How blockchain technology can help solve Asia's need for green finance

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

Green finance, substantial gap, moving to leverage, accusations of greenwashing, climate change, emissions assessments

As the climate crisis worsens, governments and organisations are increasingly looking to green finance as a way to raise funds for sustainable projects and infrastructure.

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

Yet despite growing investment in the sector, green finance is stifled by inefficiencies and irregularities, preventing it from bridging the substantial gap in finance needed to address the environmental challenges facing the world. A new blockchain-based infrastructure has the potential to transform the system.

The urgency to channel more investment into green projects is particularly acute in Asia. Within Southeast Asia, the investment gap for sustainable infrastructure projects is estimated at US$200 billion annually until 2030. Mobilising capital investment is critical if the region is to meet its development goals.

Global Tech News Daily

In response, leaders in Asia are prioritising green finance in the hopes it can support their sustainable goals while at the same time helping them capitalise on a growing, innovative sector. Hong Kong is moving to leverage its international capital flows to grow into a regional carbon trading centre, while China’s central bank has made green finance a priority for its latest five-year plan.

Green finance, substantial gap, moving to leverage, accusations of greenwashing, climate change, emissions assessments

Global Tech News Daily

Commuters in Hong Kong’s Central district on January 27. The Hong Kong government is working with local financial regulators and the mainland Chinese authorities to assess the feasibility and policy support required for developing the city as a carbon trading centre for the Greater Bay Area and Asia as a whole. Photo: Bloomberg

However, after more than a decade of government-backed support and public attention, green finance is still not delivering the seismic changes needed to alter the climate’s trajectory.

Green finance is becoming increasingly sophisticated. As it becomes more complex, though, it becomes harder to trace the financial flows and ensure investment is reaching its desired destination. In addition, the impact of projects needs to be reported back through this network to ensure governments and investors are informed of the results.

Interoperability is also proving problematic as the definition of “green” is constantly evolving. As countries develop their own methods for classifying, measuring and reporting projects, green finance risks becoming a disjointed ecosystem of national projects that lack compatibility.

Recent accusations of greenwashing are damaging trust in the sector. Whether knowingly or through lack of due diligence, funds labelled as “green” have been shown to be anything but, increasing the level of scepticism around green finance.

Significant changes are needed to ensure stakeholders get the transparency needed to rebuild confidence in the sector. Blockchains – decentralised ledgers of data shared across a system that provide an immutable record of activity – can address data gaps and provide high-quality data when applied to green finance.

One of the main takeaways from last year’s UN climate change conference was a call for financial institutions to build emissions assessments into their investments. By incorporating basic sensors in infrastructure projects, blockchain systems can incorporate data from the monitoring and reporting process.

Pairing this data with a blockchain database can give bond issuers access to a traceable, transparent real-time audit trail that records the environmental impact of their investment.

Asia’s position at the fore of blockchain-based innovation, coupled with its need to turbocharge green finance, has resulted in a recent wave of activity aimed at embedding the technology into the green ecosystem.

In Hong Kong, the Bank for International Settlements Innovation Hub is using distributed ledger technology to explore the tokenisation of green bonds. Dubbed Project Genesis, the initiative uses blockchain technology, smart contracts and digital assets to enable investments in small denominations combined with real-time tracking of environmental outputs.

Digital technology embedded throughout the value chain cuts costs and time, resulting in a more efficient, traceable and transparent process. More funding reaches green projects and more impact is generated, providing strong results to report back to stakeholders.

Singapore is also leveraging its growing expertise in blockchain technology to enhance its position as a green finance hub. The Monetary Authority of Singapore has created a Regulatory Sandbox to provide a government-sanctioned space for companies to pilot tech-enabled green bond exchanges.

Change needs to happen fast if we are to mitigate the risks a changing climate presents. Blockchain technology has the potential to alleviate many of the challenges impeding green finance. By delivering transparency and traceability, the technology can help build trust in the sector and stimulate further investment.

Asia is already leading the change when it comes to innovation in this space. By backing pilots and being open to experimentation, governments have provided much-needed impetus.

The next challenge is encouraging adoption at scale throughout the sector to capitalise on their benefits and foster the international collaboration that is critical for interoperability across markets. Government support from a funding and regulatory perspective will be crucial if Asia is to reach its climate goals.

Indra Suppiah is the government relations lead for R3 in the Asia Pacific

News Related

OTHER NEWS

Philippe Coutinho's agent has already revealed his thoughts on Liverpool transfer return

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Araujo taken in ambulance after sickening clash of heads with Barcelona teammate Gavi

Barcelona defender Ronald Araujo was taken off the pitch in an ambulance during their match against Celta Vigo and rushed to hospital. The Uruguayan was involved in a sickening clash ... Read more »

Aston Villa vs Liverpool: Report and player ratings Sadio Mane gives Reds a Premier League title boost

A much-changed Liverpool side came from behind to win at Villa Park to keep the pressure on league leaders Manchester City Read more »

Liverpool vindicated Jurgen Klopp’s risky rotation policy by doing just enough to beat wasteful Aston Villa

Klopp demoted Mo Salah to the bench and Andy Robertson from the squad but Liverpool had enough to reserve to bounce back from Saturday’s disappointment Read more »

Gary Lineker offers solution to Coleen Rooney and Rebekah Vardy 'Wagatha Christie' case

Gary Lineker has offered a funny solution to the “Wagatha Christie” court case between Coleen Rooney and Rebekah Vardy. Coleen is being sued by Rebekah for libel at the High ... Read more »

FIFA chief Gianni Infantino announces plans to create football game to rival EA Sports

FIFA are planning to create their own football video game after it was announced their three-decade partnership with EA Sports is coming to an end. EA Sports have confirmed FIFA ... Read more »

Fabinho injury: Liverpool midfielder suffers suspected hamstring issue ahead of FA Cup final against Chelsea

The Brazilian pulled up as he sprinted after Philippe Coutinho and had to be replaced by Jordan Henderson at Villa Park Read more »

Man Utd youth coach assesses club's "exciting" kids and his own rise ahead of cup final

Justin Cochrane started his coaching career while a teenage player at QPR when he placed an advert in his local paper for juniors to teach. It didn’t make big news ... Read more »

One year on from football's social media blackout - what's changed?

More than one year on from the social media boycott aimed at tackling discrimination and vile abuse online has anything really changed? You'll remember that at the end of April ... Read more »

European transfer news: Real Madrid up stakes for Kylian Mbappe plus Casemiro exit

Real Madrid have long been linked with Paris Saint-Germain striker Kylian Mbappe and despite speculation the France star is set to sign a new contract with the Ligue 1 giants ... Read more »

Sadio Mane's 'childhood dream' comes to light as Liverpool star linked with summer exit

Sadio Mane 's dream destination has come to light amid links of a summer transfer to Bayern Munich. The Liverpool star is yet to sign a new contract with the ... Read more »

Jadon Sancho's Erling Haaland plea falls on deaf ears as he ignores Man Utd star's wishes

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Edu 'steps up' Arsenal transfer efforts for £17m Scotland star to replace Nuno Tavares

Arsenal have reportedly stepped up their attempts to sign Scotland star Aaron Hickey as a replacement for Nuno Tavares. After laying out the Gunners' transfer plans, technical director Edu is ... Read more »

Newcastle prepare summer transfer cull with as many as 10 stars 'facing axe'

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

5 Man City casualties from Erling Haaland transfer including brand new signing

The sight of Erling Haaland arriving at Manchester City will send tremors of terror throughout the Premier League – and perhaps to his team-mates as well – as the champions ... Read more »

Chelsea ace Antonio Rudiger signs Real Madrid contract with huge release clause

Chelsea defender Antonio Rudiger has now penned a bumper pre-contract agreement with Real Madrid to bring his five-year stint at Stamford Bridge to an end, according to a new report. ... Read more »

Ole Gunnar Solskjaer was spot on about Erling Haaland after revealing thoughts on Man Utd

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Fifth senior Man Utd figure leaves club as chief strategy officer exits in reshuffle

Manchester United have told their employees chief strategy officer Hemen Tseayo is stepping down from his position. A new era began at Old Trafford in February when Richard Arnold became ... Read more »

7 flops who cost more than Erling Haaland after bargain Man City transfer announced

The capture of Erling Haaland has sent pulses racing amongst Manchester City fans as the Premier League prepares to welcome the Norwegian hot-shot. The champions have agreed a £51million deal ... Read more »

Arsenal desperate to prevent Eddie Nketiah exit with six Premier League rivals keen

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Pep Guardiola reacts to uproar over Liverpool comments after Jurgen Klopp response

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Brighton starlet attracting transfer attention days after returning from loan

Highly-rated Brighton goalkeeper Carl Rushworth is back training with the Premier League club after his loan at Walsall ended. Rushworth made 43 appearances for Walsall keeping 11 clean sheets for ... Read more »

Lazio president responds to Man Utd's transfer 'interest' in Sergej Milinkovic-Savic

Lazio president Claudio Lotito insists Sergej Milinkovic-Savic is not for sale amid rumours linking him with both Juventus and Manchester United. The Serbia international, 27, has impressed for Lazio this ... Read more »

Cristiano Ronaldo's seven-year prediction on £30m Arsenal transfer speaks volumes

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Gary Lineker hits out at Patrice Evra for talking "utter nonsense" about Pep Guardiola

Gary Lineker has responded to Patrice Evra's claim that Pep Guardiola doesn't want any leaders at Manchester City due to his management. The former Manchester United defender believes the Spaniard ... Read more »

Stats show Antonio Conte justified in hitting back at Jurgen Klopp's Liverpool 'excuses'

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Borussia Dortmund immediately name Erling Haaland replacement amid failed Man Utd attempt

Borussia Dortmund have already replaced Erling Haaland by snapping up RB Salzburg hotshot Karim Adeyemi – despite Manchester United's late attempt to hijack the deal. Dortmund have been braced for ... Read more »

Patrick Vieira selects best players he played with and against during legendary career

Patrick Vieira has named Zinedine Zidane, Dennis Bergkamp and Thierry Henry as the best three players he played with during his illustrious playing career. Vieira, who is now the manager ... Read more »

Ralf Rangnick's 4 most controversial Man Utd remarks as Rio Ferdinand calls him "distasteful"

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Roy Hodgson responds to angry Watford fan backlash after his "snub" at Crystal Palace

Roy Hodson has apologised to Watford fans for failing to acknowledge them in the dark hour of relegation but insisted: “I didn't snub them deliberately.” As their relegation to the ... Read more »

Jesse Marsch quotes Gandhi, JFK and Mother Teresa in bizarre Leeds survival team talk

It is hardly “we’ll fight them on the beaches” stuff, but Jesse Marsch is using sayings by Gandhi and Mother Teresa to fire up his Leeds players for their relegation ... Read more »

Birmingham could sign ex-Atletico Madrid and Chelsea striker if Maxi Lopez buys club

Former Argentine footballer Maxi Lopez wants to sign free agent Diego Costa if he gets control at Birmingham. Birmingham’s Chinese owners are ready to sell a stake in the club ... Read more »

Jose Mourinho demands "explanation" and "respect" in furious Roma outburst

Jose Mourinho has demanded that Roma receive an “explanation” for decisions that went against them in their bruising 2-0 defeat to Fiorentina on Monday. The Giallorossi, not so fresh from ... Read more »

FA Youth Cup final 2022: Man Utd stars to watch vs Nottingham Forest, from Alejandro Garnacho to Joe Hugill

United take on Nottingham Forest at Old Trafford on Wednesday bidding for a record 11th competition triumph Read more »

Antonio Conte taunts Jurgen Klopp with strong response to Liverpool boss' dig

Antonio Conte has hit back at Jurgen Klopp's analysis of his Tottenham side, insisting that Liverpool were lucky to escape with a point from their weekend meeting at Anfield. Spurs ... Read more »

5 free agents Erik ten Hag could target with Man Utd summer transfer budget in question

jQuery(function(){ if (typeof jwplayer_load == typeof indefined) { var jwplayer_load = 1; jQuery(window).load(function(){ jQuery(".sc_video_shortcode_jwplayer").each(function(){ var _this = $(this); jQuery.get(jQuery(this).attr("url"), function(data, status){ if (typeof data.split("\n") !== typeof undefined) { var src ... Read more »

Man City confirm sensational Erling Haaland transfer to sign Europe's hottest property

Manchester City have announced the stunning capture of Erling Haaland after meeting his release clause at Borussia Dortmund. The Norway international, 21, has arguably been the most sought-after player in ... Read more »

Man Utd 'prepare formal bid' for Portuguese youngster who impressed Bruno Fernandes

Manchester United are reportedly preparing a 'formal proposal' for Sporting Lisbon centre-back Goncalo Inacio. Inacio, who came through Sporting's youth ranks, made his senior breakthrough in the 2020/21 season after ... Read more »

Jack Wilshere in Denmark: How Arsenal hero has fared as he provides vital assist

11 years ago this month, Jack Wilshere was fulfilling media duties for England ahead of the Three Lions Euro 2012 qualifying clash against Switzerland. Not one reporter in the room ... Read more »

Erling Haaland transfer: Man City confirm agreement in principle to sign Borussia Dortmund striker for £64m

City are still finalising terms with Haaland, who passed a medical in Belgium on Monday Read more »