# The OpenVPP Solution

OpenVPP delivers on the energy utility industry's requirement for a tailored, automation-ready, flexible, decentralized payment layer that can meet the needs of the modern smart energy and DER landscape.

It achieves this by offering the first purpose‑built, on‑chain payment fabric for the Internet of Energy, combining two mutually reinforcing layers:

1. **Bespoke Stablecoin Payments Layer**

* **Direct Mode**: Utilities plug standard stablecoins (e.g., USDC) straight into automated, decentralized, on-chain billing workflows.
* **Oracle Mode**: The same stablecoins can be derived into energy‑native tokens (1 token = 1 kWh, 1 kg CO₂ offset, etc.) by trusted pricing oracles, enabling tariff structures or incentive schemes that traditional money can’t express.\


2. **Decentralized Integration Layer ‘Domain Name Service (DNS) for DERs’**

* A peer‑to‑peer routing protocol lets utilities, aggregators, and device makers discover and transact with one another with a single integration and without the need for a central hub.
* Standardized APIs and message formats reduce integration time while keeping sensitive operational data under each participant’s control.



3. **Application Layer**

* First party products made by the OpenVPP foundation such as OpenVPP World - a global virtual power plant combined with a user interface for energy transactions.
* Third party partner products which leverage OpenVPP’s stablecoin payments and integration layers for energy services and utility applications.

Together these layers create an end‑to‑end, decentralized and automated payment stack that’s purpose built for the energy utility industry’s specific financial, security and operational efficiency challenges.

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