Blockchain can help a lot in the processes of achieving the goals of Sustainable Development Goals (SDGs). Blockchain technology helps to manage things better and more efficiently. The great use of blockchain could help people around the world live a healthier, safer life by not only removing the inefficiencies of legacy systems but also enabling an open bank ledger that is verifiably immutable.
Blockchain is a revolutionary ledger technology that can be used to securely record transactions. It has gained awareness thanks to Bitcoin, the first application of blockchain, which is an online payment system. Blockchain became so famous because it could cut costs and boost efficiency in several areas, including investment banking and trading. Blockchain also revealed itself as a great tool for helping eradicate poverty and hunger worldwide.
Blockchain technology is a decentralised, distributed ledger where data comes from multiple sources. It's essentially a computerised record of all transactions "in the cloud". This way, each party can prove what has been done and/or received through the use of smart contracts which are written in the blockchain.
The United Nations established 17 global goals in 2015 to address issues like poverty, injustice, environmental degradation, and other difficulties by 2030. The Sustainable Development Goals (SDGs) are the result of the largest international cooperation in human history. The SDGs have already been ratified by more than 100 nations. It encourages participants to take both individual and group actions for the benefit of the entire planet by providing a framework and road map for achieving long-term global prosperity.
Learn how blockchain is assisting in the global realisation of the SDGs in this article.
Over the past few years, governments and organisations from all over the world have focused on using various technical tools to manage hazards associated with practically all regions of the world. The tool of blockchain has the potential to be quite powerful.
Blockchain is a decentralised, digitally distributed ledger that, from a technical perspective, helps with transaction tracking and certification. Although Blockchain is best known for the technology that underpins cryptocurrencies like Ethereum and Bitcoin, governments and organisations (such as the UN) are exploring ways to integrate Blockchain into SDGs and address important global issues, such as economic well-being, social equality, and environmental sustainability.
The SDGs can be applied to blockchain in a variety of ways:
offering a layer of traceability and global transparency to all actors, roles, and participants in general, which naturally encourages behaviour and the careful use of all supplies.
providing security and resilience features that prevent any type of unilateral manipulation that can be harmful to third parties.
utilising smart contracts, which authenticate the actions that take place within Blockchain, to ensure the accuracy in the supervision of actions.
For all parties involved in achieving each SDG, Blockchain is the technological solution that is the fastest, most cheap, robust, and fair.
Because security, trust, and transparency are embedded in its structure, blockchain offers a number of benefits and has an impact on many SDGs. Let's look at certain SDGs and how blockchain is helping us achieve them.
SDG-1: No Poverty
Giving the underprivileged group a digital identity that they may use to access basic services without paying more makes blockchain possible.
SDG-2: Health & Wellness
Owning one's own medical history is a fundamental right that should be protected regardless of one's location. The government and organisations may swiftly do this with the use of blockchain.
SDG-3: Cost-effective and Clean energy
Blockchain technology is currently being used to build applications that enable energy traceability and the tracking of CO2 footprints created by enterprises, allowing them to set up bonus programs using tokens to save energy and cut pollution.
By enabling secure and open traceability through the use of blockchain technology, we can be sure that the products we buy were not produced in ways that abuse people, such as by hiring children or underpaying workers. Additionally, the continuous assurance of moral conduct throughout the entire supply chain always has an effect on a rise in capital flow for underdeveloped sectors. Therefore, fair trading is one of the benefits of using Blockchain technology.
Some of the prominent SDGs that have adopted Blockchain technology are those that were previously stated. It is clear that Blockchain can be a key component of achieving those objectives.
A key aspect of the SDGs is their ability to be universally implemented. And since the implementation of the SDGs relies on blockchain technology, it is important that we take a look at how digital currencies can help implement these development goals. By looking at how digital currencies function, we can see how blockchain technology can be used to achieve the SDGs and promote global development.
With blockchain, everyone gets a chance to have pretty much everything. All you need is to be patient and wait for the day when you get to see the full potential of this innovation. If it succeeds, it could ensure us a better future. We might as well embrace this change as much as we can. While we do that, let's take a look at some of the current ways which blockchain technology is helping in achieving the SDGs.
By Akhilesh Kumar Yadav