eAgronom, provider of farm management software, AI and remote sensing technologies, has launched Solid World DAO with a vision of making the battle to stop climate change the world’s number one business goal. By harnessing blockchain technology, Solid World is set to rethink the entire carbon space and solve the many issues the carbon offsetting market currently faces. These include removing barriers to new project financing, introducing transparency and driving up the price of carbon credits by creating a commodity layer and bringing liquidity to the market.
By 2030, the world needs to remove 23 billion tons of CO2 from the atmosphere to limit global temperature rise, with carbon offsetting being an important part of the puzzle. The world desperately needs a surge in high quality carbon projects. However, these are difficult to get off the ground as they need to work for up to five years before getting paid, meaning high risks and large upfront investments for providers. In addition, the voluntary carbon offset market has suffered reputational damage for allowing big polluters to buy cheap credits with questionable additionality to offset their emissions. Unfortunately, the carbon credit market is currently controlled by a small number of non-governmental organizations with legacy infrastructure and protocols, which lack the speed, agility and ability to scale the market to the size required to effectively assist the climate change battle.
Solid World will create a fully automated carbon marketplace for pre-certified carbon offsets on web3 with a very powerful blockchain protocol. Living on a modified OlympusDAO fork, the DAO will use high quality pre-certified carbon credits as reserve assets, which will enable protocol owners to benefit from carbon economy growth. Liquidity will be used to pre-purchase credits from new carbon projects that need financing. This will contribute to the fight against climate change by considerably increasing the number of new carbon projects through driving up the price and providing financing to providers from the outset. Solid World will only allow high-quality projects onto the platform that have verified additional carbon credits that meet Verra and Gold Standard criteria. Every new type of carbon project will be vetted by the community and expert advisors and live data will provide full transparency into all carbon programs.
Stenver Jerkku, Chairman of Solid World said: “The digital world is amazing, offering unlimited possibilities, however, we urgently need to save our solid world. Climate change is the greatest challenge that humanity has ever faced. The private sector has to step up to solve the crisis and is in the best position to do so as it has the power to move fast and reach far. The emergence of Web3 has opened up the opportunity to bring radical change to the entire carbon economy and Solid World will provide a big boost through pre-certified carbon credits. Over time we aim to tackle more of the bottlenecks and roadblocks faced by the sustainability movement.”
Pre-certified carbon credits will be turned into a commodity layer called SCT (solid carbon ton) and extract co-benefits from all carbon credits to sell them as NFT-s (non-fungible tokens). Since every carbon project is unique, every NFT will represent one carbon project. This gives buyers options – they can either support the project SDG-s, become net neutral by buying carbon credits or do both. The NFT will hold all the important information about the carbon project – baseline, additionality, MRV data, SDG-s and references to scientific literature. This will be achieved with ERC-721 tokens. Initially, Solid World will distribute up to 325 000 tokens to circulation in pre-launch programs to early contributors who help to bootstrap the protocol. This enables Solid World to build the platform, fund the teams, add liquidity to DEX-es and kick-start the liquidity program.
The DAO will be closing its seed round by the end of 2021 and launch a public round in Q1 2022.
Source: press release
Cover picture: depositphotos.com