A proprietary method is used to calculate the ESG score, where the node provides a report on ESG compliance. The report is then reviewed by the other nodes, and a rating is provided. After aggregating all the ratings, an overall score is calculated that forms the basis of the node's ESG score.
ESG Integration in 5ire Consensus Protocol
The ESG score of a validator is considered while rewarding the validators. The sourcing of the ESG score is done through the means of an oracle service (black box) that normalizes E, S, and G scores. The scores of selected organizations are also sent to the blockchain.