The subsidiary of Binance – one of the biggest crypto exchanges – in Australia has become the first entity in the crypto space to begin plans to filter its reportage with the Environmental, Social, and Governance (ESG) metrics.
The entity took to its Twitter page to make a point about its plans. In the post, it was mentioned that the presentation of media and news from the sector has contributed immensely to the narrative sold to the non-crypto enthusiasts. This has led to the domination of misinformation and negative commentary especially as it has to do with carbon emissions.
According to the post from Binance, the next line of action from the entity represents a part of the vision of the exchange to enhance the freedom of money across the globe.
The post made on December 9, 2021, from Binance Australia with the handle @Binance_AUS on Twitter reads: “We are elated to announce that our exchange has made a shift to be the first entity in the crypto space to start reporting using the ESG – Environmental, Social, and Governance metrics with a comprehensive framework established by the World Economic Forum.”
The CEO of Binance Australia, Leigh Travers said that one of the greatest undoings of the crypto space is misinformation and negative commentary especially as it has to do with the carbon footprint of the space. While the sector is filled with people concerned with positive societal impact, negative headlines have painted them as people not conscious of the ESG framework.
The aim of the ESG initiative as noted by the exchange is to ensure that entities in the crypto space are more concerned with their sustainability footprint.
Blows for Companies Not Considering ESG
Earlier, the CEO of Digbee – an ESG disclosure and data company in the Crypto mining sector, James Strauss, said companies who are focusing on ESG are at the risk of losing investors. According to him, most firms in the crypto space that are disclosing their ESG data stand a chance to create a new stream of capital through investment. Also, he mentioned that the stocks of the companies who are not taking cognizance of ESG, especially in the mining sector are already dropping.
Altogether, the awareness given to sustainability in recent years by consumers is so huge and it has only made the ESG framework more prominent. Following that line of thought, research carried out by Moody shows that there was an increase in the inflow of retail and institutional investors on ESG products up to 140% in 2020 when compared to the previous year.
