Blockchain-based business application developer VeChain has announced the launch of its Blockchain-enabled Sustainability Solution, designed to enable businesses to reliably and accurately showcase their sustainable practices to consumers, financial regulators and policymakers.
Blockchain technology can bring significant benefits to companies increasingly challenged by the need to track sustainability factors within their own operations and within their supply chains, and tasked with managing growing disclosure requirements surrounding sustainability issues. These include the ability to track, verify and report complex and disparate information more efficiently and cost effectively, and with greater transparency.
VeChain’s new solution is aimed at helping companies integrate a more sustainable approach to their businesses, and to reliably and accurately communicate these attributes to stakeholders such as customers, regulators and investors.
The new solution is based on VeChain ToolChain, the company’s Blockchain-as-a-Service (BaaS) platform, which VeChain states is characterized by its high standardization, light cost and flexible payment in the market, and ease of implementation by businesses in every sector. The solution’s approach is to build value-driven approach for businesses to streamline sustainable practices during the supply chain and manufacturing process. The solution also provides customizable tools and whitelabel services for companies to implement sustainability services for their own clients.
VeChain lists the main value propositions of its Blockchain-enabled Sustainability Solution as follows:
- Immutable Proof for Green Supply Chain. The VeChain Blockchain-enabled Sustainability Solution provides enterprises effective sustainable practices with proven templates for blockchain data processing that cover key stages such as recycling, processing, reusing, inspection and more. Brands and retailers will be able to better trace the original source of their goods across the globe, ensuring that their products have been sourced lawfully, responsibly, and environmentally.
- Transparency and Consistency of Information. The solution ensures that all data will be trustworthy, immutable, and consistent across different counterparties in the supply chain. This reduces friction generated from discrepant or lost information, and enhances open collaborations in an efficient and cost-effective way.
- Trust and Confidence between Consumers and Brands. The added transparency by blockchain could help re-engineer all sustainable processes entirely by combining digital based services with field activities. Brands can demonstrate sustainable initiatives to the public or reporting to the regulators, and therefore, enhancing trust and brand image.
- New Business Value by Accessing Professional Services. Sustainable initiative data collected across supply chains or daily operations by VeChain ToolChain™ can help companies to lower the cost of public reporting service for government regulation, sustainable rating service for green brand image, and attestation service for responsible financing (green bonds, government financial subsidies, equity investors). Companies will also gain access to world leading third-party services through the VeChain global partner network, including DNV GL, PwC, Deloitte, Grant Thornton, and more, greatly reducing the cost of certification, audit, insurance or supply chain financial services.