Web3 in the Battle against Climate Change | Transparency is Key
Blockchain | NFT | Token Economy for #climate
The Climate Challenge & Web 3
As temperatures continue to rise and extreme weather events become more frequent and intense, the devastating effects of climate change are becoming increasingly evident. Urgent action is needed to mitigate its impact while scientists and innovators alike are exploring various technologies and methods to do so. Among these, Web 3 and its components stand out as having great potential to scale solutions in the fight against climate change. Blockchain, Non-Fungible Tokens, and the concept of a Token Economy are three important elements of Web3, which we outline below.
Blockchain provides Transparency
Blockchain is a versatile technology, which has been already used in a wide range of applications. It is by far one of the most promising technologies that can securely and transparently record transactions and transfer value, especially if it is a permissionless, so-called public ledger.
An example for the application of Blockchain technology in Climate Action is the tracking of emissions: - The origin and properties of products, as well as data on projects that provide climate change solutions, can be efficiently recorded and verified. The risk of manipulations, fraud, or greenwashing is significantly reduced.
- Companies and individuals can track the carbon footprint emission of products and services along the supply chain, starting with the raw materials all the way to the finished product.
- People can track their own footprint, their cars’, flights’, as well as their contributions to fight climate change.
- Investors and climate advocates can keep track of their investments and contributions to projects that matter through the transparency this technology provides.
NFT | Non-Fungible Tokens as Digital Ownership Rights
Non-Fungible Tokens are specific Tokens that represent unique physical or digital assets. Since NFTs can be traded, bought, and sold, they can also be used to represent carbon credits.