EXCLUSIVE: Unstoppable Domains COO Talks Digital Identity As 'Economic Equalizer' For Farmers

Agriculture has seen a technological evolution in recent years, and the rise of Web3 has paved the way for farmers to explore their options with cryptocurrencies. The gradual onboarding of farmers into the blockchain has brought about positive changes in the lives of smaller farmers who struggle with competition against large agriculture businesses.

At center of this change is Farmsent, which is known as the world's first farmers blockchain. The blockchain has had partnerships with various brands, SMEs, and other blockchain and crypto firms to pursue its mission of empowering farmers to actively participate in shaping the future of the agricultural industry.

A key partnership Farmsent forged in the last few weeks is with Web3 domain provider Unstoppable Domains. Through the partnership, farmers will be allowed to accept crypto payments. Unstoppable Domains' top-level ".farms" domain will play a major role in Farmsent's blockchain-based marketplace that aims to directly connect farmers with consumers without the need for middlemen.

In an exclusive with International Business Times, Unstoppable Domains COO Sandy Carter discussed the partnership's importance in the evolving agriculture sector, and why a digital identity for farmers is crucial in efforts toward helping farmers have better chances in the competition.

A Digital Identity to Address an Unfair System

Unstoppable Domains' partnership with Farmsent includes the provision of a digital identity for farmers, which Carter said is an ultimate "game-changer."

"For years, food producers have been caught in an unfair system, with monopolistic buyers dictating prices and middlemen taking outsized cuts. This hits small farmers hardest, as they often lack the financial infrastructure to compete with their larger competitors," she pointed out.

With a digital identity, farmers can "overcome the unfairness inherent in the centralized food economy," she added. Their digital identity will allow them to connect with consumers anywhere in the world and crypto payments will enable them to avoid crippling fees on international fiat transactions. "It's not just a tech solution – it's an economic equalizer," she said.

At the Frontier of an Agriculture Evolution

The digital ID offered by UD through the Farmsent partnership is "unalterable" and a unique feature that is only the beginning of what blockchain can actually do for the agriculture industry.

The other unique benefits shine through on an individual level. Carter said the digital ID can be described as "a farmer's passport to a new world of opportunities." It also ensures the provenance and quality of their agricultural produce, giving them a competitive edge in the market.

On a grander scale, an ID that involves smaller farmers in the digital economy and gives them more standing alongside producers of all sizes in the Web3 space will spark collaboration and innovation "on an unprecedented scale," Carter noted.

"It paves the way for more inclusive decision-making processes that will be essential for meeting the environmental and food security challenges of the 21^st century," she said.

An Unstoppable Domain That Brings the Power Back Where It Belongs

UD's offering of a digital identity for farmers is not just a Web3 onboarding pass. Instead, it gives them access to tools and apps that will make a real difference to their operations.

"Imagine real-time data on crop conditions – soil moisture, pH levels, humidity – all at your fingertips," Carter said. Farmers can also gain access to market data that will help them pivot to the most profitable crops in a specific season.

The most crucial aspect of a digital identity for farmers is its ability to reshape farmers' relationship with consumers. Web3 changes everything consumers have known about the industry, especially for those who have become more conscious about where their food comes from and the environmental and sustainable impacts such produce have, not to mention the ethical practices surrounding production.

A June 2020 analysis by The European Consumer Organization (BEUC) found that more than half of consumers want sustainability information to be mandatory on food labels.

In the United States, a 2023 NielsenIQ study found that a staggering 78% of consumers said a sustainable lifestyle is meaningful to them, and a 2020 McKinsey & Company U.S. consumer sentiment survey revealed that an overwhelming number of consumers said they care about buying environmentally and ethically sustainable products and goods.

Carter acknowledged that tracing agricultural goods' journey from farm to fork has been a challenge. However, Web3 challenges tracing-related issues. "It creates a direct, transparent link between grower and consumer, fostering trust and enabling informed choices," she said.

Leveling the David and Goliath Playing Field

Carter compared small farmers and big agri-businesses to the Biblical story of David and Goliath. She believes that UD's partnership with Farmsent will provide small farmers with "a pretty powerful slingshot" they can use to compete and potentially even overtake huge industry players.

How the collaboration will do it:

• Opening doors to trade finance that were previously slammed shut for smaller producers
• Getting farmers a fair price for their produce by cutting middleman ties that often make business difficult for small farmers
• Connecting farmers directly with buyers worldwide

The Convergence of Agriculture and Blockchain in a Food Insecure Era

The World Bank said in its latest Food Security update that domestic food price inflation remains high in many low- and middle-income countries. There are 18 "critical" hunger hotspots across 17 countries and territories, including one regional cluster.

Food insecurity remains a key problem worldwide. The pandemic was a wake-up call for the world, Carter said, as it exposed the fragility of 20^th-century supply chains. For Carter, who is also the founder of Web3 community Unstoppable Women of Web3, the agri-blockchain segment is at the beginning of an evolution, but already with a clear direction.

"This isn't about pitting one type of producer against another. It's about increasing competition, enhancing quality and food security, and ensuring every market participant can be the best possible stewards of the environment," she said, adding that at the end of the day, "everyone stands to benefit from a more transparent, efficient, and fair food system."