Project description
Boosting transparency in circular economies using blockchain
A circular economy aims at eliminating waste and ensuring the continual use of resources. Circularity relies on transparency and the certainty that materials are kept in productive use. Unfortunately, it is impossible to determine the exact origin of most manufactured products. The EU-funded CirculariseSource project is developing a solution based on blockchain technology and the use of decentralised, encrypted data via a portal, enabling value-chain transparency without disclosing data sets or supply chain partners. The portal will allow users to track materials' characteristics in cases where it is difficult to do so; moreover, it will use virtual currency, ensuring fraud-proof certifications with standards developed by the industry. The project's solution will improve upon existing circular economy business models, increasing the market share of sustainable products.
Objective
Circularise offers a blockchain-based transparency solution to provide absolute proof for the circular economy, sustainability and recycling
practices of manufacturers at any stage of the supply chain. Circularise enables value chain transparency without disclosure of datasets or supply
chain partners. The portal uses decentralized, encrypted data to track material characteristics of products which are not distinguishable by
disassembling the product, e.g. whether, and which proportion recycled materials have been employed. The system uses a virtual currency and
chemical tracer to make supply chain transparency fraud-proof and certify materials. Different from paper-based information sharing which, in 65%
of the cases, doesn't even go past tier 1 suppliers, the system does not require the entire supply chain to be known, cooperating, or certified. The
technology decreases auditing and production costs due to a smaller number of audited parties. Validatable claims are traded directly from the
material manufacturer to the brand owner no matter how far along the supply chain the manufacturer is. The resulting affordable recycled material
will increase the market share of sustainable products and make them attainable for average customers. The possibility to increase revenue
through circular economy business models makes it an intrinsically motivated development. The possibility to increase revenue through circular
economy business models revolutionizes the sector turning it from a necessity due to external expectations to an intrinsically motivated
development. The proof provided by Circularise allows monetization of the sustainability practices and creates an intrinsic motivation for circularity
in our economy.
Fields of science
Keywords
Programme(s)
Funding Scheme
SME-2 - SME instrument phase 2Coordinator
2595 AN Den Haag
Netherlands
The organization defined itself as SME (small and medium-sized enterprise) at the time the Grant Agreement was signed.