Markets Daily Crypto Roundup: Crypto Update | Can Blockchain Help Create a More Sustainable Future?

Released on January 31, 2025 by CoinDesk

In this insightful episode of Markets Daily Crypto Roundup, hosted by Jen Senassi and co-hosted by Sam Ewan, CoinDesk delves into the transformative potential of blockchain technology in fostering a more sustainable future. The episode features prominent guests: Andrew Berkowitz, CEO of Values Co, and Suzanne Pelletier, Executive Director of Rainforest Foundation US. Together, they explore how blockchain can drive positive social and environmental change beyond its traditional financial applications.

1. Introduction to Blockchain for Good

Jen Senassi sets the stage by highlighting the often-overlooked sustainable initiatives within the crypto industry. She introduces the theme of the episode—Blockchain for Good—and presents the distinguished guests who are pioneering this movement.

Jen Senassi [00:50]:

"There's so much happening behind the scenes that we don't often shine a spotlight on. And so that's what we're doing today."

2. Rainforest Foundation US: Integrating Crypto for Forest Protection

Suzanne Pelletier shares her organization's decade-long journey in exploring blockchain's potential to support forest preservation efforts. Initially, Rainforest Foundation US launched its own cryptocurrency to fund its initiatives but faced challenges due to timing and community engagement.

Suzanne Pelletier [01:54]:

"We created a coin 10 years ago to try and fund our work for the next 20, 25 years. It didn't end up working for a lot of reasons... we didn't build a community around it."

Despite the initial setback, Suzanne emphasizes the promise of blockchain for fundraising and mentions their shift towards building a Bitcoin treasury inspired by successful models like MicroStrategy.

Suzanne Pelletier [03:32]:

"We decided instead of launching our own coin, why not develop a treasury with Bitcoin... to support our work for the future."

She also highlights their involvement in positive meme coin projects that incentivize community support for environmental causes.

Suzanne Pelletier [11:35]:

"There is a meme coin that's positive... it's being used to donate to organizations like ours."

3. Values Co: Creating Positive Economic Incentives

Andrew Berkowitz outlines Values Co’s mission to leverage social tokens and blockchain to foster positive community actions. Initially focused on connecting creators with their audiences, the company has evolved to include brands, nonprofits, and publishers in its ecosystem.

Andrew Berkowitz [03:52]:

"We started with the vision of how can we leverage social tokens to connect creators with their fans and incentivize positive action from their audiences."

Andrew critiques the prevalent meme coin culture, advocating for a shift towards currencies that promote beneficial behaviors rather than mere speculation.

Andrew Berkowitz [05:29]:

"This idea of having a financial mechanism to guide attention towards good things in the world... creates currencies that are new economic systems incentivizing more positive behavior."

He further elaborates on how Values Co aims to reshape social media by incorporating gamification that rewards constructive actions, such as meditation, thereby fostering healthier user habits.

Andrew Berkowitz [16:18]:

"We have things like doing a 15-minute meditation to earn rewards. You get the same dopamine hit... but it's building new habits towards good in your life."

4. Addressing User Behavior and Incentivization

Jen Senassi raises critical questions about altering entrenched user behaviors driven by traditional social media platforms. She probes both guests on strategies to transition users towards more fulfilling and sustainable blockchain-based ecosystems.

Jen Senassi [09:08]:

"How do you think about changing that user behavior? Because I open up my phone, I go on the regular social apps. How do you think about getting users away from that and into this new ecosystem?"

Andrew responds by emphasizing the power of gamification and rewards in encouraging positive actions, leveraging blockchain's capabilities to create engaging and meaningful user experiences.

Andrew Berkowitz [15:48]:

"We're leveraging gamification and rewards to ensure that the dopamine hit from notifications prompts good actions... building new habits towards good."

5. Sustainability and the Perception of Crypto's Environmental Impact

The conversation shifts to the environmental concerns surrounding cryptocurrency, particularly Bitcoin's energy consumption. Suzanne and Andrew address these challenges by discussing the evolving energy mix in crypto mining and the industry's strides towards sustainability.

Sam Ewan [12:35]:

"How do you talk to your potential donors when they say, 'You're supporting a technology which is heating the planet and yet you want to save the environment'?"

Suzanne Pelletier [13:34]:

"It's just educating people about the energy mix that is being used in Bitcoin, showing progress over the past few years."

Andrew adds perspective on the broader context of internet energy usage and the advancements in blockchain technology that mitigate environmental impacts.

Andrew Berkowitz [14:19]:

"Everything we do on the Internet uses energy... with things like moving from proof of work to proof of stake, these things evolve and get more efficient."

6. Overcoming Challenges and Building Communities

Both guests reflect on the importance of community in the success of blockchain initiatives. Suzanne admits past shortcomings in community building but remains optimistic about current projects that successfully engage and inspire crypto communities.

Suzanne Pelletier [10:00]:

"The coin we created didn't have a community... but now communities can come together, incentivizing action and supporting nonprofits."

Andrew emphasizes the necessity of intentionality in building ecosystems that prioritize positive social outcomes over speculative gains.

Andrew Berkowitz [06:19]:

"We need to decide very intentionally as an industry where we want to take this... to incentivize positive behavior."

7. Final Thoughts and Resources

As the episode concludes, both organizations share their avenues for listeners to engage and support their initiatives. Suzanne directs listeners to the Rainforest Foundation's website, while Andrew announces the rebranding of Values Co to Values Network, partnering with Aptos Labs and Project Liberty.

Suzanne Pelletier [17:31]:

"Go to rainforestfoundation.org to find out more about our projects in crypto."

Andrew Berkowitz [17:43]:

"Our new website is live at values.network."

Jen Senassi wraps up the episode, encouraging the audience to subscribe to the CoinDesk podcast network and engage with their content on various platforms.

Key Takeaways

• Blockchain's Potential Beyond Finance: Both Rainforest Foundation US and Values Co demonstrate that blockchain can be harnessed for environmental sustainability and fostering positive social behaviors.

• Community Building is Crucial: Successful blockchain initiatives depend heavily on creating and nurturing engaged communities that believe in and support the mission.

• Sustainability Efforts Must Address Criticisms: Organizations must actively educate and communicate the environmental advancements within the crypto space to counteract perceptions of energy inefficiency.

• Incentivizing Positive Actions through Gamification: By integrating rewards and gamification, blockchain platforms can encourage users to adopt more fulfilling and socially beneficial behaviors.

Further Resources

• Rainforest Foundation US: rainforestfoundation.org
• Values Network: values.network
• CoinDesk Podcast Network: Available on all major podcast platforms and YouTube.

This episode underscores the evolving narrative of blockchain technology, highlighting its capacity to drive meaningful change when aligned with purposeful initiatives and engaged communities.