Using lithium-ion batteries for stationary storage is interesting because their original advantage was all about light weight (lithium is the lightest metal element). Now, it seems the development effort devoted to lithium-ion has paid off so well that they are the best OVERALL battery solution. The single-minded effort we put into cell phones and cars is so strong that it now reaches all the way to homes and the gri…
Don't lithium-ion batteries degrade extremely quickly, though? Won't these all be down to half capacity or so within a decade? Is it really worth investing in gargantuan quantities of energy storage if they need to be replaced every few years? I'd be eyeing EDLC technologies or something like molten salts over giant stationary phone/laptop/car/etc batteries.
An li-ion battery will do about 500 discharge cycles from 0-100. They'll do several thousand from 20-80, and tens of thousands cycles from 30-70%. If you have a few days of storage, the battery as a whole will last an incredibly long time even when cycled every day.
As for why: When the battery is kept at a high or low voltage, it puts an overpotential on one side or the other of the battery. There's more or less lithium on one side of the battery and it tries to diffuse across the battery very slowly. It never makes it to the other side and reacts with the electrolyte and is lost, reducing capacity.
The closer it is to 50%, the less lithium is pulled/pushed out into the electrolyte.