The Cryptographic Research Center of Technology Innovation Institute (TII), an Abu Dhabi-based research institution affiliated with the country’s government, developed and brought forward a blockchain technology-driven innovative carbon tracking and trading platform in Dubai on December 7, 2023.
Citing an increased determined goal to combat climate change, the announcement was made at the United Nations Climate Change Conference (COP28) on December 5, commensurate with efforts by the United Arab Emirates to reduce emissions and meet net-zero goals.
Green Innovation Showcase
The TII-developed blockchain technology allows for the international traceability of carbon tokens representing investments in afforestation and carbon capture in the pursuit of eco-friendly projects. TII technology move is by the UAE Vision 2021, an inclusive developmental plan aimed at strengthening the entire nation’s economy and making the environment sustainable for living life with quality.
Our Cryptography Research Center (CRC) today launched its very own blockchain-powered carbon trading platform to facilitate international trade in carbon tokens. pic.twitter.com/0ablTqxfbY
— Technology Innovation Institute (@TIIuae) December 5, 2023
On December 5, the Technology Innovation Institute’s Cryptographic Research Center announced that it had built the platform. Therefore, users can generate tokens denoting the number and amount of carbon dioxide removed from the environment, facilitating a transparent monitoring and quantifying system across the supply chain.
Furthermore, the versatile applications of the blockchain include peer-to-peer energy trading, tracking waste disposal, monitoring recycling activities, and managing forestry efforts. TII especially noted a role for auditors in keeping the platform transparent and secure. Ray O. Johnson, the CEO, expressed pride in the digitized platform for tracking and trading. He noted that it marked a significant step toward the UAE’s goal of becoming a global technology and innovation leader. He said,
“We are proud to announce this digitized tracking and trading platform at COP28 representing UAE’s drive to be the technology powerhouse and hub of innovation and commitment to lead the world’s climate action agenda.”
Transparent Carbon Trading for a Sustainable Future
TII chose a lightweight, efficient blockchain implementation that abolished computational waste. Furthermore, this design ensures that trading on the system can occur with minimal or no charges. Aligns with current environmental awareness, promoting a cost-effective and eco-friendly approach.
Global trends in the blockchain space follow this, where technology is leveraging it for carbon credit creation and management. Other blockchain networks, including Solana and Ethereum, have also moved into calming concerns about energy consumption. Secondly, Ethereum will move to proof-of-stake in September 2022, reducing the current energy consumed by over 99.9%.
Meanwhile, other projects such as Power Ledger and Energy Web focus on decarbonization through blockchain. COP28, which started November 30 in Dubai, will run for two weeks until December 12. It will serve as an arena for nations and corporations to showcase their recently developed innovative solutions. This showcase is part of the collective effort in the fight against climate change.