Juan Miguel Perez CEO and co-founder of Finboot, a Spanish blockchain software firm, said in a blog post that corporations that advocate responsibilities for Environmental, Social and Governance (ESG) initiatives should adopt blockchain technology.
According to Perez, companies must obtain quantitative metrics to communicate the achievements of ESG initiatives that verify their progress and authenticate what they say. That is where technology for blockchain comes in.
But introducing traceability into ESG policies is not as easy as they appear, says the Finboot CEO, as such implementation involves complicated supply chains.
“In the face of this significant challenge, embracing technology is crucial if businesses are to prove they’ve delivered on their initiatives. And which of the many digital technologies available should we look to when it comes to measuring sustainability goals? Blockchain.”
Blockchain a Trustworthy Technology for ESG
Perez says it’s an “outstanding” technology for tracing industrial processes thanks to blockchain’s handling of the transparency and trust issues that ESG initiatives face.
Perez adds the following:
“By using blockchain to verify transparency in a way that no other digital technology can, businesses will dramatically improve their sustainability credentials and reporting procedures.”
Repsol, the global energy company, became an example in the article of a company currently implementing blockchain technology to digitize part of its subsequent supply chain.
According to Finboot’s CEO, Repsol can track assets like polyethylene from production on to the plastic container being manufactured, thanks to blockchain.
As for the 2020 projections, Perez expects to see many blockchain applications on the market that will allow cohesion with ESG’s goals.
Cryptolydian reported earlier that,
Verizon Business has announced the inclusion of new security services using blockchain-based technology, including two new administration and identity access systems.