How can "blockchain" handle "climate change" ?

In addition to being a driving force for innovation, the blockchain's advantages, such as transparency and verifiability, can be applied to environmental issues to address climate change. 

How can blockchain technology handle global warming? 

Climate change is becoming more severe and can be clearly seen in rising temperatures or quickly melting ice caps, so it is urgent to take precautions against it. Many technologies and approaches have been studied and applied. One of the options is "blockchain," which has the potential to stop climate change. 

The foundation of blockchain is a decentralized ledger that can securely and openly record transactions and store data. The possibility of using blockchain to combat climate change, however, is still being discovered and researched. 

Some examples of blockchain applications used to fight climate change will be provided in this article. 

“Oracle.” A vital system for connecting the work of environmental preservation and bringing real-world data to "blockchain." 

Before Oracle came into existence, the development of green smart contracts had to deal with the issue of blockchain's inability to respond to or translate real-world data, including environmental data. But a few years ago, the "Oracle" platform, which can translate real-world data to the blockchain, became more prepared for the application. 

Today, for example, Oracle is directly distributing agricultural data to the blockchain, providing developers with the opportunity to design applications for agricultural products, soil quality, carbon offsetting, climate reports, and many other things. 

Environmental data sets are added to the blockchain, including climate types and IoT sensors (Internet of Things), which encourages developers to create more diverse agricultural applications. The following are some usage examples. 

The use of blockchain in regenerative agriculture for soil restoration 

Another way to enable smart contracts to help people handle climate change in their daily lives is through regenerative agriculture. This also includes efforts to persuade local communities all over the world to reduce greenhouse gas emissions through the sustainable use of soil, which typically combines planting and preservation. 

Smart contracts can link to and react to data from the real world, allowing them to automatically reward these important soil stewards. For example, the Green World Campaign and Cornell University developed smart contracts that use satellite data to reward people who successfully create green space by improving the soil, planting more trees, and many other methods. Oracle must retrieve satellite images and send them to blockchain-based smart contracts in order to reward them. This can ensure that winners receive rewards in a transparent and equitable manner. 

Credit: Chainlink Labs

Blockchain creates and manages carbon credit  

By effectively and transparently creating and managing carbon credits, blockchain aids in the fight against climate change. When using blockchain, every carbon credit transaction can be verified in real time, and data files are stored in the decentralized ledger. This can deter embezzlement and build confidence in the use of carbon credits for their intended purposes. 

"Carbon credit" is similar to a trading license or the right that results from reducing the emission of carbon dioxide or other greenhouse gases according to set criteria. The amount of money or credit you receive will depend on how few gases you release. This credit can also be exchanged in the carbon credit market. For example, a company that cares about the environment might sell carbon credits as restitution to another company that produces excessive amounts of greenhouse gases. The seller will then be able to get funding to continue environmentally friendly business development. 

Blockchain supports the use of renewable energy 

Blockchain technology can be used to support the use of renewable energy in addition to building a decentralized energy infrastructure, especially when no centralized institutions are providing support. By utilizing the decentralized energy system, blockchain enables direct trade in renewable energy between individuals and businesses. This approach can support the use of renewable energy sources like solar or wind energy and can reduce reliance on fossil fuels. 


Credit: Ricoh.com

Blockchain manages the supply chain 

Blockchain can also be used to handle climate change in the supply chain management sector. By using blockchain to detect and pursue the carbon footprint of the products and other elements throughout the supply chain, businesses have the opportunity to lower their carbon footprint and make more sustainable decisions. As a result, encouraging sustainable production and consumption practices can help reduce greenhouse gas emissions. 

Blockchain, and the tracking and reporting of carbon emission 

Carbon emissions from any source, including vehicles, construction projects, and businesses, can be measured and reported using blockchain technology. By using the decentralized ledger to track progress, governments and organizations can more accurately measure and report emissions as well as monitor the reduction of pollution emission levels as intended. 

The challenge of applying blockchain to reduce carbon emission 

Due to the requirement for standard rules and system compatibility, applying blockchain technology to handle climate change still faces challenges and limitations. In order to effectively manage carbon credits and track gas emissions, blockchain needs a set of comparable rules and protocols where all the stakeholders can come to an agreement. 

The difficulty is also brought on by the scalability of blockchain technology. Many blockchain networks still have limited storage capacity and transaction processing capabilities today. The bottleneck could develop if the use of blockchain for handling carbon credits and tracking pollution emissions becomes more widespread. 

There is also a problem with blockchain energy. Because blockchain transactions require a lot of power, their application to some environmental support may not be appropriate or balanced. 

Overview of blockchain application to save the world 

The increased use of smart contracts indicates that the potential of blockchain technology extends beyond just decentralized finance. A new era of smart contracts is emerging as a result of Oracle and blockchain integration, which can produce new innovations for consumer sustainability, particularly in response to the intensifying effects of climate change. The environmental impact of every industry's project must be made clear. 

Although blockchain is still in its early stages in terms of recognition and development, it has a good chance of being applied to combating future global warming. By enhancing transparency, efficacy, and verifiability for carbon emission supervision and by encouraging sustainable methods, blockchain can accelerate economic change to reduce carbon emissions. 

In order to successfully address climate change, blockchain must overcome challenges and limitations. It also requires the integration of technologies and solutions to deal with the complex and urgent issue of climate change. 

Source:

https://www.weforum.org/agenda/2021/06/blockchain-can-help-us-beat-climate-change-heres-how/

https://cointelegraph.com/news/can-blockchain-help-combat-climate-change
https://www.unep.org/news-and-stories/story/battle-against-climate-crisis-dont-overlook-blockchain