The European Union (EU) Green Deal is the groundbreaking, revolutionary step to become the first climate-neutral organization worldwide by 2025. It is a commitment to boost the green economy and protect the environment through green technology. It creates a sustainable industry and transport and improves air, water, soil, and cutting down the pollution. As a result, the EU Green Deal is a plan to make the EU’s economy sustainable. In this article we will learn about how blockchain technology can save tress and the country.
But it is evident that how the policy changes are executed across 27 countries in a practical and result-driven way lies the real challenge. The critical question arises while tackling climate changes and managing natural habitats by implementing nature-based solutions as a part of the government policies.
Clearly, the new technologies play a crucial role in any part of these solutions. However, we will still have to hold on to see CO2-to-fuel and artificial photosynthesis rolling out to the mass market. Today it is not just about having the government’s support or billion-dollar investments backing the progress. Time plays a huge part in any solution - honestly, now it is difficult to beat the clock.
We are right at the eleventh hour, and therefore it’s time to consider alternative but intense solutions. The clean and most outstanding solutions are the gigantic trees! What if we protect also optimize trees using blockchain technology?
The most incredible opportunity lies in the middle of difficulty, we were told.
It is interesting to discover the opportunity with blockchain protecting trees and optimizing them.
- A Single Network for Forest Data
As a first step, to digitize the EU’s 182 million hectares of forest. If we can get the data on everything from forest inventories, animals to plants, to carbon capture - and secure the information on a private permission-ed blockchain technology.
The EU forest database would help improve sustainability, transparency, connectivity, and accessibility for all the member states. Thus this will help countries to measure the result of various experiments, innovations, and policies. Well, having the data on a blockchain network will save time and money for every country. Thus, no one will have to request or wait for information or reports from any countries.
Blockchain usage will help maintain transparency in the data, time-stamped and tamper-proof. Thus ensuring data protection concerning EU privacy will be on a decentralized platform where the individual forest owners will be able to see the data and provide access for the EU and others.
- Traceability and Transparency of Wood in Supply Chains
In the forest, illegal logging and other unfair trading are a significant concern. Formal paperwork has become a forgery, and people are being bribed to conduct illegal practices. Authorities can’t keep an eye on every move. As a result, these unlawful practices could cost billions to governments in terms of revenue and lead to environmental damage. This affects sustainable development. So better late than never!
Adapting blockchain technology could help enhance the data security, traceability in wood and other natural-resource supply chains. So, one can keep track and trace the timber audits in real-time.
- To Halt the Idea of Deforestation
The EU Green Deal and the European Biodiversity Strategy suggest that the EU protecting and restoring forests can stop biodiversity loss. But the protection and restoration of forests need financial incentives. This is when blockchain comes into reality.
As discussed earlier, if the forest-related data is digitized, it can help forest owners to discover new capital. Today we see blockchain-based new financial mechanisms to create real-world assets, forests included known as “digital twins.” These twins can stand similar to a security or a share on the financial markets. Thus, the investors and general public can invest in a forest.
Blockchain utilization will help investors rethink deforesting forest land for commercial purposes to raise money. Thus, saving the forests for us!
- A Cross-Border Investment Opportunity
Digitizing forests could potentially increase investment opportunities across the EU’s 447 million citizen population. This will allow individuals to support and invest in forests, choosing whichever they wish to support. It is known that global investors are seeking opportunities to support ESG initiatives.
Blockchain is known for transparency and trust, and this will be added advantage for forest data being stored on the blockchain network. This is an affordable and innovative way to get into forests and invest in them. The small and large-scale investors will be able to carry out sophisticated cross-border due diligence on a forest in real-time. All the data will remain accessible using a trusted portal via a smart device or a desktop.
This will be a tremendous cross-border investment opportunity for everyone, exclusively for smaller EU countries struggling to access international investment opportunities.
Forests play an important in helping to reduce greenhouse gas emissions.
“Over 40% of the EU is covered in forests, absorbing 417 million tonnes of CO2 equivalent, which corresponds to around 9% of total GHG emissions (4,450 million tonnes), compared to less than 7% (375 million tonnes) in 1990.”
A Courageous Move to Help EU
The EU Green Deal is a courageous and extraordinary step to achieve climate neutrality by 2050. But then beating the climate crisis and emergencies right now is a way big challenge. The European Forest Union, powered by blockchain technology, can help lead and resolve the problem soon.
Well, the EU already knows that trees play a vital role in reversing climate changes and achieving carbon neutrality by 2050. One universal and dedicated ecosystem that brings EU digital forest onto one platform benefits in several ways: cost-effectiveness, measures progress and ensures efficiency.
Blockchain on Top of All Provides Multiple Advantages
The blockchain-based platform provides privacy and security to the national data and presents a new way to preserve forests and tackle the climate crisis without increasing EU budgets.
The commission is positively considering the blockchain-based forest solution to forefront EU climate neutrality and achieve it by 2050.
It is predominantly a win-win situation for both, environment and the new-age technological innovations and possibly a good sign for European economic growth too.