The World Economic Forum (WEF) has established a Crypto Sustainability Coalition to investigate the capability of Web3 in tackling climate change.
In a statement, the WEF noted that blockchain tools would propel transparency in the worldwide carbon credits market, whereas crypto mining would trigger renewable microgrids through off-peak demand and decentralization.
Since the adoption of technologies like non-fungible tokens (NFTs), blockchains, and cryptocurrencies in Web 3.0, members of the coalition will find out how they can boost social and environmental agendas.
The coalition also seeks regulatory clarity that enhances Web3 innovation, propels financial inclusion, and protects consumers.
Brynly Llyr, World Economic Forum’s head of blockchain and digital assets, noted:
“I am excited about the work we are expecting from the Crypto Sustainability Coalition. An important and unique aspect of web3 is that it uses technology to support and reward direct community engagement and action.”
Llyr added:
“This means we can coordinate the work of many individuals directly with one another, enabling collective action without centralized control – a powerful accelerator for grass roots action.”
The Crypto Sustainability Coalition consist of 30 partners hosted by the WEF as a public-private initiative. Its primary areas of concern include Web3’s potential for climate action, energy usage, and “on-chain” carbon credits.
Some partners include Solana, Circle, NEAR Foundation, PlanetWatch, University of Lisbon, eToro, Crypto Council for Innovation, and Sustainable Bitcoin Standard.
Moreover, the coalition will come up with best practices and tangible action on how Web3 technologies can positively impact communities most affected by climate change. The report noted:
“The coalition’s wider aim is to foster a broad education campaign on what Web3’s potential and capacity look like, to better inform governments on how they regulate these technologies and incentivize investment and research into their development.”
Meanwhile, a report by Chainlink Labs and Tecnalia noted that blockchain technology could help fight the climate crisis through smart contracts, Blockchain.News reported.
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