- VeChainThor’s On-Chain Sustainability Proofs allow businesses to track and report environmental metrics.
- This system improves the accuracy of sustainability reporting and helps businesses meet emerging regulations.
VeChainThor has introduced a new concept in sustainability and tokenization with its On-Chain Sustainability Proofs, as reported on X by VeChain Communications Lead and Community Advocate Jake. This system helps developers, applications, and businesses quantify and report on resources conserved, costs offset, and CO2 reductions.
Hidden within the code below is the key to onboarding trillion+ $ sustainability/tokenization markets: On-Chain Sustainability Proofs.
Using these proofs, builders, apps and businesses can measure and report whatever metric they might want to – eg: resource savings/cost… pic.twitter.com/56Mkv4uZCP
— Jake | VeChain ⓥ (@solomon_grundle) August 8, 2024
These metrics are useful not only for environmental disclosures but also from an economic perspective. By leveraging blockchain technology, VeChainThor aims to create a “sustainability TVL” (Total Value Locked) that reflects real-world impact and economic value derived from user activities.
On-Chain Sustainability Proofs Transform Blockchain Applications
The use of On-Chain Sustainability Proofs is a new approach to the application of blockchain technology to solve real-world challenges. Such systems can also pose challenges with respect to measuring and rewarding sustainability, thus making such efforts go unmeasured or unrewarded.
VeChainThor’s approach to solving these challenges is to offer a way to record sustainability metrics on the blockchain in a transparent manner. This way, not only does the accuracy of sustainability reporting increase, but new ways of putting a price tag on sustainability are also created.
Among the main benefits of VeChainThor’s On-Chain Sustainability Proofs, as pointed out by Jake, it is possible to highlight its compliance with the emerging regulation needs. With the increasing emphasis on environmental concerns and sustainability by the governments and regulatory authorities in the EU, the US, and other parts of the world, companies are under pressure to adhere to these norms.
VeChainThor, with the help of VeBetterDAO, solves this problem by tokenizing sustainability-related cost savings and reductions on the blockchain. This tokenization helps ensure compliance with the regulations and offers a transparent and accountable record of sustainability performance.
As highlighted in our previous article, VeChain has partnered with the Crypto Carbon Ratings Institute (CCRI) in order to ensure compliance with the MiCA regulations, which are to be implemented in Europe. This partnership is crucial in advancing the sustainability of blockchain and increasing the transparency of the crypto industry.
The partnership focuses on meeting the sustainability standards stipulated under the MiCA regulations that are critical to the adoption of digital assets within the European Union. According to data, VeChain (VET) is currently trading at $0.02377, with an increase of 2.31% in the past day and a slight increase of 1.23% in the past week.
VeChain Partners With Several Institutions to Ensure Sustainability
Additionally, in the recent past, Vechain has partnered with several institutions to harness On-Chain Sustainability. VeSwap recently announced a collaboration with GreenCart, which is dedicated to the development of the VeChain ecosystem via the encouragement of sustainable assets and environmentally friendly finance. Through this partnership, GreenCart’s solutions will be incorporated into VeSwap’s platform to improve the network’s sustainability.
Furthermore, VeBetterDAO submitted its first-ever proposal to increase transparency in the distribution and usage of B3TR tokens across the VeChain ecosystem. The initiative, as discussed in the previous article, is focused on combating climate change through the production of biochar from agricultural waste.
