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- 1 The platform can support energy trading, supply chain monitoring, and more.
- 2 COP28 host UAE will reportedly be making efforts to lower or possibly stop using oil.
Now blockchain technology has entered the fight against climate change. A United Arab Emirates (UAE) research center, the Technology Innovation Institute (TII), launched a carbon tracking and trading platform during the United Nations’ climate-focused event COP28.
Blockchain May Serve As a Digital Watchdog
The announcement notes that the move can “play a vital role in driving green investment and accelerating the road to net zero emissions.” It is designed by TII’s Cryptography Research Center (CRC). It is the first-ever platform to integrate blockchain technology for carbon trading.
Users can create and trade tokens that “represent a quantity of carbon dioxide that has been removed from the environment.” TII hopes the initiative will drive investment in carbon capture and forestation. Forests are a carbon sink and crucial to mitigate the risks arising from climate change. Their absence will only fasten the rise in global temperature, and sea levels eventually.
Additionally, the platform can support energy trading, supply chain monitoring, the creation of a transparent ledger for waste disposal, and more. According to Dr. Najwa Aaraj, Chief Researcher at TII’s Cryptography Research Center (CRC), “It protects the integrity of the transactions and the privacy of the user while ensuring auditability and transparency, making it a perfect tool for a new era of confident carbon trading.”
However, blockchain technology too, is involved in contributing to carbon footprint, primarily due to cryptocurrencies. Reports suggest digital assets like Bitcoin (BTC) consume as much energy as can power a nation such as Norway. Their underlying algorithm, Proof-of-Work (PoW) requires large banks of computers to mine the asset day and night.
It is not a significant contributor to carbon footprint from a global vantage point. Many sectors are trying the technology but it cannot be deemed as a mainstream advancement. Nonetheless, things may change after an ample several organizations have adopted it in the future.
COP28 host UAE will reportedly be making efforts to lower or possibly stop using oil. To many, this may come as a surprise given that the country has practically developed its economy using oil. Intergovernmental Panel on Climate Change’s Prof Jim Skea explains that nearly 60 percent of oil cut is needed alongside a decline in coal and natural gas to limit global temperature to 1.5 degrees Centigrade.
Kick Big Polluters Out, a global climate coalition reports that a record number of lobbyists were given access to COP28. About 2,456 fossil fuel lobbyists registered for the conference. Campaigners believe the participation of these lobbyists is “beyond justification” and highlights a possible fossil fuel agenda carried out by polluting industries.
The United States Climate Envoy John Kerry said the nation “will work with governments to speed up efforts to make nuclear fusion a new source of carbon-free energy,” according to the Associated Press, a news agency. He explains “We are edging ever-closer to a fusion-powered reality. And at the same time, yes, significant scientific and engineering challenges exist.”
Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.
