Overview Match Settle Deliver

How a Kilowatt Moves

Tiny-Hub replaces the monopoly grid's routing logic with a three-step protocol that keeps power local, settles in real time, and delivers over the wire that's already there. No new infrastructure. No permission from the utility. Just better math.

01
Match
→
02
Settle
→
03
Deliver

Basic Flow Overview

A rooftop generates surplus solar. The matching engine finds the nearest buyer. The trade settles on Arbitrum L2 in a 5-minute batch. The electrons flow over the existing ComEd or Ameren wire. The neighborhood keeps the profit.

Click the tabs above to see how each step works.

Match

Every 5 minutes, the matching engine scans all active sellers and buyers in the district. Sellers are ranked by surplus output (driven by real-time solar irradiance). Buyers are ranked by demand. The engine pairs them using proximity-first matching: the closest seller to each buyer wins.

This isn't theoretical. The engine runs against a digital twin of McHenry County (ComEd / PJM territory) with over a thousand real buildings mapped with lat/lng coordinates and solar capacity data.

Distance is an economic penalty. Closer trades lose less energy to line loss and avoid macro-grid tolls entirely.
Spatial Database
PostGIS proximity queries match sellers to buyers inside tight zones (under 5 km). Every building has real coordinates. Every trade has a measured distance.
Real-Time Solar
Open-Meteo provides live Direct Normal Irradiance (DNI) for the district. Each seller's output is calculated from their actual panel count scaled by current sunlight conditions.
Three Matching Modes
Proximity-first (closest wins), price-priority (cheapest wins), or pro-rata (proportional allocation). The engine switches modes based on market conditions.
Fraud Detection
Physics-based verification cross-references claimed solar output against roof size and live irradiance. Spoofed production gets auto-slashed before settlement.
Tick Rate5 minutes ProximityUnder 5 km preferred, up to 50 km fallback Line Loss5% local distribution, scaled by distance Data SourceOpen-Meteo DNI + PJM LMP (live)

Settle

Matched trades don't settle one at a time. They batch-aggregate off-chain in 5-minute windows, then settle as a single transaction on Arbitrum L2. This is optimistic settlement: trades clear immediately based on live inverter telemetry, and the utility's delayed Green Button data becomes a trailing audit, not a blocker.

The result: roughly 95% gas savings compared to settling each trade individually on-chain, and a settlement speed that actually matches the physical grid.

If the physics is fast, the money has to move fast.
Batch Aggregation
100+ trades compress into a single on-chain transaction every 5 minutes. Gas cost per trade drops to fractions of a cent. Economically viable at any scale.
Arbitrum L2
TinyHubMarket and TinyHubToken smart contracts deployed on Arbitrum Sepolia. Sub-second finality, Ethereum security, negligible gas. ERC-20 THN token: 1 THN = 1 MWh.
Green Button True-Up
Utility meter data arrives 24-48 hours late via Green Button API. Instead of waiting, we settle optimistically and reconcile later. Drift gets auto-slashed. The utility data is verification, not the trigger.
Account Abstraction
ERC-4337 via managed Pimlico/Biconomy. Users never see a wallet, never pay gas, never know they're on a blockchain. The Web3 is invisible.
ChainArbitrum L2 (Sepolia testnet, mainnet pending) Gas Savings~95% vs per-trade settlement SettlementOptimistic, 5-minute batch windows TokenTHN (ERC-20), 1 THN = 1 MWh

Deliver

The electrons move over the existing wire. ComEd or Ameren's distribution infrastructure carries the power from seller to buyer exactly the way it always has. We don't build new lines. We don't ask the utility for permission. We route around their pricing model while using their physical infrastructure.

The legal basis: FERC Order 2222 establishes federal preemption for distributed energy resource aggregators. Tiny-Hub positions as a federally protected Demand Response Optimizer, which overrides state-level ICC jurisdiction on interstate grid operations. This is a structural legal moat, not just a memo.

We didn't build new wire. We built better routing for the wire that's already there.
Hardware Agnostic
$35 CT clamps (Shelly EM / Emporia Vue via MQTT) plug directly into the breaker box. No OEM dependency. No API rate limits. The sensor layer is physically uncensorable.
LCOS-Aware Dispatch
Home batteries never discharge unless the local profit exceeds the $15/MWh hardware degradation cost. We don't sacrifice user equipment to prop up the utility. We optimize it to generate yield.
FERC 2222 Shield
Federal preemption overrides state utility commission jurisdiction. Tiny-Hub operates as a protected DER aggregator. The legal framework exists. We're using it.
Grid Tolls
ComEd charges $0.02/kWh, Ameren charges $0.025/kWh for wheeling. By keeping trades local (under 5 km), most power never touches the macro-grid and the toll doesn't apply.
WireExisting ComEd / Ameren distribution LegalFERC Order 2222 federal preemption Hardware$35 CT clamps, MQTT, hardware-agnostic BatteryLCOS-aware, $15/MWh degradation floor