Exploring the Role of Blockchain in Enabling Circular Economies

As the world keeps advancing and keeps getting better, I must say there is a need for the world to pay attention to the wastage that this present generation is facing and I strongly believe that the earlier we address it, the better it will definitely be for us. Among all this issues, there is a solution that has been able to spring forth and that is the solution of the circular economy.

Image Source

When we talk about something called the circular economy, I am talking about a system whereby there is a economic model that is created to help reduce waste and not only that but also helps to make use of reuse resources so that we will be able to have massive attention in the present circular economies that we find ourselves into. It goes a long way to help give transparency and nanny more.

There is a massive role that the Blockchain plays in the circular economy that we are not even aware of. Blockchain on its own been a Decentralised ledger have gone a long way to help record transactions and helps to makes sure that data are recorded across computers. It offers a whole lot of things like the transpau, immutability and many more which makes it a very good option for the circular economy.

Image Source

The first is that it helps to ensure that transparency and traceability is ensured. In essence, it helps to make sure that materials and products are tracked. With Blockchain been immutable and transparent in nature, it makes it hard for the mismanagement of those products. Take for example in industry that is involved in recycling, Blockchain technology can make use of that they work to make those materials to meet the standards and quality.

Not only that, it also makes sure that resource sharing and collaboration is quite possible. This is possible through the peer to peer platforms that exist for the sharing of the resources. With companies, they are ensured that Blockchain can be able to create marketplace where those materials are transferred and well recorded thereby eliminating any form of excess materials or waste materials to be traded also. This will go a long way to prevent something called the resource extraction.