Dfinity founder says blockchain can bolster efforts to fight climate change - Cointelegraph
Dfinity founder says blockchain can bolster efforts to fight climate change
Dominic Williams, founder and chief scientist at Dfinity, says blockchain technology and its decentralized, trustless nature give it a unique ability to assist in the fight against climate change.
Williams told Cointelegraph there are three ways in which blockchain can address climate challenges. Blockchain networks can support the creation of trustless infrastructure that offers incentives for climate action, increases efficiency and provides an alternative to traditional information technology, which has a “huge carbon footprint.”
ICYMI:— Internet Computer (@ICPinfinite)
#ICP will be a part of Voluntary Recycling Credits (VRC)
This is the first ever global standard to incentivize multi-material recycling ♻️ #ICP is being adopted by global institutions as we watch pic.twitter.com/c1buH2buS7 December 9, 2023
As an example of how blockchain can be used for the environment, Williams highlighted the Voluntary Recycling Credits (VRC) initiative. VRC is an incentive system to counteract the solid waste footprint. The platform was recently presented at the COP28 summit and is built on the Internet Computer (ICP) network. Williams said:
“The VRC runs on the Internet Computer in its entirety. That is, it is fully on-chain and has no dependencies on traditional tech like cloud services. This means there are no backdoors or gatekeepers, and its international participants, who mint and purchase recycling credits, can absolutely trust what they see.”
According to Williams, blockchain networks like the ICP provide trustless infrastructure that eliminates third parties and allows for secure and transparent data verification. “This can be leveraged to ensure proper recycling and handling of waste materials by tracking them from origin to destination,” he added.
Related: COP28: Blockchain projects make push to decentralize climate markets
In the case of the Voluntary Recycling Credits exchange, the ICP powers auditable and secure transactions between waste offsetters and recycling companies. With this, waste producers and recyclers can “trust the veracity of the credits they purchase, sell or trade.
Williams noted that the “ICP guarantees the VRC operates in a transparent and tamper-proof manner.” The executive told Cointelegraph that credits that are minted and sold are auditable and secure records of recycling credits and transactions.
Magazine: Real AI use cases in crypto: Crypto-based AI markets, and AI financial analysis
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”