The United Nations (UN) has recently extended support for cryptocurrencies and the technology behind them, Blockchain. As shared in a report by the United Nations, blockchain technology has the potential to act as a catalyst for a more sustainable global economy. However, the report mentioned the usage of energy in order to keep up with the market requirements, and said that the energy consumption challenges need to be solved first.

The UN Acknowledged the Transparency Aspect of Cryptocurrencies and Blockchain

Mentioning the identification and promotion of sustainable development as one of the key advantages of Blockchain and crypto, the UN stated in its report:

“One of the most useful aspects of cryptocurrencies, as far as the UN is concerned, is transparency. Because the technology is resistant to tampering and fraud, it can provide a trusted and transparent record of transactions. This is particularly important in regions with weak institutions and high levels of corruption.”

In addition to this, the report mentioned how blockchain technology and cryptocurrencies contribute to the field of the protection of the environment and sending the money to those who need it the most.

As already proved by the World Food Programme in the case of Pakistan, blockchain technology was able to bypass the banking system and the results were commendable.

Addressing the renewable energy sources in the generation of cryptocurrencies, the report said:

“And blockchain could be an important part of accelerating the take up of renewable energy sources such as wind and solar. As these sources are, by their nature, intermittent and decentralized, new forms of energy markets are needed. Tools using blockchain technology can help create these markets, and end our dependence on fossil fuels.”

Colin Wu Says BTC Miners Should be Forced to Use Renewable Sources of Energy

As recently reported by Colin Wu, China and the US have demanded the publicly listed companies to reveal the data that displays the effect of their business operations on the environment.

Colin Wu said:

“Both China and the United States are requiring listed companies to compulsorily disclose the impact of their business on climate change. This will accelerate the conversion of Bitcoin mining companies to the use of green energy.”