Blockchain for Impact
The accuracy and authenticity of our Impact reporting is very important to us. We believe that all our investors and impact businesses function better with reliable information. That’s why we’re in the process of developing our own smart contracts.
What are smart contracts?
Startle is piloting the application of Smart Contracts within its impact businesses
A smart contract is an executable program stored on the Ethereum blockchain. The execution of a smart contract is processed on the blockchain. One or more parties can create or fund a smart contract, which will execute according to the inputs it receives.
A smart contract is like a legal contract in that it specifies an agreement for the handling of a given situation which may arise in the future. For example, an insurance contract specifies the payout to the insured in the event of an accident. Smart contracts differ from traditional legal contracts in that their execution does not have to be subject to the interpretation of human institutions or people but can be based on data collected remotely and electronically or use a combination of human and digital sources to verify the completion of the terms of a smart contract.
In our context, a smart contract may have no financial terms but may irrefutably record when particular impact has been achieved – and to record this openly, immutably and, importantly, once only. For example, an amount of clean energy provided to off-grid communities in sub-Saharan Africa or the provision of functioning (maintained) clean water pumps.
If you would like to discuss these opportunities further please do not hesitate to reach out to us.