The Malaysia government is directing its three largest industries, namely renewable energy, Palm oil and Islamic Finance to explore blockchain technology.
In fact, the Malaysian Industry-Government Group for High Technology (MIGHT) will lead the move to adopt blockchain.
All in hopes for boosting transparency, sustainability and logistical efficiency.
Malaysia Adoption of Blockchain to increase adoption of renewable energy
For example, MIGHT is in talks with Malaysian energy companies over blockchain technology to increase adoption of renewable energy.
The nation’s provider of Utilities, Tenaga Nasional Berhad (TNB) has said that it’s been looking at blockchain solutions to identify ways to adopt it.
In Agriculture (Palm Oil)
Close to 8% of Malaysia’s GDP comes from agriculture. Out of this, 43% comes from the sale of palm oil.
Unfortunately, palm oil has always fallen victim to bad management. However, the country believes blockchain may be able to assist and improve upon the situation. For example, it can help identify certified palm oil operations with ethical practices and allow buyers to identify the source before purchase. In addition, the government will be able to identify and monitor with ease palm oil operations with sustainable practices and regulate accordingly.
Blockchain Technology in Islamic Finance
Usury (the practice of collecting interests on loans) is prohibited under Islamic law. Islamists believe that money has to be based on a real commodity and cannot simply be generated from money. Thus, in Islamic banking, there are strict ethical regulations which pose higher overheads. There are hopes blockchain can assist.
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