Opinion articles present diverse opinions and do not represent the position of (WEB3+)

Net zero emissions by 2050 a global goal

Everyone is aware of climate change in recent years. Environmental issues that have been advocated by people and groups from all walks of life for many years have now been implemented and incorporated into national security policies by governments. "2050 Net Zero Emissions" has been set as a common goal for 130 countries around the world. Policy amendments and the "General Description of Taiwan's 2050 Net-Zero Emission Path and Strategy" announced two years ago have established the country's future implementation direction on this issue.

Among the 12 key strategies, green finance has also been included. For example, the green finance action plan proposed by the Financial Supervisory Commission, from 1.0, 2.0, 3.0 to the recently announced green and transformation finance action plan, all pointed out that through financial market forces, As enterprises pay attention to the importance of net-zero transformation and responding to climate change, many industries are also exploring the efficient and immutable data exchange characteristics of blockchain to build a future green supply chain financial service platform.

Can blockchain financial innovation succeed in sustainability issues?

Today's companies are gradually weighing ESG (environmental protection, social responsibility, corporate governance) and corporate profits before promoting products and services. How to match financial services to achieve goals and ensure the common prosperity and development of the entire society and even the earth is to make green Finance has become the main reason for innovation in the financial industry in recent years.

Blockchain has been used in data exchange pilot projects in the financial industry for many years. Why is ESG more suitable?

Upgrading traditional financial systems is often time-consuming, and a large amount of old data is difficult to transfer and redefine operating models. The risk of the relatively conservative and rigorous financial industry rashly trying blockchain is too high; however, product carbon footprints and corporate environmental data assessments are brand-new data category, and involves cross-domain data exchange, allowing blockchain technology with data transparency, transaction efficiency, and trust mechanisms to penetrate enterprises with less friction and give full play to its advantages.

Supply chain finance is also one of the development fields of green finance. The greenhouse gases produced by a product and service from raw materials, procurement, manufacturing, packaging, transportation and even use and recycling will cause a lot of harm to the global environment. If banking institutions can Financing services between the above processes coupled with ESG standards can help companies move towards the goal of net-zero emissions.

The current green credit/perpetual loan amount has grown significantly with the promotion of financial institutions such as the Financial Supervisory Commission, but the carbon reduction effect has not yet been made transparent and effective. If we can clearly define the identification principles of green credit, sustainable performance-linked loans, social responsibility credit and other fund uses and review methods, and use blockchain and other technologies to transparently disclose and transmit information, we can achieve the goal of using finance to promote industrial carbon reduction. The best way.

Therefore, blockchain technology has been implemented in the fields of finance and supply chain on the issue of sustainable development. At this stage, there are relatively specific developments in the following two development directions:

  • Green supply chain traceability: The blockchain builds a data system for the supply chain and creates traceable records of raw materials, energy usage and emission data at each stage of the supply chain, thereby ensuring the environmental compliance of the entire supply chain and investing in People and financial institutions can evaluate whether a certain supply chain meets ESG standards, and reward companies that meet the standards with more favorable financing options, promoting companies to continue to incorporate sustainability concepts into production and manufacturing.

  • ESG sustainability report transparency and audit: If a company wants to meet ESG standards, it can put relevant data and reports on the chain. Through the blockchain system, it can be audited by a third party more efficiently, and at the same time, environmental protection data can be linked to carbon emission reduction. The progress is disclosed, providing investors or banks with reliable ESG data, allowing them to more accurately evaluate the environmental performance and sustainability of enterprises, and promote capital investment in enterprises with high environmental standards.

These pilot projects are also quietly carried out among the Taiwanese government, enterprises and new entrepreneurs. In addition to large enterprises with more resources to carry out internal reforms independently, government agencies also provide guidance through projects with fewer resources, but they account for 160% of Taiwan's economy. Thousands of small and medium-sized enterprises have joined in the introduction of ESG measures, such as the establishment of a supply chain financial service platform with innovators under the guidance of the Small, Medium and New Enterprises Agency of the Ministry of Economic Affairs.

If you want to know more, one of the six selected themes of the Blockchain Enthusiasts Annual Meeting is: "dESG: How decentralized technology can help green finance." Experts and industry experts will be invited to conduct in-depth case discussions on the above two aspects. Discover the new prospects of blockchain technology under the global wave.

Agenda and registration information:

The 9th Annual Blockchain Enthusiast Conference "Cross x Diversity"

🔶Annual meeting official website: https://www.chain.tw/9tbs
🔶Annual Meeting Date: 11/18 (Monday) 13:00 ~ 17:30｜11/19 (Tue) 09:00 ~ 17:30
🔶Annual Meeting Location: National Chengchi University Public Enterprise Center, 2nd Floor | 6th Floor | 7th Floor (No. 187, Jinhua Street, Da'an District, Taipei City)
🔶Registration website: https://www.accupass.com/go/9tbs

Opinion articles present diverse opinions and do not represent the position of (WEB3+)
Review editor: Li Pengrui

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