Security Matters launched a global sustainability system for recycled plastic content, a key component of tracking global supply chains plastic usage and waste commitments.
As a company focused on digitising physical objects on the blockchain to enable a circular and closed loop economy, SMX takes the lead in helping major corporations including German chemicals giant BASF and Canadian diamond manufacturer Trifecta track their environmental, social and governance (ESG) deliverables across global supply chains in response to rising sustainability awareness and aid in constructing a circular transaction model.
“Utilising industrial Internet of Things (iIoT) and advanced technologies, we are further developing a supply chain that is in line with the European Green Deal, by turning challenges into opportunities to benefit every part of the supply chain which other large economy players are expected to follow suit,” said Haggai Alon, Founder and Chief Executive Officer of SMX.
While strong emphasis has been on tracking and tracing ESG deliverables within mining and palm oil sectors, the ubiquity of plastics across all major industrial sectors came sharply into focus in 2020 with the increased use of single-use plastics in battling the global COVID-19 pandemic.
Alon said, “This global sustainability certification and content grading system is an expansion on our patented blockchain-backed markers that trace raw materials all the way from farm to factory into packaged components that end up in the waste or recycling centres.
“SMX’ patented digital twin technology has a direct link with the financial markets. Companies can leverage their certified ESG performance and issue verified digital tokens into better, more sustainable growth in the financial markets,” he added.
Besides transforming to meet measurable key performance indicators and secure ethical, ESG-compliant sourcing of raw materials in the plastics global supply chain, SMX’ certification system grades, certifies. and smart sorts recycled plastic content, thereby leading to an increased use of recycled plastic content in the global industrial ecosystem.
Digital twin technology
SMX’ digital twin technology marks plastic waste, including both virgin and recycled material, backed by energy-based coding that can invisibly mark and store data at a molecular level, in solids, liquids or gas.
The data is logged on to the SMX blockchain ledger, transforming it to a unique digital token. This enables authentication and provides irrefutable proof of quality, quantity and origin of materials for credible ESG reporting for stakeholders, insurance, trading platforms, logistics, financing, international customs and industry regulations.
This plastic credit token can be traded as an asset in stock exchanges in the near future, adding to the company’s value from both investing and sustainability standpoints.
Alon said, “SMX is essentially a white label service, creating a new revenue model and business stream for companies that need to balance the use of recycled and virgin raw materials during production.”
SMX’s patented digital twin technology has been successfully used to track and trace ethical gold mining, ethical rubber sourcing and certify ethically-sourced cotton from seed to plant to fabric. These projects are being continuously scaled and commercialized across Australia, Asia, Europe and North America.
“In line with our strategic roadmap, SMX is on track to drive global adoption of our patented technology by scaling up and commercializing projects in strategic market segments. As a circular economy champion, SMX will continue to help clients authenticate and verify the origins of raw materials within their supply chains, towards transitioning successfully to a closed loop economy.”