Abu Dhabi-based Technology Innovation Institute launches blockchain-powered carbon tracking and trading platform

A blockchain-powered carbon tracking and trading platform has been introduced by the Technology Innovation Institute (TII) in Abu Dhabi. This will enable the international exchange of carbon tokens. The Advanced Technology Research Council (ATRC) in Abu Dhabi's applied research pillar is TII, a preeminent worldwide scientific research institution. The platform is in line with COP28's objective to "accelerate a transition that puts our economies on the path towards a new low-carbon, high-growth, sustainable economic model in a way that is both transformational and just," as well as UAE Vision 2021's goal of achieving net zero and a sustainable environment quickly.

CEO of TII Dr. Ray O. Johnson said, "The UAE has provided the tool to ensure that trading can be done in confidence while mitigating human impact and maximising the benefits to the environment," in announcing the debut of the digital platform at COP28 in Dubai.

The global carbon market will be supported by the platform created by the Cryptography Research Centre at TII, which will also enable improved carbon emission trading and tracking. Tracking and trading activities may be confirmed publicly at little to no cost, in terms of carbon emissions or other resources, by using a lightweight, efficient blockchain implementation that is not computationally inefficient, in contrast to existing blockchain efforts.

TII will be the first company to deploy a Proof of Concept enabled by blockchain technology as it works to get the platform ready for international trade. The platform will register the emissions from any global public or private entity, allowing it to measure carbon emissions with accuracy. After emissions are captured, stored, and traded, auditors can create a chain of trust. Transparency may be achieved in these audited transactions without compromising the privacy of the emitter, buyer, or third party.

With the help of TII's innovative platform, tokens representing the amount of carbon dioxide that has been eliminated from the atmosphere may be created. After that, the token may be safely and transparently kept and exchanged. Incentives for investing in environmentally friendly initiatives like carbon capture and forestry will be increased by the trade-in tokens, which will also enable organisations to offset carbon-intensive operations.

In particular, blockchain can facilitate peer-to-peer energy trading, monitor and trace goods across their supply chains, and produce an unchangeable, transparent record of trash disposal and recycling operations. It may also be used to monitor forestry and water management initiatives.