On November 28th, the "2018 POD New BlockTrend New Area Blockchain Summit" hosted by Odaily and 36kr was held in Beijing. Zhou Tao, Deputy General Manager of Energy Trading Department of ENN Energy Holdings Co., Ltd., Yi Huanhuan, Director of Asia Union Development, Xu Zhe, CEO of Bright Food Group, Zhuang Jiadong, Chief Strategy Officer of VeChain, Zhou Xun, CEO of Multi-Chain Technology, Ke Ke of DNV GL Song Ke, an expert on sustainable development, and Cai Songyan, CEO of Lianxun, launched a discussion on "Building a New Economy, How Can Blockchain Technology Empower the Real Economy?" 》 as the theme of the round table discussion.
At the round table, issues related to the combination of blockchain technology and the real economy were discussed. Through specific cases and projects, we will look at the potential and development status of blockchain empowering the real economy.
The following is the record of the round table:
Cai Songyan: Good afternoon, everyone. Thank you for participating in today’s conference. It’s a great honor to talk to you about the application of blockchain and the real economy. Everyone knows that green water and lush mountains are golden mountains and silver mountains. This is also our country’s environmental protection. It has always been the policy. Now there are some blockchain applications that focus on environmental protection and carbon emissions, and one of the most prominent applications is DNV GL. Today, DNV GL's sustainable development expert Song Ke came to the scene to introduce to us how DNV saves energy and reduces emissions, including the whole project. Mr. Zhuang from VeChain and Mr. Xu from Bright Group, now please Mr. Song to introduce to us Check out DNV related information.
Song Ke: Thank you very much. I am Song Ke from DNV GL. It is a great honor to be here. Our model cannot be introduced in a very short time, so I will try to briefly introduce it. We introduce a model from two aspects, one is design and the other is application. Let me first introduce our DNV GL. In fact, we serve the real economy. We do not produce or provide blockchain itself. We have developed a carbon emission reduction application with VeChain. The partners include BYD and Bright Group, and Participants PICC, Tsinghua University.
First, let’s talk about the idea of ecosystem design. You may know that in the field of climate change, whether it is the Paris Agreement or various countries and governments, they will set their own emission reduction targets, which means that there are many emission reduction paths. For example, some high-emission enterprises will set their own emissions. At the same time, there is a set of MRV mechanism in this system, which is the mechanism of measurement, reporting, and verification. Therefore, you can see that the traditional way of thinking is to achieve it through some high-emission enterprises. Emission reduction, so there will be a very large potential on the consumption side. The reason is simple. The combination of these massive data and the superposition of time will generate very considerable emission reductions. But it will have many problems, for example, one of them is that the massive data itself is very scattered, so there will be some problems if we use MRV to verify, so the natural advantage of the blockchain is that it is transparent , the data can be traced, and it will have some advantages in cost. Therefore, after we clarify such a direction, we will choose a low-carbon travel method, and at the same time, there will be a synergistic PM2.5 emission reduction effect.
The second point is to talk about the mechanism of the model operation. The model itself is to design a set of emission reduction methodology. Embedding the methodology into the smart contract is to upload some data of new energy car owners, including mileage and power consumption, in real time. These data are stored as evidence, and the corresponding emission reductions are calculated through smart contracts. At the same time, we will convert emission reductions into carbon credits through certain methods. Carbon credits can be consumed on supported platforms. For example, a platform such as Guangming. On the whole, we can see that there is a feature in this system that can avoid some repeated calculations through smart contracts, and all data It is transparent and traceable.
Finally, I saw that there are three important participants in this system, one is the carbon product provider at the source of carbon emission reduction, the second is our individual users, and the third is the carbon ecological support enterprise at the end, so these three parties are basically Such an incentive mechanism empowered by carbon credits can be used to realize an open system shared by multiple parties and win-win for all parties. I will briefly introduce here, thank you.
Cai Songyan: Thank you Mr. Song. VeChain is an important support for this project. Please share with us Mr. Zhuang Jiadong, Chief Strategy Officer of VeChain.
Zhuang Jiadong: First of all, let me introduce VeChain. VeChain was first established in 2015 and is committed to building the entire business ecosystem. It is a public chain project that wants to empower commercial implementation. In fact, many guests just mentioned alliance chains and public alliance chains. Now everyone has different ideas about the future trends of different chains. I think they are all very good. Everyone is working hard in different directions, and finally found a business model that can really use blockchain technology to empower the real economy.
So today it is better not to talk about public chains, public alliance chains or alliance chains. Let’s talk about VeChain, as a technology provider, bringing together many business partners in the real economy to build an ecosystem on this public chain. Mr. Xu from Bright Food Group can introduce how Bright does this. For us, we feel very proud to be able to use blockchain technology to do something meaningful for the future development of mankind, including carbon emission reduction. Thank you.
Cai Songyan: Mr. Xu, please share with us Bright’s practices in these areas.
Xu Zhe: Hello everyone, I am a food company from Shanghai. Talking about food at this point in time can trigger everyone's imagination. Food is a very down-to-earth industry, and it is also close to people's livelihood. Here I want to share a life scene that actually happened around me. My parents-in-law’s family is in the countryside of Shanghai. This village is on a small island at the mouth of the Yangtze River. You may not be able to see it on the map, but you can find it around Shanghai. Now it is a small village like Tao Yuanming’s Taohuayuan. very beautiful. There is a large orangery in front of the house, a vegetable garden in front of the house, chickens and ducks we raise by ourselves, and a fish pond behind the house. My son is in the third grade of elementary school this year. He spent the summer vacation at his grandmother’s house. I brought him back before school started. He said, Dad, I don’t want to go back. I asked why. . I figured it out in my head, why do children say that they can’t buy it with money, are they vegetables? no. It is the grandmother's responsibility to take care of the family carefully, watering the vegetables seriously, and using farmyard manure and water to irrigate the vegetables grown. I thought of the environment in which we urbanites live now. We are farther and farther away from the source of food, and there are more and more intermediate processes. How can we all taste this kind of food and give us confidence? That requires our technology to do something.
At the source, these devices can be deployed through Internet of Things enterprises, and the process can be recorded through our blockchain technology. In this way, our technology can be truly implemented and practical scenarios can be produced. This is what we want to do in the future.
This project is jointly built by multiple parties, and we are only one participant, and we are willing to provide products to make such an attempt. Reflect our good points to consumers and let consumers really use our products. In the future, my son may not tell me that I want to "immigrate" to my grandmother's house. thank you all.
Cai Songyan: President Zhou of ENN Energy, can you share with us the energy solutions, commercial implementation, including technical aspects, etc.?
Zhou Tao: Thank you to the meeting party for providing us with this opportunity. We have done it more substantively. You can see that the weather in Beijing is fine, but the first two days and even the day before yesterday were smoggy. Because China is a big manufacturing country in the world, it must use its own resources. China's resources are rich in coal, poor in oil and low in gas, so we have built a good gas network. Everyone knows that under China's original planned economic system, the energy industry is highly monopolized and concentrated in the three major oil players. No matter how the international oil price falls We've been around 7 bucks. Under the new policy environment, how to make the real market play a better role, we thought of using the Internet, the Internet of Things and the blockchain to promote the market-oriented reform of the entire energy through new technological progress. However, as ordinary consumers, they not only expect diversification of sources, but also need confidence in supply guarantee, quality and price. It turns out that the three major oil companies are endorsed by national credit and government credit. What endorsement do our other participants use? It may require similar technological innovations to do more endorsements. The public consortium chain mentioned by Mr. Zhang of Weizhong just now is also a very good attempt in the application of the entire blockchain.
ENN, as a participant in the real industry, tries to present the chain with new technologies, and at the same time cooperates with VeChain, a third-party underlying technology, to provide technical endorsement. At the same time, there are more and more participants in the ecological community, making the chain more abundant, making real consumers and participants have a greater consensus on this, establishing these standard systems with more confidence, and making the new ecological chain more and more Enrichment and more vitality make our ecological environment better and consumers can get more benefits. Subsequent use of the Internet, blockchain, and more digital-related entities will transform to digital. At the same time, let financial companies establish a credit system to help reduce the financial costs and risk control costs of real companies, and better promote the improvement of the entire ecological environment and the upgrading and transformation of the real economy.
Cai Songyan: Thank you, Mr. Zhou. In the introduction I heard from Mr. Zhou just now, our technical support is still VeChain. Mr. Zhuang, can you tell us how VeChain helps ENN Energy in this regard, and the specific application of some technologies?
Zhuang Jiadong: First of all, I would like to thank Mr. Zhou for his trust in VeChain. Let me add a few more words. So many companies mentioned us just now. In fact, VeChain is committed to the commercial form of the real economy, because now, especially in the early blockchain era, there are many public chain projects, and few of them are real. Commercial implementation, so we are working on public chain projects, which is to help companies do this and really help the industry solve pain points. There are hundreds of companies actually cooperating with us, and we are also building a big ecosystem. I just mentioned that the carbon ecology is equivalent to the application of a scene. In fact, there are many other business ecology. If you are interested, we can discuss it after the meeting.
For energy, Zhou is always an expert. From the perspective of VeChain, the core application of blockchain includes certificate storage, and we play the role of technical support for enterprises. We did not say that the use of blockchain can change some traditional business models, this is not true. It just means that there are some pain points that can be solved with this technology. So I emphasize that the blockchain technology itself does not mean that it must subvert the traditional operation mode of many traditional real economies. It just means that empowering these enterprises can help them solve some problems. If we focus on this, I think there are many companies that have this need. As a blockchain company, whether it is an alliance chain or a public chain, based on this starting point, it can really help enterprises, there are many prospects for cooperation, and the development will be faster. Here are some of my thoughts.
Cai Songyan: Thank you Mr. Zhuang for your wonderful sharing. Next, Mr. Yi, can you share with us some specific applications of the combination of blockchain and the real economy.
Yi Huanhuan: I would like to share my views on the development of the ecological environment mentioned just now. I have been in the securities industry before, paying attention to all domestic and overseas companies. Since the three major battles were proposed last year, we have paid great attention to the environmental protection industry, but what is the final result? The result we have seen is that since October this year, almost all private enterprises and listed companies engaged in the environmental protection industry have either died or are close to death. Why is this in the middle, have you figured it out? What is its essential problem? Its essential question is who is the funder of all environmental protection projects, and whether everyone has figured it out. The funder is the government, but the measurement of all environmental protection projects, the benefit to the government is a long-term, long-term, and uncertain benefit. So in this process, many environmental protection companies will appear to have good projects and large projects, but there is no cash flow, leading to large-scale death. This is a very important and critical issue. This is what I want to talk about. First.
Where is the second thing? Let me talk about the pain point first. The climate conference in Poland is about to be held, once a year, and each time is close to 20 days. But the level of people coming to each climate conference is getting lower and lower, why? Because it feels like there is no grip and no way to land. Everyone is talking about carbon emission reduction and the issue of carbon emissions, which is indeed a concern of human beings. But the world is so big, how can I measure it.
In addition, those who protect the environment do not see direct benefits, and those who pollute the environment do not receive direct harm, so what is needed in this process? It is necessary to form a core closed loop. The core of this closed loop is a very strong system based on the consensus of all mankind. However, this system is very difficult in the original solution process. Whether it is built through a distributed database or any other company, it is not OK, but here we believe that the blockchain may solve this problem.
The fourth problem, the blockchain is also facing such a core pain point, that is, the wave of coins has passed. We experienced the technology bubble in 1999. At that time, technology stocks fell even worse than the Bitcoin and Ethereum we see now. But one of the key points of its success is whether it can combine technology to produce core applications. Therefore, whether it is from the enterprise end to the government end to international organizations and then to the blockchain itself, it is actually necessary to find a core scenario to implement it accordingly. . In addition to this matter,
What else? In addition, there are corresponding financial institutions. We see that the central bank is constantly promoting green finance, including the scale of green credit that we have seen has exceeded 8 trillion, but there is no platform or service that can further combine these things. together. So this is a core point that I think it will combine to produce a very huge business model and industry influence.
However, in addition to the simple blockchain technology we have seen, there are a lot of prerequisites, including how to obtain better information and realize all-round collection of data. The second is how to go to the chain after the collection is completed, whether to use the alliance chain or the public chain, and whether the performance of the public chain has been optimized now. We are all talking about smart contracts now, based on carbon trading, which will extend to water, environment, atmosphere and other transactions in the future. Among them, we have been cooperating with the climate research institute under the United Nations. However, the standard of carbon in them alone is Wrote dozens of books. How can these things be fully verified in the smart contract, and then form a set of transaction mechanism in which country and under what kind of social organization, and then after the transaction mechanism is formed, how can finance come in? Realize the complete closed loop of people flow, logistics, business flow and capital flow.
Only after the closed loop can the business model be truly established. And this requires the participation of all parties involved. We cooperate with financial institutions, including launching a number of banks in a certain area in South China, and jointly establish a green blockchain. We hope that by working with VeChain and more partners to serve more people, reach more consensus, gather together to form a closed loop of business models, and create a great benchmark in serving the real economy business. This is open source. Once done, it can be further replicated in medical care, education and other fields. It must gather consensus from multiple parties on a small point to solve this problem. This is the social pain point and the core pain point of the blockchain. Combination, this is a point I want to express.
Cai Songyan: Thank you Mr. Yi. We all know that EKT is also a very well-known public chain, and we are very honored to have Zhou Xun, the CEO of Multichain.
Zhou Xun: Because I have a technical background, I will talk about how to help the real economy and the blockchain combine from two aspects. First of all, in terms of technology, I think there are two types of combinations of blockchain and real economy. The first type is that the real economy needs the blockchain to help him build a restriction mechanism. For example, I don't want to expose certain data, but I want to prove that I own certain data. Or the cryptography algorithm that applies the blockchain, or some other things, the real economy needs the blockchain to create trust for it. This is an important direction for blockchain to empower the real economy. Another direction is that if two parties cooperate, in fact, it is enough to build a centralized server to connect the two parties, but if multiple parties are involved, the blockchain is actually a very good direction. Mr. Yi also mentioned environmental protection just now. The cost of environmental protection is very high. For example, if only the state pays for it, the beneficiary is actually us, and the state pays. This is not a good cycle. In fact, if we contribute our own strength, we can put forward such an idea. For example, in terms of environmental detection, we can do a node monitoring, such as the environmental quality of Chaoyang District or Haidian District or Dongcheng and Xicheng. Everyone deploys such a node. You can mine and provide a data to the chain after deploying the node. At this time, all beneficiaries are either the country or some other institutions, which is a better way. In addition, the blockchain needs to be used in the real economy, such as credits on the chain, creating an application scenario for our company's credits, etc. These are the combination of blockchain and the real economy. In addition, I think decentralized and storage technologies can also empower the real economy. For example, put some supervision videos in public places, kindergarten videos, school videos, and hospital videos on the chain. On the one hand, it can use the immutability of the blockchain, and on the other hand, it can save costs. Because videos take up a lot of storage space, distributing these videos to various nodes in the entire network is actually a very cost-saving way. That's about all I've said.
Cai Songyan: Thank you, Mr. Zhou, and thanks to all the experts for sharing that the combination of the real economy and the blockchain is still very worth looking forward to. That’s what we are doing today, thank you all.
