As concerns for environmental impact grew, the market began to need a framework that allows projects to accurately reflect their ecological impact. Because of this, the climate-focused data tracking project Hyphen has found a market gap it is eager to fill.
Backed by a Chainlink grant in 2021, the project is now launching a decentralized oracle network (Dawn) that allows smart contracts to access a verified resource, a greenhouse gas starting from nitrous oxide (N2O). provides data. This sparks the creation of a reporting ecosystem that holds corporations accountable for their emissions and allows climate disclosure to comply with regulations.
Hyphen CEO Miles Austin told Cointelegraph that the project “provides a timely data flow of climate emissions information from global sources to both the private sector and the public sector.” With this, capital markets are able to use “real-world climate data” as they strategically plan for sustainability.
“Corporations need the ability to accurately track and report their Scope 1, 2 and 3 emissions in order to establish a baseline for working to reach climate commitments.”
Hyphen CTO Thierry Gilgen says the platform gives a “valid and reliable data stream” to an emerging financial ecosystem built on blockchain or distributed ledger technology. With Chainlink Dawn, the data reported by the companies will also go through a decentralized and independent verification process. This eliminates fraudulent and incorrect reporting.
“We use Chainlink nodes to validate and make data available from scientific organizations for smart contract use to build comprehensive climate tracking and regulatory services for government organizations, financial institutions and enterprises that are emerging around the world. be bound by the new green finance/climate regulations.”
related: Are we misled about the environmental impacts of bitcoin mining? Kristian Seppser, CMO of Slush Pool Explains
The initial launch, using the Montreal Protocol framework, a global treaty protecting the ozone layer, included N2O data from the Integrated Carbon Observation System.
While the environmental impact of crypto continues to be debated, recent reports suggest that bitcoin (BTC) mining uses only 0.08% of the world’s carbon dioxide emissions. The network emitted 42 megatons (mt) of CO2 while the total emissions were 49,360 mt.
