Toucan Protocol

toucanprotocol

A Circular economy is the new big thing. Why? As our planet has finite resources, sustainable manufacturing practices are inevitable. Organizations that excel in processing "already processed" materials can position themselves as pioneers in innovative manufacturing, achieving higher profit margins while doing so. From a business perspective, the proposition is compelling: extracting substantial value from low-cost, end-of-life materials that would otherwise be discarded. Consequently, we are witnessing a surge in businesses that specialize in recycling, upcycling, and downcycling end-of-life products. These businesses not only reduce waste but also gain a new secondary revenue stream through the Carbon Credit Trade. I’ll explain the process as we go along, but first, the illustration below encapsulates the idea: I’ll explain the process as we go along, but first, the illustration below encapsulates the idea: Who is classified as a Carbon offset provider? First and foremost, let's have a look at who is eligible to sell carbon credits. Traditionally, providers have been involved in renewable energy, energy efficiency, reforestation, or forest conservation projects. These entities often sell credits directly or collaborate with non-profit or public benefit organizations that assist in verifying or managing their projects. However, with the rapid growth of the circular economy, a broader range of companies are now eligible to become carbon offset providers. This includes plastic and textile recyclers, who develop innovative technologies that transform waste into materials indistinguishable from virgin materials, thereby significantly reducing carbon emissions that would otherwise result from industrial production. As the Circular Tech sector continues to evolve and the number of companies qualifying as carbon offset providers increases, the carbon trade market is expected to expand substantially. Consequently, the demand for robust verification mechanisms will escalate dramatically. carbon offset providers Circular Tech robust verification mechanisms How are carbon credits issued? Before carbon credits can enter the market, they must undergo a thorough verification process. This typically involves carbon removal projects compiling comprehensive documentation, including precise calculations of the carbon reductions achieved through their initiatives. An accredited third-party auditor then reviews the submitted documentation and conducts a site visit to evaluate the accuracy of the methodologies and calculations used. The assessment process includes establishing a baseline scenario, which quantifies the environmental impact that would have occurred if the project had not been implemented. Following verification, the auditors submit a detailed report to the relevant carbon credit authority for approval. Once approved, the carbon credits are officially eligible for trading on the market. Compliance is an ongoing process, with periodic audits conducted to ensure that carbon projects continue to meet the required standards. verification carbon reductions carbon credit authority The integration of Blockchain technology into this process offers several significant advantages. Given that the verification process involves multiple checks on submitted data and subsequent transactions in the market, it presents an ideal scenario for leveraging Blockchain and Web3 technologies. By harnessing these technologies, the process can become more transparent, secure, and efficient, ensuring the integrity of carbon credits and enhancing trust in the market. Blockchain transactions Blockchain Web3 transparent, secure, and efficient, How can Blockchain and Web3 enhance traditional carbon trading? It’s possible to integrate Blockchain in a value chain to automate data collection and perform an automated Life Cycle Assessment. By combining Smart Contracts with technologies like sensor data, IoT, and satellite imagery, it is possible to directly connect to source databases, making the entire process trustworthy and automated. This setup enables the collection and immutable storage of a wide range of data, including energy usage, production practices, emissions, chemical values, and more. These data points can then be utilized to calculate LCAs using various scientific models, ensuring accuracy and reliability. Blockchain could easily automatize the entire data collection and ensure the legitimacy of the verification process. Life Cycle Assessment IoT, and satellite imagery energy usage, production practices, emissions, chemical values, LCAs Another transformative benefit of Blockchain is its ability to tokenize carbon claims, effectively preventing manipulation and double-counting - which has been a recent challenge in the market. One solution provider to this problem is the Toucan Protocol, which is essentially a ReFi (Regenerative Finance) infrastructure layer that uses Web3 and Blockchain to tokenize carbon credits and verify its transactions. By bringing carbon credits onto the blockchain, Toucan provides a global ledger that offers an immutable and transparent record of ownership and transactions, effectively eliminating the risk of fraud or double-counting. tokenize carbon claims ReFi (Regenerative Finance) infrastructure layer Web3 and Blockchain global ledger Currently, only a few carbon credit registries exist worldwide, and they manage all transactions while overseeing multiple controls. These include ensuring project trustworthiness, establishing standards for project submissions, and maintaining a database of transactions and credits. There is a significant opportunity to manage and monitor the transactions of verified carbon credits safely using a decentralized system like Web3. By employing a tokenized structure, carbon credit registries can avoid double-counting transactions and trace credits back to their originating projects. A global ledger system, where data is stored with consistent standards, can enhance transparency and trust in critical data such as trading history, retirement details, and project specifics. Web3 global ledger Challenges The carbon trading ecosystem remains largely controlled by dominant registries that dictate which emerging technologies may integrate with their frameworks. Verra, one of the major registries and standard-setting authorities in Voluntary Carbon Markets suspended using tokenized carbon credits 3 years ago temporarily due to its concerns about the retirement process of tokenized carbon credits, although they now use Toucan Protocol. The ongoing advancements in blockchain technology are substantially improving transparency, liquidity, and accessibility, which in turn appears to be positively impacting the decisions made by key stakeholders and decision-makers. Another challenge that stands in the way of Blockchain integration in Carbon Markets is the energy intensity due to heavy processing levels. Blockchain-based systems consume large volumes of energy which positions them as a major carbon emitter. As a response to this situation, a big chunk of early adopters of tokenized Carbon Credits are Cryptocurrency providers. In other words, they promote the environmental benefit by financing carbon offset projects. On top of this, there are some new eco-friendly blockchain technologies like Polygon and Celo, which use “Proof of stake (PoS) validation”. This method significantly reduces energy consumption by choosing validators based on the amount of cryptocurrency they have staked, rather than making them compete in solving puzzles to validate transactions as done in Proof of Work (PoW) validation model. Proof of stake (PoS) Proof of Work (PoW) validation Conclusion Integrating Blockchain and Web3 capabilities can transform the environmental finance ecosystem. As the Circular Tech industry expands and the number of carbon offset providers grows, there will be a surge in demand for sophisticated verification and trading mechanisms. The value Blockchain offers is unique with automated life cycle assessments, transparent record-keeping, and tokenization of carbon credits—effectively addressing long-standing issues of double-counting and fraud. Even though there are challenges associated with energy intensity and regulatory pressure, innovations like Proof of Stake validation and protocols demonstrate viable pathways forward. The convergence of these technologies signals a transformative opportunity to create a more efficient, trustworthy carbon market ecosystem capable of scaling to meet global climate challenges while unlocking new value streams for sustainable businesses. Blockchain and Web3 tokenization Proof of Stake validation

How Web3 is Transforming Carbon Trading in Circular Tech

Blockchain oracles have occupied a prominent position in critical web3 dialogues recently. The role of oracles in providing up-to-date, secure and timely information to smart contracts must be emphasized. Without oracles, smart contracts would be grossly limited, and the blockchain ecosystem would be unable to unlock more considerable prospects or utilize its exceptional capabilities. There exists a consensus on the uniqueness of blockchain oracles, which begs the question, isn’t it crucial that there be a platform that addresses the capabilities of oracles while highlighting their current limitations and restrictions? No doubt, such a platform should be encouraged, and this is what makes summits like the Blockchain Oracle Summit (BOS) a critical tool for the demystification of oracles and the overall growth of the blockchain ecosystem. With that said, and in view of the upcoming , let’s dive into the exciting world of oracles and explore the significant technological innovations permeating the space. BOS ’23 scheduled for July 21-22 Oracles in CEX and ReFi The incredible thing about oracles is the innumerable use cases one can expound on. Oracles, by providing off-chain data, are of great relevance in data supply chains, insurance, prediction markets, gaming, and decentralized finance (DeFi), among others. Let’s take a cursory look into the role of oracles in preserving trustworthiness and security in centralized exchanges (CEXs) through the . Proof of Reserve audit It is undeniable that the past year witnessed a massive dent in the public perception and acceptance of cryptocurrency as a globally accepted means of transaction and as a store of value owing to the bust of several notable Cryptocurrency exchanges and lending platforms such as , , and among others. A laudable solution to addressing such issues and mitigating users’ losses would be through the Proof of Reserve audit. As a concept, Proof of Reserve audit allows centralized institutions – like many crypto exchanges – to prove their trustworthiness to their customers via the . Cryptographic proof of reserves audits uncover ecosystem dependencies, unrestrained protocol hazards, and other issues. An example of an oracle working on this is ; notable exchanges with the Proof of Reserves audit system include Binance; Kraken; BitMEX; OKX. FTX Three Arrows Capital BlockFi Celsius Network aggregated Merkle tree Chainlink Another great topic to touch on is Regenerative Finance (ReFi). On the blockchain, ReFi evaluates a natural asset’s value based on its capacity for regeneration and preservation. Unlike traditional finance, asset valuations aren’t solely determined by the cash flows generated using the assets. The fundamental principles of ReFi place a premium on long-term viability, openness, justice, and community engagement. Additionally, ReFi works to advance accessible, fair, and egalitarian financial systems that support the resilience and health of people, ecosystems, and the planet. This Blockchain-based regenerative economic paradigm comprises the following: Determining the worth of natural resources Putting this value into a blockchain-based tradeable asset Generating cash flow for the assets. Several protocols are working in the ReFi industry, namely, , and among others. It is worthy of note that Etherisc presented on their use of oracles at the inaugural oracle summit in Berlin last year. Coorest Etherisc Toucan Protocol Oracles, Gamefi, and Random Number Generators (RNG) Numerous facets of life depend on randomness, from security, cryptography, or computer simulation to games of chance like lotteries. Constructing a reliable Random Number Generator (RNG) has taken a lot of work since obtaining a good randomness source is always challenging. The two categories into which RNGs are often classified are pseudo-Random Number Generators (PRNGs) and True Random Number Generators (TRNGs). Mathematical algorithms, which are considered deterministic, are used by PRNGs. These RNGs are built around finite-state machine algorithms that generate pseudo-random determinism sequences from beginning values known as seeds in mathematical operations. Contrarily, TRNGs get their randomness from various physical events, including thermal noise, radio noise, and so on. Outside of those mentioned above, the decentralized blockchain-based applications (dApps) using smart contracts offer a provably fair consensus-based system to determine outcomes that can be openly reviewed and improved upon by all participants. Case in point, smart contracts may access random values using , and , among others. Patrick McClurg, Software Engineer at will speak on how to achieving truly random outcomes with RNG at the upcoming edition of BOS in Paris! Chainlink VRF DIA API3 Protocol Labs – Drand BOS ’23 and Zero Knowledge Proofs Back at BOS ’22, , CEO of blockchain consultancy, , delivered a presentation on how could be applied to oracles, focusing on the challenges in data verification and privacy standards. Since that presentation, there have been numerous opinions and discussions on social media platforms on the opportunities that ZK proofs can enable. Laurence Kirk Extropy Zero-Knowledge Proofs ZK experts and enthusiasts will be gathering at BOS23 for a more elaborate discussion on the subject especially in terms of how to utilise this complex cryptography in critical sectors. One such sector includes healthcare, in which is leveraging oracles, ZK proofs, dynamic NFTs and decentralized identifiers for the organization and preservation of medical data. Catch Crotalus Labs’ co-founder in Paris this July as he zooms into how the healthcare industry can benefit from such applications of blockchain technology. Crotalus Labs Alberto Melon Fernandez Other discussions at BOS23, will center on enabling a secure and safe collaboration between oracles and ZK while highlighting potential pitfalls and vulnerabilities in the technology. During this year’s summit, Laurence Kirk will return to speak on the correct implementation of ZK while overseeing a hands-on workshop on ZK oracles using the ZK blockchain, . MINA protocol The ZK workshop slots at BOS23 are limited and will be on a strictly first come, first serve basis. Note: In this article, considerable effort has been made  to highlight major innovations involving Blockchain Oracles with the objective of revealing to readers the possibilities of this amazing technology while showcasing the companies at the forefront of these creative technological advancements. These innovations from the relatively esoteric element – blockchain oracles –  are mind-blowing, yet not fully understood; hence, there is a need for platforms such as the Blockchain Oracle Summit to provide objective and comprehensive insight into the true capabilities of this technology. “Oracles are one of the most critical components in the web3 infra stack, as they are the hardest to decentralize and often become the weakest point in a web3 applications architecture. Designing the right solutions for our industry will be paramount in order to fulfil our vision of a truly censorship-resistant and unstoppable value transfer protocol. BOS23 is the place where leading players of web3 infrastructure and oracles meet to discuss how we can move the industry forward together. Joined efforts will be needed in order to realize the vision of web3!” – Hilmar Orth, Founder, Gelato Network  (a speaker at the Oracle Summit 2 years in a row) The second part of this two-part series will be an in-depth account of the latest developments in cross-chain bridges and the exceptional speakers addressing subjects related to these at the BOS ’23. Stay tuned for more! The Blockchain Oracle Summit provides an avenue for anyone interested in learning more about the prospects and possibilities of Oracles in a pleasant and refreshing environment that provides a terrific backdrop for Blockchain technology enthusiasts to connect, network, and have remarkable discourse with leading figures in the space. There’s no other place you’d rather be! Also published . here

Blockchain Oracle Innovations & the 2023 Blockchain Oracle Summit

Blockchain Oracle Innovations y la cumbre Blockchain Oracle de 2023

Blockchain Oracle Innovations et le Blockchain Oracle Summit 2023

ब्लॉकचेन ओरेकल इनोवेशन और 2023 ब्लॉकचेन ओरेकल शिखर सम्मेलन

ブロックチェーン オラクルのイノベーションと 2023 年ブロックチェーン オラクル サミット

Blockchain Oracle Innovations e o 2023 Blockchain Oracle Summit

Những đổi mới của Blockchain Oracle & Hội nghị thượng đỉnh Oracle về Blockchain năm 2023

区块链甲骨文创新和 2023 年区块链甲骨文峰会

For too long, harmful practices have continued freely while the economic systems fail to initiate the necessary change. Improving the infrastructure for environmental assets in Web3 helps to solve issues creating a new category — Regenerative Finance. My name is , and this article is dedicated to the vital topic of the future — and how blockchain technology reduces carbon emissions. Daria Volkova Regenerative Finance Regenerative finance is a type of finance that aims to support and invest in systems, projects, and organizations that have a positive impact on people and the environment. It’s based on the idea that financial systems should not just focus on maximizing profits but also contribute to the well-being of society and the natural world. The topic of ecology is always closely related to politics because any environmental initiative must be approved and implemented by the local authorities. Because of this, many great ideas have never been implemented, politicians are always "deeply concerned", and exalted characters like Greta Thunberg distort the image of the environmentalist. ReFi gives an opportunity independently of governments and politicians to contribute to the preservation of the environment by staying on the side of blockchain technologies. There are several potential values of regenerative finance, including: Regenerative finance can support sustainability initiatives, such as renewable energy projects or environmentally-friendly products. Promoting sustainability. It can also support projects that have a positive social impact, such as affordable housing or access to education. Creating positive social impact. For individuals and organizations that want their financial decisions to align with their values, regenerative finance can provide a way to invest in projects that align with their beliefs and principles. Aligning financial goals with values. Regenerative finance can also support initiatives that aim to create systemic change, such as policy reforms or movements for social justice. Supporting systems change. By supporting projects that improve stability, such as community-based food systems or disaster preparedness programs, regenerative finance can help communities and societies become more resilient in facing challenges. Enhancing resilience. Another added benefit is the and the use of blockchain technology to improve the environmental situation on Earth. Everything related to the blockchain and DeFi is receiving more attention, which means that one of the advantages of ReFi is the media hype surrounding this type of finance involvement of a large number of technological people with money in solving environmental issues. Many projects and developments in the space are focused on long-term potential, which is now uniting under the ReFi direction. These projects also use the idea of regeneration nature as positioning and uniqueness of the brand. I want to share some of such projects with you. So, first of all, you need to know about the . It’s a leading coalition of stakeholders — from investors and non-profit organizations to entrepreneurs and scientists — leveraging trusted, sustainable web3 infrastructure to unlock innovative and verifiable climate action at scale. organization Climate Collective Their mission is to build a trusted market for high-quality digital environmental assets that enable people and the planet to thrive. They believe in supporting planetary health and a regenerative financial system using mass-coordination tools to solve problems. One of the most notable projects in Climate Collective is , pronounced /ˈtselo/ means ‘purpose’ in Esperanto. Celo is a fully EVM-compatible proof-of-stake layer-1 protocol featuring a fast, ultralight client designed for mobile, with the ability to pay transaction fees with tokens or stablecoins. Celo Celo aims to create the conditions for prosperity: people fulfilling basic needs, growing along their unique paths, and supporting each other. One more organization is from Canada. Their mission is an international collaboration on reducing greenhouse gas emissions is critical to halting climate change. Blockchain for Climate Foundation Today’s world presents nearly unlimited opportunities to reduce greenhouse gas emissions but has lacked a system to connect emissions reductions chance with capital and demand. Blockchain technology promises to manifest a transparent, public and universal ledger that can serve as a medium of exchange for emissions reduction outcomes. The next project is . It exists to help us rapidly coordinate a response to our species’ most significant challenge. Improving the infrastructure for environmental assets in Web3 helps to solve key market issues: fragmentation, inefficiency, a lack of consistent data, and limited access. Toucan Protocol Toucan Protocol focuses on digitizing and tokenizing off-chain carbon offsets as a type of middleware solution for other projects to incorporate through their Open Climate Registry via the Toucan API and SDK. Toucan was launched in October 2021 as the infrastructure provider behind Base Carbon Tonne (BCT), their first carbon reference token. This was released with KlimaDAO. So, the last project I want to share in this video is co-founded by Mark Cuban, an American billionaire entrepreneur. KlimaDAO is a Decentralized Autonomous Organization for Change. KlimaDAO , Built on the energy-efficient Polygon network, KlimaDAO uses a stack of technologies to reduce market fragmentation and accelerate global climate finance delivery to sustainability projects. They say you can fight climate change and earn rewards with KLIMA, a digital currency backed by tangible carbon assets. KlimaDAO has been one of the most successful, reporting the removal of 18 million tons of CO2. This is a picture from the , the CEO of IoMob, researcher, entrepreneur and author of three books. There are many more such projects, and we will see their impact on ecology from the perspective of several years. by Boyd Cohen Medium article So, can ReFi change the world? I don’t know, but I hope this movement will draw more attention to environmental issues and become not only a creative positioning in marketing strategies, but also a real effective mechanism for applying blockchain. Do you like the idea of ReFi? Can this approach save the world or at least reduce the negative impact on the environment? Which project is your favorite? Share your thoughts in the comments!

Can Regenerative Finance Save the World? 

The effort required to tackle the ongoing climate crisis is growing every day.  Without leading projects and teams that dedicate their time to address the longer-term impacts of the climate crisis, the world is facing a bleak environmental outlook. Using technological innovations can provide us with a deeper understanding of the policy issues, supply chain problems, and cultural issues faced by individuals today. With the right data, tracking and tools,  support can be provided to projects that commit to a more sustainable future. With the appropriate planning and development, progressive blockchain teams can create new systems that will help us to adapt to changing environments in this fast-paced world. According to Conservation.org, 11 percent of all global greenhouse gas emissions caused by humans are due to deforestation. Taking data from NASA's global climate change site it is clear that the planet is facing unprecedented change in our natural landscapes. The indicates that we are on a path to exceed 1.5C global warming unless we drastically reduce emissions. It also highlights that extreme weather events have become more frequent and that greenhouse gases released by humans are a key driver of temperature changes. sixth IPCC climate change report With all of the drastic climate scenarios facing us, how can blockchain solutions help us with these monumental challenges? The following projects are using blockchain technology to combat the negative impact of our over-reliance on natural resources. Regen Network Founded in 2018, Regen Network is a project that allows farmers and individuals to track soil regeneration efforts on the blockchain. The broader vision encourages farmers to become land stewards, allowing them to be rewarded for their commitment to taking care of their land. In an open market, they can sell their ecological services such as holistic grazing or agroforestry to buyers globally. Toucan Protocol Toucan Protocol is the largest buyer of offsets worldwide. Toucan is a blockchain project that is developing carbon market infrastructure. It is designed to bring the carbon market to individuals that want to support a more sustainable future. It runs on the Polygon network, an energy-efficient layer 2 blockchain. Toucan tokenize carbon credits on the blockchain. carbon The Climate Collective The Climate Collective is a coalition of companies working together to build a connection between Web3 and climate action. Through collaboration, the collective can assess climate-focused organizations and connect them with streams of funding opportunities and partners. Their mission is to accelerate regenerative applications using Celo’s carbon-negative blockchain and mobile-first infrastructure. Klima DAO Klima DAO was founded by a pseudo-anonymous group of developers. It operates as a decentralized autonomous organization (DAO) and is community-governed. The main focus of Klima DAO is to motivate companies to reduce their carbon emissions by focusing on increasing the cost of carbon emissions. Klima DAO incentivizes the new supply of Base Carbon Tonnes (BCT), a tokenized version of carbon credits, on the blockchain. Moreover, the project aims to store as many BCT as possible in its treasury by buying them for KLIMA. Individuals can buy BCT on the market and bond them with KLIMA for a discount. After five days, they receive discounted KLIMA, which they can either sell for a profit or decide to stake with the protocol to expand their share of the KLIMA supply. File Coin Green Filecoin Green is a Protocol Labs initiative to decarbonize the Filecoin Network. The initiative is spearheading a future of verifiably clean energy powered by crypto. By marrying blockchain’s granular tracking functionality with the information-sharing infrastructure of Web3, Filecoin Green will incentivize its network to reduce emissions. Starting with decarbonizing the Filecoin Network, the initiative then aims to build open-source tools that quantifiably measure and mitigate emissions generated from crypto-related activity. Sovereign Nature Initiative The Sovereign Nature Initiative (SNI) fosters the exploration and development of technologies that can allow nature to become self-governing. SNI strives to reconfigure the intersection between ecology, economy, and emerging technologies. Using advanced NFT technology partnering with Unique Network, SNI is experimenting with alternative ways to give nature a voice in the development of a sustainable future. Shamba Network The Shamba team are developing a digital monitoring, reporting and verification system that leverages satellite data, geospatial models and AI to power Web3 applications. Small scale ReFi projects require accurate reporting and tracking to ensure no greenwashing is taking place. Shamba will provide the data and tools to unlock the benefits of the regenerative finance economy. Digital Art 4 Climate Fresh from the discussions with leading climate change policy makers at COP27, the team at Digital Art 4 Climate have been consistently demonstrating the power of NFTs to showcase the impact of climate change in different scenarios. Since then they have launched with Unique Network and UN Habitat, Digital Art 4 Climate have been encouraging activists and artists to come together in support of climate research. Moss Earth Moss.earth is a Sao Paulo-based climate tech company pioneering digitization of environmental assets, starting with the conservation of the Amazon rainforest. Its initial product is MCO2, a tokenized carbon credit listed on the world's largest crypto exchange, and used by leading global corporations and institutions to instantaneously offset their corporate and customer carbon footprints. In one year, MOSS and its customers have sent more than $15 million USD to the Amazon Forest, helping preserve approximately 500 million trees. MOSS is the largest trader of voluntary carbon credits in Brazil and one of the largest in the world overall As organizations continue the march towards a more sustainable future, Blockchain technology can help to provide the transparency required that proves the green initiatives of companies are working and making a difference. These climate focused initiatives incorporate elements of data capture, climate awareness and experimentation with new applications. Also published here .

9 Promising Climate Focused Blockchain Projects for 2023 

DeFi, CeFi, and now ReFi – . But, behind these acronyms are important trends that are currently reshaping the way we use and move money, the way we invest, where capital is allocated, and to what end. yes, web3 can be confusing sometimes ReFi, or Regenerative Finance, is a mission-driven movement standing at the frontier between crypto, impact investing, and sustainable business practices like . In short, ReFi is a movement leveraging blockchain to create financial incentives to lower carbon emissions, regenerate the environment and ultimately reverse climate change. ESG Yes, that’s ambitious. But, this fast-growing sector is already developing some of the key infrastructure and applications needed to make a regenerative economy significantly more attractive and drive positive climate action. Under the ReFi banner is a community of financial activists who are working to incentivize a healthy and equitable environmental system. The goal: redefining users’ relationship with finance and wealth. Even though ReFi is still an emerging movement today, it already boasts a thriving ecosystem of decentralized protocols, startups, non-profits, investors, VCs, and users – with many success stories. Why do we need regenerative finance? The crypto bear market has brought many questions with it. One of the biggest ones is: “What are the real-world use cases of web3?” Well, the blockchain ecosystem has shown time and time again that it is very effective at creating mechanisms that align economic incentives toward a common goal. ReFi simply provides a new common goal and leverages web3 mechanisms to reach it. So why is it important? The “regenerative” part refers to a self-renewing process that any system needs to thrive for long periods of time. It also refers to the ability to adapt to unexpected, sometimes threatening circumstances. No system can sustain itself over the long term if it is not designed to continuously regenerate. In contrast, today’s economy is mainly exploitative and extractive. This means that it treats most economies as places from which wealth (resources, money, labor, etc.) can be extracted. Extractive activities are common because they help build strength and power by concentrating resources. Applied to the world of Blockchain, these concepts highlight two things: First, a significant part of the crypto universe is extractive. Unsustainable tokenomics, energy waste, hype and speculation, lack of utility… From a cynical point of view, many web3 projects exist solely to extract wealth from unsuspecting investors. An obvious example is the ever-growing energy consumption of PoW mining. PoW goes against the principle of regeneration because it incentivizes the use of the cheapest energy in the largest quantities. Second, the good news is, it is possible to design blockchain systems that are human-centered, holistic, and designed for the long term. The incredible advantage of web3 lies in how it can incentivize regenerative behavior. Smart contracts, NFTs, tokens, and more can be used to drive our economy toward regeneration. But every organization has a role to play. Offsetting carbon emissions A big part of being regenerative is making sure you keep your carbon footprint in check. For ReFi companies, it’s usually not enough to be carbon neutral – they aim to be “carbon positive” or “climate positive”. Today, many organizations use different terms to describe how they tackle climate change. These labels are meant to offer an easy way to recognize their efforts to be sustainable. To be climate-positive means that a business removes more greenhouse gases than it produces. There are several ways to accomplish this: through significant carbon removals or avoided emissions. In crypto, avoiding emissions means opting for energy-efficient alternatives when available. And the trend is clearly in favor of “clean” technologies, as shown with the recent Ethereum Merge which reduced the network’s energy consumption by 99.95% by switching to Proof-of-Stake. Some companies make strong commitments to offset their emissions. For instance, at we pledge to donate 50% of the company’s profits to partner environmental organizations with a real positive impact on the planet. Mintera Incentivizing net positive actions With the UN Sustainable Development Goals (SDGs) set to guide global sustainability efforts over the next decade, it’s important to consider how different technologies can support these objectives. We know blockchain can be used to track environmental impact, enable transparency and accountability, and drive sustainable behavior change. Here are some examples of how blockchain can help create a more sustainable future: protocols can reward participants who are taking real action to remove CO2 emissions with tokens or NFTs with monetary value. Gamification: blockchains can track carbon emissions, and climate metrics to help hold governments, corporations, and NGOs accountable to climate goals. Accountability: by tokenizing carbon-sequestering assets such as rainforests, or carbon credits, we can incentivize more climate-friendly behaviors, while protecting natural assets. Tokenization: DAOs and other web3 organized communities provide a structure that can facilitate raising funds for climate causes and advocating for sustainable policies. Leveraging communities: And there are many more creative ways to use web3 for good. At we are launching a 5-years Grant Program to help kick-start and scale green projects initiated by our community. People who want to be rewarded for their climate actions can find many opportunities in the ReFi space. Mintera How you can use crypto in a sustainable way Contrary to some beliefs, it is entirely possible to invest, use and participate in crypto in ways that are beneficial to the environment. Here are a that you can act on right now: few tips Only use energy-efficient protocols: there are many options - in general, you want to avoid cryptocurrencies that are mined using power-hungry hardware. Explore the ReFi space to get a feel of the main projects and possibilities. You can start by having a look at the #ReFi hashtag on Twitter. Start offsetting your carbon emission using tokenized carbon credits with projects such as Toucan Protocol. Find a like-minded community by joining a DAO dedicated to the climate, like KlimaDAO or ReFi DAO. And remember, we are still early in the ReFi space. Don’t be afraid to try and learn, be creative, and even start your own projects!

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