Whilst the crypto industry is moving swiftly to increase efficiencies and switch to renewable energy supplies, it has nonetheless been under fire recently for its high energy consumption. Thanks to influential actors such Elon Musk, environmental impact is now more than ever, front of mind within the crypto industry. We know that crypto still suffers a reputational problem, and we are determined to fix this. Users are also determined to join this movement, because solving the issue would mean reducing volatility within the market and increasing engagement in the industry as a whole. This is a pivotal moment in the crypto industry's evolution, and we are excited to be part of its trajectory towards sustainable growth.
Our initial area of deployment will be in the ASEAN region as it is this region where potential carbon projects are the most underserved and under-capitalised. The demand side will have no restrictions and can operate globally, completely digitally.
Our decentralised solution allows users to put their crypto-assets to work and obtain carbon credit NFTs, and our native token $ZRO. Our users are already able to participate in LP Staking and get rewarded for their commitment with additional $ZRO tokens. Finally, they will be able to buy & sell carbon credit NFTs on an exchange, and ultimately enjoy benefits and discounts according to the amount of $ZRO they hold.
We have launched our solution on Polygon and you can check the smart contract here. We plan to expand to more assets & chains in the future. Our long-term aim is to nullify the cost of becoming carbon-neutral; we plan on doing this through compelling incentivization mechanisms for individuals and companies alike, partnering with notable carbon offsetting projects including (but not limited to) the Ocean Purpose Project, Clean Seas and Planting Projects.
Our business model has two streams of transactional revenue. Put simply Carb0n.fi will, on the one hand, acquire real-world carbon-credits from the supply side - these will become tradable on our exchange and in time, across other real-world carbon trading platforms - and secondly, we will take a fee for every transaction taking place on our exchange. The revenue will go towards building our product, growing our ecosystem and increasing the volume of carbon credit supply.
The blockchain technology underpinning our solution will make the fees lower than traditional options. This is thanks to the key architectural benefits of blockchain technology; security, immutability, transparency, automation, making our solution attractive and seamless. With the power of smart contracts, Carb0n.fi creates a seamless and automated ecosystem of liquidity providers who will get rewarded for enabling the survival of small to medium-size carbon credit projects. Our long-term aim is to ****make this solution break even for liquidity providers and add a burgeoning asset market to their portfolio.
Our customers will fall into three segments - the regulatory, the voluntary and the involuntary/speculative.
Regulatory companies (targeting companies in Singapore as the first test market), are under pressure to seek more cost-effective and less-labour-intensive solutions to meet regulatory requirements. Our team are uniquely placed to convert key organizations within the market; we will market our solution through stakeholders such as ESG consultants and CSR personnel.
Organizations within the voluntary market need not be convinced; they already have a strong desire to assist carbon offset projects. Our solution will break down barriers and increase engagement within the space, through providing transparency, validity and credibility of carbon credit tokens and ensuring there is no double counting, an issue that the voluntary engagement in the carbon offset space for many years. Companies within the voluntary sector will also discover our solution through our stakeholders and key partnerships.
Lastly, for the involuntary/speculative segment of our target market, we are still validating our hypothesis around frequency of interest and engagement, and will grow our solution to closely match their customer journey once validated.
All of our customers will be able to log onto our platform through integrated IDs (e.g. Google login) and be presented with their aggregate scoring (EtherScan emissions calculator for our first stage of customers; data-science-enabled scoring for the rest - companies can also choose to upload their audited scoring if they have it) and then make a decision on which carbon credits to purchase. They will receive a certification which they will be able to use to report to their own stakeholders for carbon-neutralisation assurance. Over time, our solution will provide these companies with a secure and verified audit trail of their carbon-net-zero journey on our platform, which is immutable and transparent.