Wednesday, October 5

The cornerstone for future economy

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FROM our previous column, we talked about the future cornerstone of the global economy being the Belt-Road-Initiatives (BRI) as well as 5G connectivity.

Moving forward, there will be two more important industries that are already in the shaping of such economic landscape starting from now.

As the world is moving into a green earth environment, every country in the United Nations is fighting to maintain the temperature on the surface of earth.

By doing so, this will effectively prevent catastrophic disasters like tsunamis, earthquakes, typhoons and other weather destruction on the surface level.

Hence, we have seen the rise of green projects in recent years to enforce anti-pollution and save-the-planet themes.

 

Decarbonisation

In order to control the rise of earth temperature, it is necessary to prevent the carbon emission from arising on the surface of earth.

In fact, the United Nation Council has commenced the creation of carbon credit since the 90s of last century. The purpose is to reduce, but not just maintain the carbon emission, from a country as a wholesome entity.

In short, carbon credit can be traded or sold for monetisation. Hence, this will greatly promote the urge and participation of each industry in a country to reduce carbon emission in order to earn it.

On the other hand, those industry who exceed in the annual carbon emission has to pay carbon tax to the respective government or purchase the carbon credit in the composition of being fined.

Till date, each carbon credit is traded at an average price of US$2.50 to US$3 around the world.

The future of the world lies immensely on creating carbon wealth. Therefore, wise investors are starting to hunt and search for decarbonisation corporations now that are diving into the research & development of creating the carbon credit for future sale.

 

Metaverse

This is a manifestation from the blockchain technology. Technically speaking, the metaverse is a virtual world that comprises of literally anything and everything.

Whatever you can find or can not manufacture in the real world, the metaverse can make it possible. In addition, the metaverse entity is a virtual new world with no limitations of co-space. In other words, every single soul on earth could own a house in the metaverse with no actual land space needed to fulfill this need.

Metaverse is not just about gaming or recreation. This is a futuristic trend that can be modelled accordingly to the real world but use to calculate the risk: reward ratio of operating a business.

Moreover, the advancement of utilising blockchain could effectively replace all tedious paperwork and administration.

The economic monetisation of metaverse will be unbelievable such as holding a love concert for the global fans while sitting at their homes. Other usage could be tagging to carbon credit on each blockchain token and tradable around the world seamlessly.

The above are just some simple definitions and superficial descriptions to help readers comprehend the future world.

You may do some researches to find out more facts. In whatever means, there is no doubt that plunging into these studies will equip you with sufficient knowledge for facing the impending challenges. Of course, winning the challenges will reward you none other than wealth.

Be ready for the future economy. The world is transforming from now on.

 

Dar Wong is a professional in Singapore’s security and financial industry for more than 30 years. The opinions are solely his own. He can be reached at dar@alaa.sg.