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Applications of zero-knowledge proofs for verifying optimization computations based on LEM technical data
(Zastosowania dowodów wiedzy zerowej do uwierzytelniania obliczeń optymalizacyjnych na lokalnych rynkach energii LEM)
 
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WUT, Poland
 
These authors had equal contribution to this work
 
 
Submission date: 2025-12-10
 
 
Acceptance date: 2025-12-22
 
 
Publication date: 2025-12-23
 
 
Corresponding author
Izabela Zoltowska   

WUT, Poland
 
 
Cybersecurity and Law 2025;14(2):324-335
 
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ABSTRACT
Objectives:
A Local Energy Market (LEM) is a key element in the energy sector's transition toward a decentralized system, facilitating the integration of an increasing number of small-scale generation sources and energy storage units located at the premises of end-users. By utilizing digital energy-trading platforms provided by LEMs, small-scale consumers, producers, and prosumers can actively participate in balancing the system, which, among other benefits, increases their earnings and energy independence. The efficiency of energy exchange processes within an LEM is achieved through optimization methods that rely on sensitive participant data, such as energy consumption profiles. Consequently, ensuring privacy—while simultaneously maintaining trust in the resulting optimal quantitative and financial outcomes - is of critical importance. Blockchain, a technology commonly used in decentralized systems, fails to provide sufficient scalability when transactions arise from the solution to an optimization problem. In this article, we analyze the potential for authenticating decentralized optimization computations through the use of cryptographic Zero-Knowledge Proof (ZKP) technology.

Methods:
We explain how ZKPs (Zero-Knowledge Proofs) can support privacy and enable the verification of computational correctness without the need to directly repeat the calculations, drawing on existing ZKP implementations on the LEM platform. We also highlight barriers stemming from high computational costs, which prevent the execution of complex optimization algorithms directly within ZKP protocols.

Results:
We also present an approach that integrates ZKPs (Zero-Knowledge Proofs) with certificates of optimality, which holds significant potential for mitigating implementation challenges and enhancing the efficiency of verifying optimization computations on an LEM (Local Energy Market).

Conclusions:
This article aims to initiate a discussion on new, more scalable methods for building trust within decentralized LEM balancing systems.
eISSN:3072-0532
ISSN:2658-1493
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