8 Nov · 4 min read
Combating climate change brings us multiple challenges that just keeps growing with the evolution of technology. And the way tech solutions are developed to fight environmental issues is in the public eye for all good reasons. However, the world has not become successful in overcoming global warming yet. The main concern is that we all might know what can be done to stop climate change but unfortunately, we do not know how to implement it to meet the agreed thresholds.
These days, blockchain is one such technology that can boost climate change. It is believed that blockchain has so much more potential than just being used in banking and payments. Technology can be used to overcome major environmental challenges that we are facing today. Here’s how blockchain can be a game changer in combatting climate change:
1) Supply Chain
Blockchain can be used for supply chain management by ensuring transparency. It holds the capability to connect stakeholders in the global supply chain right from workers in NGOs to investors and regulators under one platform. The technology can also be used to track the end-to-end progress of the products right from manufacturing until final delivery. Following a systematic approach using blockchain will help customers make informed decisions by making more environmentally friendly choices. For e.g.: Food Trax is a blockchain-driven solution offering Farm to Fork traceability solutions to make the supply chain more transparent resulting in a better customer experience.
2) Renewable Resource Management
Ensuring sustainable conservation of energy is one of the top concerns that require appropriate solutions not just in the crypto industry but also in other industries as well. With the hype surrounding blockchain, a lot of efforts are being made to preserve the energy associated with crypto assets. Technology has the power to crowdsource large amounts of wasted energy to ensure its successful distribution among other users without letting it go waste. This will serve as a game changer for systems to make better decisions about the mindful allocation of resources. For e.g.- Electric Chain, is a decentralized blockchain app with the aim to verify and publish the data generated using the Solar Coin Blockchain or any other blockchain technology.
3) Smart Contracts
Another solution to combat climate change is the utilization of smart contracts through blockchain technology. Smart contracts have the full potential to build completely automated solutions that can pave the way for businesses, people, and governance bodies to take smart decisions. With their sustainable efforts, they can generate enhanced solutions such as crop insurance, regenerative carbon offsetting, etc. Taking such steps will help fulfil climate commitments and flourish the ecosystem while striking a balance between global climate programs and individual climate actions. In fact, the smart contract is a great source of promoting green initiatives worldwide.
Companies such as Brooklyn Microgrid are using smart contracts to support local energy production and pioneering the way in which we purchase and sell energy. The platform connects the people in New York City who own solar panels with the ones who wish to purchase local solar energy. As a result, it will lead to a reduction of transportation energy costs as well as greenhouse gas emissions.
4) Automate Disaster Relief Preparation
Disaster relief can of huge relief with the use of blockchain technology. It can be termed as a perfect solution not just to find out inefficiencies, and frauds but also to save human lives. Multiple blockchain-driven solutions can make disaster preparedness look seamless. The technology can provide an immutable network to collaborate and communicate for all disaster relief-related efforts. A single and shared blockchain-based network can provide relief to governance bodies to carry out their relief operation smoothly to exchange necessary information and carry out action tracking.
With everything discussed above, you must have already witnessed the real potential of blockchain technology. When preserved appropriately, it has the power to produce more decentralized solutions that can act as a game changer in combatting climate change. It holds the true capacity to empower responsible communities in the early stage of exploration without unnecessary denial. All we need to do is to change our minds for good to get the best out of blockchain as a top solution for utilization in the environment and energy sector. We need to look beyond cryptocurrency as blockchain is one such promising technology that can combat climate concerns belonging to other industries as well.