NFT Certificates to Verify ESG Credentials
Currently, there is no central way to track or verify the authenticity of ESG certificates. Typically, organizations issue a PDF document to the recipient and list the credential on their website. There is no scalable model that encourages broad certificate use, and there is no way to verify the history.
Non-fungible tokens (NFTs) and blockchain infrastructure can resolve this issue by providing a unique, publicly verifiable means of verifying a specific piece of data. Instead of worrying about storing, distributing, comparing and verifying the certificates, firms can focus on choosing a trusted certificate issuer.
There’s no need to get updated feeds from each certifying organization or worry that certificates may be invalid. They also don’t need to rely on generalized standards that mismatch with actual business activity (leaving the risk of greenwashing in place). This infrastructure allows investors and benchmark creators to focus on their value-added analysis with the confidence of relying on independent certification.
