Sustainability Reporting

Definition ∞ Sustainability reporting involves the disclosure of an organization’s environmental, social, and governance performance. This practice provides stakeholders with information about a company’s impact on sustainable development. Reports typically cover resource consumption, carbon emissions, labor practices, and ethical conduct. Such transparency helps assess long-term viability and responsible operations.
Context ∞ Sustainability reporting is gaining increasing prominence in crypto news, driven by growing concerns over the environmental impact of certain blockchain consensus mechanisms, particularly Proof of Work. Institutions and investors are demanding greater transparency from digital asset projects regarding their energy consumption and carbon footprint. This reporting is becoming a key factor in attracting environmentally conscious capital and shaping the industry’s public image.