Abstract: The National Development and Reform Commission & the National Energy Administration and the National Energy Administration have successively pointed out that it is necessary to liberalize electricity generation plans for operating power link users, support the small and medium- sized users in participating in market-based transactions, and improve the pricing mechanism. The state and government have promoted the in-depth reform of China's power trading market from the administrative guidance level, and the research on power trading based on blockchain has ushered in a vast market opportunity. As an emerging technology, blockchain is characterized by distribution, transparent and tamper-proof, which provides a new set of commercial solutions for the society and the market. Based on the blockchain technology, this paper discusses the application research of distributed transaction mode to power trading industry, market, producer, consumer and related service industry. Firstly, it reviewed the market demand and industry status of power trading. After that, it analyzed the main direction of the blockchain innovation in the power trade, and discussed the architecture design, power trading scenario application, blockchain performance improvement research and auction mechanism. Finally, through literature review and studies on more than one hundred implementation cases of blockchain power trading systems, the challenges and application prospects of blockchain technology in the power trading industry were analyzed, aiming at making some contribution to the following researchers.