Regenerative Finance
June 17, 2024

Infographic: Blockchain Use Cases for Climate Change

By:
Tereza Bizkova & Drew Simon
Blockchain offers NGOs, governments, and communities with revolutionary tools to help combat climate change and regenerate the earth. Whether it’s establishing new crypto incentives for climate action, bringing valuable climate data onchain, or creating new markets for tokenized environmental assets, blockchain and Web3 tools are set to play a vital role in the fight against climate change.

Blockchain Use Cases for Climate Change

Incentive Mechanisms

Token rewards, onchain badges, and climate action NFTs are being used to encourage behavior like reforestation, emissions reduction, and renewable energy adoption. They help mobilize individuals & local groups to take measurable climate action.

Monitoring, Reporting, and Verification (MRV)

Blockchain-based MRV systems allow for transparent tracking of climate data like carbon sequestration, tree growth, or land health. By making this data publicly accessible and tamper-proof, they help verify impact and build trust with funders.

Community Coordination

Local climate networks use DAOs to manage shared budgets for projects including mangrove restoration, watershed conservation, or rewilding. Smart contracts automate decision-making and disbursements, ensuring resources are used transparently and aligned with shared goals.

Fundraising and Philanthropy

Climate organizations can raise funds globally without relying on banks or intermediaries. Through platforms like Endaoment, Gitcoin, or Giveth, blockchain enables faster, low-cost donations—supporting efforts like disaster recovery, renewable energy installations, and nature-based solutions in vulnerable regions.

Building Climate Resilient Communities

Blockchain supports parametric insurance models that trigger payouts during extreme climate events—based on satellite or weather data. These systems help protect farmers, pastoralists, fishers, and low-income communities from losses caused by droughts, floods, or wildfires.

Tokenized Real World Assets (RWAs)

Forests, solar projects, and regenerative farms can be turned into digital tokens, unlocking capital for conservation and clean infrastructure. Investors can fund climate-positive projects while tracking performance and environmental integrity onchain.

Climate Asset Markets

Carbon credits, biodiversity offsets, and water restoration certificates are being brought onchain for better traceability.  Blockchain restores credibility by making the origin, ownership, and retirement of each credit fully visible, helping funders and regulators trust the impact they're paying for.

Sustainable Supply Chains

Blockchain tracks emissions, resource use, and labor conditions across entire supply chains. It helps producers measure their climate footprint and gives buyers the ability to transparently verify sourcing and make climate-responsible decisions.

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