How Web3 Tools Can Change the Way Positive Impact Is Verified, Measured and Monetized

Transcript

foreign thank you so much for being here I know that the lovely weather outside is very appealing so you're here for an important uh topic which is sustainability we have a really great lineup for you uh today but first up is uh Sean who's been a great contributor to the crypto Valley Association for many years now so I will hand it over to Sean from impactsco thank you let's go round and close thank you [Applause] hello everybody thank you for being here um I was speaking here last year as well we had a bigger room and a bigger crowd but uh anyway it is what it is

um so my name is Sean Murphy I'm the co-chair of the crypto Valley Association sustainability working group and my day job I'm the CEO of Impact scope we help organizations use web 3 tools to measure and verify their ESG metrics or their impact performance as we prefer to say um no need to take notes the presentation today is downloadable from this link and the QR code will be at the final slide as well so all the information is there so I want to use my time today not to do a company presentation about Impact scope but to shine the light on many fascinating projects building tools and

applications that are impact focused in various areas so before we introduce those let's discuss what exactly impact is so impact can be sustainable or sector agnostic it's the reduction of negative externalities and an increase in positive outcomes so it can be less of the bad stuff and more of the good stuff so less crime less plastic pollution that Andre afternoon will speak about um less less or more schools reductions in crime increases in access to education all our examples of impact

uh so I'm going to quickly go through some projects that I like very much that are impact focused this is glow dollar it's a non-profit stable coin issuer as you know stable coins are very big business currently the combined market cap of tether and usdc is 110 billion dollars when interest rates are high you can imagine how profitable this business model is blow dollar is a poverty reducing non-profit stable coin issuer it means it it channels 100 of the yield from its treasury to Poverty reduction projects through direct payments so if you change some of your current usdc or

tether to Glow dollar you'll be helping lifting individuals out of poverty within the next five years Glo dollar achieves 10 of Market of stable coins uh it will lift 1.5 million people out of poverty um in power uh from the cardano funding ecosystem um mortgages are very difficult to access in certain countries despite the fact that low-income people when they borrow money in a community organized way have very few or very small very low default rates Empower is a lending platform a yield earning lending platform that

channels the yield to affordable housing projects in Mozambique londano another company from the cardano ecosystem that is tackling the issue of land ownership and property rights from a different angle in Nigeria alone 30 percent of the population of which is 200 million now have no access to a usable Land Title uh registry records so landano is an organization putting land rights on chain ethic Hub another darling of the impact investing on chain space so turning yields farming into benefits for real

Farmers ethics tokens Can Be staked in collateral pools the yield goes to working capital for smallholder farmers in Latin America fair food there are a lot of organizations involved in a supply chain of products however most of them like IBM foodtrust or providence.io are focus on the end consumers or the retailers to make them happy that they know where their food is coming from I like what fair food is doing because they've turned it around they're focusing on the first block of the supply chain the small holder farmer producers nutmeg

vanilla coffee they get the widest view of the entire supply chain who exactly is buying their products who they're selling to what margins what markups where the products end up which stores which labels and smallholder farmers who are sellers receive up to 63 percent higher yields when they're armed with proper market pricing information the learning economy Foundation education focused non-profit based in Washington DC building amazing tools to imagine what the distributed future of knowledge acquisition and learning will be their main prototype product called

learn card so if you can try to imagine a completely trustless universally accepted online uh record of a continuous learner's achievements and skill acquisition over time information can be added to it and for employers or Partners it's a type of dynamic CV living on chain um many of you here are here because you're interested at the intersection of crypto block 3 web or web 3 sustainability impact maybe you might like to form an impact Dao with some of

your friends or colleagues or like-minded individuals Earth fund gives you the tools to form your own impact Dao decentralized autonomous organization with its own governance token in just a few clicks it's estimated that currently there are over 17 000 active Dows and 1.5 million crypto holders have an interest in a dow it's estimated also consensus research report that more than 1 500 Dows that are specifically impact focused Dows will be active by the end of this year if you'd like to learn more about impact Dows which sectors they're working in

what they're doing I can recommend crypto altruism it's a Blog and podcast that deals not just with impact hours but with any organization building and deploying web 3 tools for social impact um so I spent the first half of my presentation giving examples of organizations and Ventures building web free tools for social impact now I'd like to look at some of the crypto economic building blocks that make this possible so this is a picture of a murmuration a wonderful example of self-organized behavior in nature thousands and thousands of birds without any particular leader or centralized

Authority choreographed movement in One Direction so what are the building blocks that can be used for decentralized impact focused projects common stack has been around for about six years helping decentralized communities build micro economies around whatever impact area they wish to finance or fund this is one of their tools it's an augmented bonding curve which is essentially a smart contract which can be used to define in a totally decentralized way pre-programmed total token Supplies price increases exits taxes contributions to treasuries lock-up

periods it's one of many tools on common stack which is a collection of building blocks for impact organizations to organize and decentralized way so let's say you have your impact Dao you have your members you have your token your treasury is going quickly let's say your impact Dow is focused on improving access to Education in Northern Uganda so how do you you have lots of proposals from different individuals and organizations offering to build you schools build buses provide other services how do you decide how the treasury funding is going to be used or allocated which projects get funded

which projects don't how can you prevent or disincent device large token holders from having too much of a voting say a mechanism which is not a not a native web free mechanism but it works very well in token ecosystems is quadratic funding or quadratic voting where you don't have one wallet one vote or one token one vote in quadratic funding you don't want to have large token holders have unlimited voting power so quadratic voting works that it's the square root of the number of tokens that you can use to vote with if you have one token square root of one so you can have one vote but if you want to use a hundred tokens to vote you only

vote with the square root of 100 which is 10. this is a mechanism used by lots of dials and decentral organized impact organizations to ensure a greater level of consensus as is as is conviction voting which is a type of real-time uh approval gauging for projects and proposals token holders can assign tokens first snapshot votes to proposals in real time some of the tokens can be changed from proposal to proposal some of the proposal some of the tokens Decay over time and this is a way of having a real-time dashboard to gain gauge

sentiment around issues I've spent how much time do I have left two minutes great perfect I spent maybe too much time talking about the tokenomics uh two out of 10 or 12 or 15 cheras 2015 okay great or okay uh yeah I spent too much time talking about the tokenomics models and not enough time talking about impact verification and impact measurement because if we believe that impact outcomes can be asset classes can be tokenized and monetized then as with all asset classes there has to be a way to audit this impact to verify it to measure it without these tools there can be no impact as an asset class

as many of you maybe know Carbon off setting has come in for a lot of criticism in recent months due to the fact that the deforestation reforestation projects are not always audited professionally a number of companies are emerging with uh open source decentralized protocols dmrv stands for digital or decentralized monitoring reporting and verification open Forest protocol is one of them last slide this is my company Impact scope we build one of the tools we build is real-time impact reporting dashboards which are connected to on-chain and off-chain oracles and also connected to

Dynamic nfts these are an Innovative way for organizations to display their real-time impact achievements the oracles they're connected to are can be off-chain or on chain on-site verification mechanisms can be built in photo verification receipts payment slips Etc so that's one example of an impact dashboard using those tools and that's the end of my time do we have time for questions Shiraz go ahead yes sorry I went over time there if anyone has a question good examples for a good recipe yes the best example would be git coin get coin

um they probably the biggest champion of quadratic voting they couple it with what's called quadratic funding so a matching fund partner that let's say wants to wants to fund uh fifty thousand dollars worth of projects in regeneration in Colombia they can open the voting uh to that and matching projects will receive matching fund not based on the amount of funding but on the individual funders so in the same system 10 individuals contributing ten dollars will have greater sway than one individual putting in 18.

okay I'll hand over to uh Plastics thank you for your time [Applause]