Digital MRV (Guardian)
Last updated
Last updated
Measurement, Reporting, and Verification (MRV) refers to the multi-step process to measure the amount of greenhouse gas (GHG) emissions reduced by a specific mitigation activity, such as reducing emissions from deforestation and forest degradation, over a period of time and report these findings to an accredited third party. The third party then verifies the report so that the results can be certified and carbon credits can be issued.
MRV is the key to unlocking climate finance and showing progress on climate goals. MRV seeks to prove that an activity has actually avoided or removed harmful GHG emissions so that actions can be converted into credits with monetary value.
The Guardian is a modular open-source solution that includes best-in-class identity management and tokenization libraries. At the heart of the Guardian is a Policy Workflow Engine (PWE) using the Hedera Consensus Service and Token Service, driven by configurable policies that enable applications to offer a requirement-based tokenization implementation. Guardian ensures that the entire history of the ESG asset is visible as the token chain of trust.
Guardian Policy workflow engine enables requirements based tokenization implementation ie set policies that when conditions are met a token is minted.
Time-stamped, automated events are linked together and validated or verified by Decentralized Identifiers (DIDs) throughout a trust chain that is searchable to the granular level. Neither DIDs nor Verified Credentials (VCs) rely upon intermediaries to function, instead drawing upon a network of individually auditable data sources.
This framework provides the basis for a trust chain that maps out the actors, roles and rules that determine the conditions in which an asset can be issued, retired, or offset.
Digital data networks such as Internet of Things (IoT) tooling, satellite imagery and Lidar capabilities inform whether policy conditions set in the Guardian are met in the creation of a tokenized asset. Resistant to human error and the capacity limitations of manual recording processes, multi-component digital Monitoring, Reporting and Verification (dMRV) generates visibility into ecological assets and liabilities that is precise down to the metric ton of CO2e.
"Data is then made verifiable through AI processes and human observers, automated and updated in real-time through timestamped, immutable on-chain records. Furthermore, the use of Decentralized Identities (DIDs) enables any actor, from anywhere in the world to participate in the validation or verification processes that underpin tokenization - provided they have proven they hold required accreditations. In this way, DLT reduces the cost of trust and breaks the reliance upon third-party institutions in asset issuance; an essential ingredient in scaling sustainable markets on the path to a rapid climate-resilient transition." ~ Hedera
