To advance the use of AI in evaluating Impact Claims based on the ixo Protocol and software stack, we have partnered with Scalnyx, a team of highly-skilled data scientists who specialise in predictive analytics and Causal AI.
Scalnyx has joined the Internet of Impact Launchpad program to develop a framework for AI Prediction Oracles that will make proofing of Impact and digital Measurement, Reporting, and Verification (dMRV) of Impact Claims more accurate, cheaper, faster, and scalable.
Combining real-time Causal AI-powered predictive analytics with impact verification based on the ixo Protocol provides a general-purpose digital measurement, reporting and verification (dMRV) technology solution that is reliable, fast, cheap, and highly scalable. – Dr Shaun Conway (ixo)
In addition to evaluating claims, AI Prediction Oracles can automate the issuance of digital certificates, in the form of web-standard Verifiable Credentials. These Oracles can also be configured to authorise blockchain transactions, such as minting Impact Tokens or triggering milestone-based payments.
Verifying Carbon Emission Reduction Claims
The first use-case for the Scalnyx Prediction Oracle service focuses on verifying carbon emission reduction claims for households switching to clean energy sources for cooking. Scalnyx and ixo have worked with Emerging Cooking Solutions, a Climate Tech company, to develop the world's first AI Prediction Oracle mechanism that enables near real-time automated claims evaluation, credential issuance, and minting of digital carbon credit tokens.
The mechanism is also innovative in being the first to implement self-certification by the producers of Impact. In this instance, it is the cookstove users within emerging economy households who derive the benefits of their behaviour change, by being economically rewarded for switching to clean fuel for cooking.
How we are using Causal AI
Scalnyx has a unique approach to predictive modelling, which uses Causal AI to identify the cause-and-effect relationships between variables in data in a way that is transparent, explainable, and keeps humans in the loop.
Unlike traditional machine learning techniques that only identify correlations between variables, Causal AI seeks to identify the underlying causal relationships and the mechanisms that drive them. Causal AI achieves this by using statistical and mathematical models to infer causality from data. Causal AI models consider the impact of variables on each other, and how changes in one variable can affect others.
Prediction Oracle services implementing this approach should enable investors and project implementers to make more intelligent data-driven capital allocations and operational decisions that optimise outcomes, as well as to independently verify the results.
The partnership between ixo and Scalnyx is setting a new standard for Digital MRV. Our jointly engineered solutions empower a trustful, transparent and verifiable way of using AI to assist with decision-making and mitigating risks for investors, which is a must for the carbon credit industry today. Dr. Charly Bechara (CEO, Scalnyx)
For Prediction Oracle Proofing Functions, the framework that is being developed by Scalnyx and ixo using Causal AI with the ixo protocol, blockchain and software stack, significantly advances the state of the art for digital measurement, reporting and verification (dMRV) for claims relating to social, environmental and economic impacts.