Liquidstar

1. PROBLEM: SDG7 - Approximately 1.1 billion people still live without access to electricity with an overall 2.6 billion facing difficulties due to unreliable or intermittent access. Of this, over 600 million people still use kerosene for basic energy needs. This is largely due to the high cost associated with deploying traditional grid to more remote communities.

2. SOLUTION: Liquidstar is developing a dynamic and portable battery-charging ecosystem in which location, ownership, identity and usage data are managed and billed to consumers using an SMS and blockchain-enabled platform. This modular electricity 'Mobile Virtual Grid' model supports power for education, healthcare, as well as disaster relief and future electron based mobility economies (e-scooters and e-tuktuks).

3. Liquidstar is proposing a creative new approach to energy storage and distribution that leverages the increasing commoditization of battery technology with bleeding edge identity and Decentralized Autonomous Utility technology.

- What is the scale of the problem in the communities you are working in, and in Bangladesh? : The global scale is huge as nearly 1/7th of the world does not have access to electricity and we have the next 10 years to provide a clean and sustainable solution. We are initially focusing on the Nigerian market as it is the 2nd largest off grid market in the world, representing 8% of the global total. Bangladesh can seek to benefit from a similar Liquidstar solution as well as the alternative application use case of providing rapidly deployable mobile battery charge and distribution 'Waypoints' to help enable electricity access in natural disaster and refugee situations where the grid is affected.

- How many people are affected? : 1.1 billion people.

- What are the contributing factors to the problem that relate to your solution? : There are many economic challenges facing current solutions for distributing energy off grid. The attached deck goes into more detail as to how Liquidstar's solution is a novel and creative approach to solving this problem more rapidly than current solutions.

https://docs.google.com/presen...

- How are you working with them to understand their needs and participate in the solution? : Over the last year we have been working closely with Vista Advisory and Viathan Energy in Nigeria to better understand the market through the lens of a trusted local energy producing partner (they are one of the largest micro grid producers in Nigeria). We are also working with an engineering student in southern Nigeria to roll out initial mini pilots on university campuses to test the LSOS software rental platform.

- How will the solution address their needs? : Our partners are conducting detailed surveys of potential users that will help us to fine tune our solution to best meet user needs across a variety of different markets. 

What product or services are you providing to the population you are serving/working with? : Liquidstar will be providing a battery rental service that will cover a variety of battery sizes for different applications - from lighting and phone charging for households to powering of air conditioners and refrigeration. This process will be managed by human 'Power Rangers' that will help onboard users, rent batteries, and even operate automated delivery and replacement of batteries. This platform will work directly with energy generation companies as well as grid distribution companies as a new tool that will enable them to reach customers that are normally beyond the point in which it is economically viable to build grid. A highly mobile varient of Liquidstar Waypoints can be deployed to regions hit by natural disasters enabling electricity distribution when grids are severely damaged - helping to keep up communication and refrigeration of medical supplies.

- What processes and technology are you using? : The core elements of Liquidstar are its LSOS and a core CHIP. The LSOS has been developed to work with our sister company's blockchain based self sovereign zero knowledge proof identity platform Blockpass.org. This system will help with secure management of human identity and how it works within an ultra efficient Decentralized Autonomous Utility loop, aka HUMAN+COMPANY+DEVICE identity. The platform is able to collect biometric identity to confirm users and also employs a computer vision money counting technology to verify payments and deposits where necessary. The 'chip' is a key anchor point that allows for GPS tracking of batteries (or any asset) as well as battery life and health through cellular 2/3/4g. These two components work hand in hand to provide a very simple and elegant solution to asset management (batteries in this case). Additionally, Liquidstar batteries will be based on the commoditized 18650 cell format (used in Teslas and other electric vehicles). These cells will be used in 3 pack 'cartridges' to enable scaling across a variety of different applications while remaining easily accessed for repairs, recycling, and upgrades without having to retire the shell. Charging will be accomplished through Liquidstar Waypoints, similar to Tesla Super Charger stations, but are robust, easily deployed, energy source agnostic, chargers for mobile batteries that can support various SDGs as well as new modern electron based economies.

More detail can be found here: https://docs.google.com/presen...

Similar to Tesla’s Powerwall and larger Powerpack, Liquidstar batteries fall on the smaller size but higher portability end of the battery based off-grid energy storage spectrum. Available in multiple capacities along this spectrum (they can technically scale anywhere along the size spectrum depending on market demand), smaller sizes will initially target portability and leverage the commoditization of battery technology in this segment. This entry point on the spectrum will provide multi-day charging capability for smartphones and tablets and act as an enabling ‘energy for education’ portal to the information age and knowledge economy, opening the door for a modern workforce with access to higher skills and higher wages. The operation of this platform is designed to be extremely simple and user friendly, integrating with existing infrastructure and services with as little friction and complexity as possible. By leveraging community owned centralized energy generation facilities, batteries can be filled in mass, with charging credit attributed to the blockchain based Blockpass identity of the individual or organization that owns the generation hub. Batteries can be picked up or delivered to users in remote off-grid regions, and when running low, they will automatically activate a replacement beacon, chirping its GPS location through cellular and alerting Power Rangers to initiate a replacement cycle. When a Power Ranger arrives, they deliver a full battery and assume ownership of the empty battery, returning it to the central Waypoint charging hub and completing the Decentralized Autonomous Utility loop.

Potential pricing innovation to beat traditional off-grid with a cleaner more versatile solution.

How will the world of energy look in 2030?

Incumbents are often weighed down by legacy baggage in both their design and business models, making it difficult for them to quickly adapt. Gradual evolution or outright stagnation are often the results. Only a comprehensive, ground-up reinvention of both business and design thinking can address this.

• Design Model

• Business Model

In the case of Liquidstar, the legacy energy industry has reached the design and business model limits of physical grid based delivery of power. This prevents them from being able to profitably distribute electricity to 1.1 billion people who are, in result, left to sort out their own solutions. This is exactly why a future thinking approach is needed to reinvent and effectively bridge this industrial gap.

Unsolved Challenges to Current Solutions

Current on-grid and off-grid electricity providers are doing great things, but important limitations remain:

• High up-front and maintenance costs

• High levels of grid theft

• Higher costs per kWh than grid/mini-grid

• High administrative costs

• Difficult to scale

• Low levels of interoperability

• Off-grid durability problems

Initial Survey data suggests that there is clear demand for a Liquidstar style solution (ongoing): https://docs.google.com/spreadsheets/d/1fey-o75oMjKCubnTAtWrb8xq5lYi0uYl-WcZ5pYrTuU/edit#gid=91540522

Currently we are beginning our first mini pilots in Nigeria at 2 different university locations. During this stage, we will be serving around 50 batteries to determine market demand for battery type, price sensitivity, platform experience. After this we will scale the solution accordingly with a very high potential for growth as the market is vast and not currently served with a full solution.

Goal over the next year is to test pilots and fine tune the LSOS platform and the CHIP core that allows control of assets. The perfection of these two key elements will allow the solution to scale faster across different companies vs just limiting ourselves to the build out of Liquidstar battery and Waypoint infrastructure.

• NIGERIA - 8% Global Total Off-grid

  • Nano Pilot (ACTIVE)

    • Delta State University, Nigeria

  • Mini Pilot (ACTIVE)

    • River State University, Nigeria

    • Lagos Market, Nigeria

  • (Primary) Pilot

    • Large Market in South East Geopolitical Zone, Nigeria

• INDONESIA - 4% Global Total Off-grid

  • 2 Pilot Locations, Currently in Market Analysis Phase with Government & IPPs

• INDIA - 36% Global Total Off-grid

  • Many connections, waiting for funding to begin pilots in India

• SPECIAL PROJECT

  • Waypoint Project - Possible documentary adventure race to evangelize the future of electric mobility - off-grid.

  •           SDG: Distribution points for Liquidstar batteries to support the solving of all 17 SDGs by 2030
  •           XDG: Remotely deployable ‘Waypoints’ use energy generation and battery cartridges to enable a new precedent in freedom to adventure and explore from the safety and comfort of the next generation of sustainable electric mobility and life platforms.

Primary Operational Risks

Geopolitical Risk

1. Socio-economic headwinds, unpredictable regulatory regimes and other developing country idiosyncrasies can have an impact on operations.

Entrenched Incumbents Risk

1. The energy industry is full of entrenched incumbents who are naturally unwilling to cede ground to disruptive new entrants.

   1. These incumbents range from traditional grid players to suppliers of off-grid solutions such as generators. They also include parties that provide inputs like diesel and petroleum.

Aux Issues

1. Financial - Accelerating the capital necessary to tackle problems of this scale

   1. SOLUTION - We will be presenting our solution update at the World Economic Forum in Jan 2020 as the beginning of the SDG race to 2030 and will plan to finance it there if not before.

2. Technical - How to scale a hard physical tech solution?

   1. SOLUTION - Focus on the primary core value of Liquidstar - LSOS & the CHIP. We can develop the core controls and can partner with a top level hardware producer (like GOGORO) and redesign their product for our usecase to deploy more rapidly.

3. Legal - Regulatory and Safety related challenges

   1. SOLUTION - Good partners who have experience in product certification and licensing along with good communication through the proper government channels.

4. Cultural - How to work in different markets/countries.

   1. SOLUTION - Great local partnerships. 

5. Market - Who wants this?

   1. SOLUTION - We are in the process of testing the idea and will adjust quickly along the scale of the battery solution.

Mitigating-Factors

Geopolitical-Risk

1. Diversification 

   1. Expand across a variety of markets, each with political, regulatory and economic drivers that do not necessarily correlate with one another. By thoughtfully spreading across a select basket of diverse regions, we can drive growth without relying on any specific country.

2. Partnerships 

   1. Liquidstar has entered into a formal partnership with Vista Advisory Partners, a leading pan-West African financial firm with a specific focus on early stage ventures. Vista is one of the largest microgrid companies in Nigeria. Currently operating 50 MW worth of power plants across Nigeria, Vista is uniquely positioned to execute the project alongside Liquidstar.

      1. Members of Liquidstar’s team of operators and advisors have the extensive Nigerian professional and business networks required to drive the project forward.

Entrenched-Incumbents-Risk

1. Partnerships are key. In addition to working with a traditional grid player (Vista), we are pursuing relationships and investment from local and global energy industry incumbents. Our technology represents the future, and we believe savvy investors and operators will view collaboration as a long-term de-risking exercise.

2. Use case creativity. Liquidstar is working on additional applications for the hardware and software involved in our product.

   1. Disasters. In 2017, Hurricane Maria destroyed Puerto Rico's electric grid. Tesla made a generous donation of its Powerpacks to serve as backup-batteries on the island, but due to their immobile nature they cannot help when there is no grid. Many of the storm's fatalities came from a shortage of refrigeration for essentials like insulin and antibiotics. Liquidstar's portable energy solution could change this.

Bangladesh presents an interesting market opportunity:

1. General off-grid

2. Natural disaster & Climate change support

   1. EX: With Bangladesh experiencing increased pressure from climate change driven events, rapidly deployable mobile battery Waypoints can provide immediate support to powerless regions. This would specifically focus on device charging for connectivity and communications along with refrigeration of perishable medical supplies.

Liquidstar is the latest project under development by chainofthings.com - Chain of Things (CoT) is a research lab and venture studio dedicated to leveraging the nexus between blockchain and IoT to solve fundamental problems in the connected devices space and to develop highly efficient futuristic applications. CoT will address the point of device identity from birth to solve for systemic issues of security and interoperability. With this it will develop and deploy industrial, environmental, and humanitarian projects through corporate partnerships, joint ventures, and internal projects.

3 full time, 6 part time, 11 advisors

This is the project we have been planning for.

In early 2016 we began Chain of Things (Liquidstar’s parent company) to research the potential of blockchain to enable better security and interoperability for the Internet of Things. The broader goal focused on how emerging and newly commoditized technologies can be leveraged to solve various UN Global Goals and general industrial efficiency. This process has led to the development of Liquidstar as a rational solution to one layer of a significant challenge facing humanity.

Significant investment over the last 3 years has been building towards Liquidstar. Chainofthings.com - 3.5 years of work, Solar Data logger $70 thousand dollars of up-front Cash, Maru - $65 thousand of Labor and Cash, Chain of Things - $200 thousand of investment BTC (over 1.5M of Spending over 2 years), Chain of Things operational cash investment by founders is over $250 thousand at this point, Blockpass.org (core Human+Company+Device identity mechanism Joint Venture) over $10 million raised and over 2 years of development, a 30 person global team, and a brand new Zero Knowledge Proof identity lab in Scotland. 

• Chain of Things - Founded in early 2016, Chain of Things (CoT) is a research lab and venture studio dedicated to leveraging the nexus between blockchain and IoT to solve fundamental problems in the connected devices space.

• CTP - Logistics & Assembly: CTP provides high-quality, reliable services in three specific areas: product invention, design and development; manufacturing agency; and manufacturing consultancy.

• Vista Advisory Partners & Viathan - Vista Advisory Partners (VAP) is a boutique financial advisory firm with a focus on managing start-ups and medium scale enterprises in Nigeria and the rest of West Africa. Viathan is considered one of Nigeria’s leading microgrid and energy experts.

• Blockpass - Blockpass (a Chain of Things Joint Venture project) is a blockchain based self-sovereign identity protocol for the connected world - the Internet of Everything. 

• Bistspark (Hong Kong & Nigeria) - Payments & Billing: Bitspark, a Hong Kong based fintech company provides Spark, a secure web and mobile platform for money transfer operators.

• Bodytrace - Connectivity: Bodytrace is a scalable global M2M wireless solution that enables connectivity around the world. 

• Linka - Battery Locking Mechanism: LINKA’s mission is to make products that enhance the convenience and safety of urban mobility. 

Liquidstar is developing a Decentralized Autonomous Utility that augments existing generation and grid infrastructure with portable, rentable smart batteries called “Sun Buckets”. This opens access to 1/7th of the world that is currently not currently have electricity.

By using people (“Power Rangers”) to deliver electricity and onboard customers, just like cans of digital kerosene, Liquidstar eliminates almost all of the distribution-related capital expenditures ordinarily required for traditional grid-based electrification projects.

Liquidstar for Utilities and Disaster Relief (B2B2C)

1. Utility or Disaster Relief Operator purchase fixed quantity of Liquidstar batteries & Waypoints.

   1. LS Profit Margin 5-10% on top of project cost.

2. Liquidstar charges integration and implementation one time fee dependent on the number of batteries.

3. Liquidstar charges a monthly recurring service charge for platform management (B2B).

4. Utility deploys and manages batteries as alternative to traditional grid rollout (B2C).

Liquidstar Direct Battery Rental Process (B2C)

1. Liquidstar (or business) pays energy generator for electricity to charge batteries at Waypoint.

2. Liquidstar Power Rangers on-board potential customers via mobile application.

3. Customers use existing payment rails (USSD, Cash-in Cash-out points, etc), to top up account.

4. Customer account information is stored on blockchain using Blockpass.

5. Customers can pick up batteries themselves or text LS to have a new battery delivered or a depleted battery returned and/or replaced.

6. Liquidstar Power Rangers deliver and pick up batteries to customers.

7. Payment and Battery Ownership is Managed by LiquidStar’s Blockchain Enabled DAU Platform.

Liquidstar is raising funding currently to fully develop and deploy a sustainable for profit business model that can effectively undercut current expensive and dirty solutions for energy access.

• $1.5m Note/SAFE

• 20% Discount

• $8m Cap

Phase 1: $1.5 million to develop and execute the “Primary” pilot(s) in Nigeria and to explore market potential in different geographical regions globally as well as auxiliary application use cases. 

Phase 2: Subsequent funding will be raised following the completion of the pilots. It is intended that the pilots will generate the positive results, robust data, and mature hardware and software platform necessary for the next round to be raised at a higher valuation. 

• NIGERIA - 8% Global Total Off-grid

  • Nano Pilot (ACTIVE)

    • Delta State University, Nigeria

  • Mini Pilot (ACTIVE)

    • River State University, Nigeria

    • Lagos Market, Nigeria

  • (Primary) Pilot

    • Large Market in South East Geopolitical Zone, Nigeria

• INDONESIA - 4% Global Total Off-grid

  • 2 Pilot Locations, Currently in Market Analysis Phase with Government & IPPs

• INDIA - 36% Global Total Off-grid

  • Many connections, waiting for funding to begin pilots in India

• SPECIAL PROJECT

  • Waypoint Project - Contact c@liquidstar.io for details

(High end development budget)

We are applying to the Tiger Challenge with the ambition of being able to deploy and scale the Liquidstar solution across as many markets as possible as quickly as possible - in addition to our initial projects. We are looking to do this with the entire Liquidstar platform or help other companies with our LSOS and asset tracking system to maximize efficiency. As we only have 10 years left to solve the 17 UN Global Goals, SDG7 (clean and affordable modern energy) is a significant foundational goal that is essential to enabling multiple other SDGs. 

We are looking to partner with a number of different organizations.

• Energy generation companies
• Grid distribution companies
• Governments
• Disaster relief organizations (private or public)
• Impact and SDG focused investment and organizations
• Existing solution providers that could use the core LSOS and Chip platform
• Hardware companies for collaboration
• Electric mobility companies
• Education, health care organizations that could use Liquidstar to further their scale and effectiveness
• Successful incumbent corporations that are looking to diversify and focus on impact
• Cutting edge battery companies looking to test their innovation in the field