Environmental problems have become a serious concern in today’s world. Be it climate change, ozone depletion, or pollution, if we start talking about the environmental crisis, the list could go long! Speaking of which, did you know how can blockchain solve the environmental crises?
Although governments and specialized agencies are looking through it, any technology that helps out to control these concerns isn’t worth missing! From recycling to non-profit donations, it can play a crucial role in various environment-oriented things! Wondering how? Read through:
How Can Blockchain Solve the Environmental Crisis?
Here are some ways through which blockchain can solve the environmental crises:
Sustainable Supply Chain Practices
Blockchain technology can maintain transparency in the supply chain by tracking and preventing any waste during the manufacturing process. It can guide the consumers through the production and shipment methods of the products. That way, it will become much easier for the buyers to know whether they are making eco-friendly decisions or not.
Better Transparency
In 2020, the earth’s surface temperature was 0.98 degrees Celsius more than the 20th-century average. This signifies a common and important environmental concern called climate change. Problems like climate change require accurate information for coordinated action. But, being a global concern, it also leads to various fake news and misinformation.
So, it’s important to be careful about the same. For example, no two stakeholders must claim carbon credits for similar carbon-offsetting activities. Else, there will be an ownership issue!
The best way to combat such an issue is to opt for ownership verification. Such strategies will be much more reasonable. Blockchain can also be a useful technology in integration with IoT devices. It can help to know about any carbon-offsetting activities and provide new information sources. So, this is an important answer to how can blockchain solve environmental crises.
Non-Profit Donations
When you donate money for an environmental cause, you have the right to know how it’s being used. Whether it’s used for a good cause or it fell prey to any corruption, it’s important to be aware of the same.
Keeping the possibilities in mind, blockchain technology can ensure that such corruption does not take place. Blockchain money could be transferred automatically to the correct party to avoid any fraudulence in between.
Additionally, blockchain’s benefit of transferring funds without bank accounts can be useful for countries with no bank infrastructure. It can cut down the hassle of money transfer to the centralized authority and ensure that the money gets transferred to the receiver themselves. This means anyone can make donations around the world. Presently, the environmental and animal charitable trusts saw an increase of 7.2% to $11.83 billion, which is 3% of all donations.
Effective Sustainability Evaluation
Blockchain can also help with better evaluation and reporting of sustainability in the coming future. It can help the companies to control and enhance their performance. Also, it can encourage investors to make knowledgeable decisions. Smart contracts can ensure automatic data collection and management.
By combining blockchain and greenhouse gas accounting, people are likely to see effective carbon taxation. That’s because such mechanisms depend on accurate/reliable GHG emission data and blockchain can offer the same.
Conclusion
So that was all about the benefits of blockchain for the environmental crisis. Other than that, blockchain can also be used in other environmental domains like wildlife protection programs. It’s a power-packed technology that can help the environment to improve with time.
