 20mil market cap. These pressures are only from RECs and not P2P nor P2EV. But most conspicuously missing is that we have not factored in the crypto traders. If we were to factor in the P2P, P2Ev and the traders, the daily volume would be in the millions.
It is worth comparing $Rwn’s $0.50 price at a 20mil market cap and a $300k USD 24 hour volume with the top 3 energy coins from Cryptoslate. Even at an estimated $0.50, $Rwn has a lot more room to grow.
Just remember, Rowan has no competition in the UK doing what they are doing. They have discovered the holy grail of blockchain and solar for domestic homes and small commercial businesses. So for them to eventually capture 20% to 30% of solar homes is not unreasonable. The smart miner is already retrofit and can be installed into over 400k homes with a certain brand of solar kit. Rowan will eventually do this to a certain extent, we assume, after scaling up to and having no problems handling 50k homes at first.
There is also a high chance that many solar homes will leave their current energy company for Rowan Energy. And if they do not want to transfer to Rowan Energy when Rowan becomes a utility company later in the year, then the customer will no longer be part of the Rowan network and will lose their REC revenue income stream and miss out on P2P and P2Ev trading. You don’t need to be an economist to figure out that many homes will switch to Rowan Energy.
Can you imagine how much 1 $Rwn would be with 200k or 300k homes on the Rowan network? All the above are just buy pressures from the RECs. And all of which will happen quite fast since the Rowan smart miner has been designed and tested for the retrofit market. Now imagine the extra buy pressures when $Rwn P2P and P2Ev is also happening on the network in addition to these 200k to 300k homes.
This leads to one of the best parts of investing in Rowan Energy. Like previously mentioned, Rowan is an energy company and not a crypto company. They just use blockchain to get all the moving parts working. Therefore, since they are not a crypto company, they will not sell or dump their $Rwn tokens on exchanges to generate revenue for themselves when required. They actually earn the revenue through the transactions on the Rowan network. And in time these tiny fiat transactions will amount to millions of transactions per day.
Now that’s how you make money and increase your customer base as an energy company. Rowan doesn’t buy energy at a low price and sell it at a higher price like traditional energy companies. This means that the selling price and buying price of electricity will be decentralized at the most optimum for the buyer and the seller. Subsequently, driving more solar homes to buy the Rowan smart miner and driving non solar homes to become solar powered with both groups then being connected to the Rowan network.
This makes you stop and think... Why would homes want to use normal power from the grid if they know that Rowan is offering a more lucrative option than the current status quo? One can see a massive shift in households with disposable income joining the Rowan network as Rowan proves its technology and business model over time. We are talking about potentially millions of households with disposable income converting to solar and joining the Rowan network. There has been major progress and growth in virtual power plants over the years. Its great to realize that Rowan will be one of the catalysts of change for the betterment of our world. Kudos to David and his team!
This is just speculating, but we could also see solar kit suppliers and installers offering a buy now pay later sales scheme to lower income earners who own their own property. The solar provider will offer discounts but also collect the revenue from the REC sales for the first 7 to 10 years and after that, the home owner would have the remaining 15 years. This is sufficient time for the homeowner to save up for their next solar kit plus having a revenue stream for another 10 years afterwards. This would be more lucrative for commercial grade properties wanting solar installs.
As previously mentioned, more homes and commercial properties mean more buying pressures on the exchanges. And since Rowan has no competition in its target market, they have first mover advantage. Imagine a million homes and buildings on the Rowan network in the UK alone in the next few years. Now imagine when they expand to Canada or Europe or USA and the max supply still remains at 45mil, which is all possible thanks to Rowan’s version of satoshis. On a sunny note to conclude, Rowan already has had international interest but has paused this initiative and have decided that they will first focus on being 100% efficient and effective in the UK before expanding internationally.
P.S. This article is not endorsed by Rowan Energy and was researched and written by a Rowan community member out of interest. All info can be found on Rowan websites, YouTube, Telegram, Twitter, Discord, Brave and Google.
Some Additional Frequent Questions & Answers
Q1) Can anybody tell from where are the rewards given out for staking as there is no inflation in this token model?
A1) Rowan company has a few million $Rwn tokens in reserve for staking rewards. However, they will also have future supply of $Rwn through the sales of the smart miners. As part of every miner sold, a percentage of the sales price will go into buying $Rwn from the exchanges at market rate. Rowan company could also be able to buy $Rwn off the exchanges with their everyday profits from energy transactions if they ever need to, but they won’t need to. It is important to note that Rowan company currently has enough seed money to pay for the staking rewards for the next 2 years. This is a sufficient buffer and during those 2 years, therefore, there will be enough sales of miners to sustain the staking rewards for a long time. But on top of all this, don’t forget Rowan will be buying REC selling it for 100% mark up. This will also provide a revenue stream to pay for the staking rewards and the REC sales. Its simple but genius.
One might be concerned that selling REC will be great at first but sales would decline as more energy companies switch to green energy production. But this decline will not happen soon as growth in the carbon off setting market is expected to increase by a factor of 100 over the next 30 years. Maybe the value of green certificates could drop over time. However and fortunately, Rowan’s REC is a premium grade green certificate, which means its value will hold up stronger than other green washed tokens. There will also be an increase in demands for green certificates, Guarantees of Origins and carbon emission trading etc as more governments will be imposing bigger fines so the carbon offsetting market will really take off. Tackling climate change will be one of the biggest priorities for governments in the next few decades because the survival of the human race depends on it.
Q2) If the bots market buy will they also market sell? This would negate any price increase / be a net zero game.
A2). Bots will market sell when they need to and I assume Rowan company could hold back some sales (managing the supply). But the main reason why there will be fewer daily sales is because most home owners will not be cashing out daily, they would do it monthly or quarterly or yearly. $6 a day benefit is not much, compared to waiting longer.
Q3) What is to stop other companies from copying Rowan by making their own chain? Is there a patent? The network effect with Rowan would be stunted badly.
A3) They have attempted to but Rowan shut down their inquires and efforts. They will be more attempts for sure in the future. The Rowan miner is also heavily encrypted. We cannot confirm that Rowan have patents now, but one would assume this would be ongoing in the background. Rowan does have exclusive agreements in place regarding their tech. What the competition is after is Rowan coding which they can’t access by simply buying the smart miner and the system to try to reverse engineer it all.
Q4) How does the company make money with on chain transactions? Are there gas fees?
A4) Rowan is a proof of authority (POA) blockchain that uses low energy and low gas fees. It does not cost many $Rwns to send a large amount of $Rwns on the Rowan blockchain. It actually costs less 0.01 $Rwn to move millions of $Rwn which is not only cheaper than Ethereum or other crypto but is also good for the environment. Rowan will generate revenue and profits from the numerous small trading transactions, similarly to a big exchange like Coinbase. There will eventually be millions of fiat transactions per day.
Q5) This whole sharing solar energy concept only works if you have excess energy and a good battery to store it. Solar homes won’t buy solar power from other homes when the sun is out because they will be producing their own power. I should be able to buy from a Rowan solar home as a non solar house if I pay in 4Rwn. That would increase demand for the token and help send excess energy where it is needed instead of into a battery. Is this possible or in the works?
A5) The system only works if you have a battery storage system, be it solar or other renewable energy source. It is commonly known as a virtual power plant. But for the moment, Rowan will focus on homes with solar systems. Technology is improving so battery storage gets bigger and better. Right now homes that sell back to the Main Grid during the day are only getting a few cents. And when they get home and don't have enough power, they need to buy from the Main Grid at up to 5 times of this value. It would be cheaper to buy power off your neighbour in a decentralized way.
Hence why this is the point of the Rowan network. It will become an energy company that supplies power to all the homes on the network and it wont just be homes on the network wanting to sell excess power, but commercial properties and small renewable energy plants under 50kwh. In time, with better technology, and with cheaper batteries (so people can store more energy), the supply of power will be higher than the demand on the Rowan network for homes.
However, the price wont drop though because this is when homes on the network will start supplying electricity to the EV market. And the EV market is the future of the automotive industry where EV owners will choose Rowan over others, because Rowan Energy will firstly be at a cheaper price and secondly be 100% clean green energy. It is easy to foresee many homes having EV charge ports and cables for their electrical vehicles in the future, where the electricity would be bought from the Rowan network with $Rwn tokens (but displayed in fiat and processed in fiat on your phone, tablet or PC).
It is important to note that in time, the future and focus of energy will be represented and transferred in tokens rather than batteries. We will have different types of virtual private wires and decentralized virtual power plants interconnecting all of us. We might not understand all of this today, but we will live it and learn more about it all next tomorrow and into the future.
Q6) What is the current situation of Rowan’s development?
A6) Rowan Energy is currently conducting pilot and beta testing in the UK with 50 solar homes with Ecocute and 179 homes with Passivsytems as well as with a commercial renewable energy company called Biosus. Ongoing pen testing has been happening in the past for all aspects of the network, and the current focus is right now for the smart miners. The presales for its smart miners aims to begin at the end of February.
Recent Twitter Update from Rowan CEO
The Rowan network aims to go live between March to April 2021. According to the CEO, major UK newspapers and media outlets are on standby but he needs Rowan to be 100% ready and operating before the news really start. There is also interest from an US publication. More undisclosed partnerships will be released in due course.
A basic block explorer is being improved upon; however, a more technically advanced and UK consumer financial privacy compliant explorer is the end goal. It is important to note that Rowan has to be careful with their explorer and user data lest they get fined by the UK government; the maximum fine can be up to $200mil. At present, the Board has decided to focus most of their resources on pen testing, the launch of the smart miners and on Rowan as an energy company. They are reluctant to rush steps for fear of making costly errors or giving away trade secrets.
In summary, many positive things are happening but at this stage of Rowan Energy’s journey, it’s probably prudent to point out that the focus and marketing has deliberately shifted from the crypto side to the energy side. However, this does not mean that David and the team have forgotten about the traders. We are still getting weekly or fortnightly updates and our questions are always answered in Discord. We might not like what we hear sometimes, but the silent majority supports David and Rowan Energy. It is a massive undertaking to be managing a new energy company and a crypto community. David could have created the crypto element of Rowan to not need us traders, and rely on alternative strategies and processes. Fortunately, he created an opportunity for the little guy to also prosper along side the environment in this new decentralized energy world.
End of Year 2020 CEO Update
Latest CEO Interview by Paul Web from Energy Speaks Back
