New Platform Launch Addresses Rapidly Growing Voluntary Carbon Offset Market That Could be Worth $100 Billion by 2050
First Carbon Corp., (“First Carbon” or “FCC” or the “Company”) developers of the world’s first decentralized carbon credit non-fungible token (“NFT”) onboarding platform, is pleased to announce it has launched FirstCarbonCorp.com to introduce its proprietary platform leveraging the power of NFTs on the blockchain. The platform, provides carbon credit issuers an “on ramp” to the blockchain, while enabling users to track, trade and burn credits in a simple and secure way accessible to everyone, everywhere.
First Carbon has pioneered the use of NFTs to digitize and allow for the trading of tokenized carbon credits in order to bring transparency and liquidity to the global carbon offset market. The aim of its new proprietary decentralized platform is to enable offset trading on existing tokenized exchanges.
First Carbon’s NFTs will be minted on a proof of stake consensus blockchain that connects Ethereum-compatible blockchain networks into one, to enable a multi-chain Ethereum ecosystem. The platform was chosen to ensure that the project would be interoperable with the Ethereum blockchain while ensuring that minting activities will be both low emission and cost.
Currently there are two categories of carbon offset credits: Compliance creditsare created and regulated by mandatory regional, national, and international carbon reduction requirements, and Voluntary credits which function outside of the compliance credit market and enable companies and individuals to purchase carbon offsets on a voluntary basis.
According to Trove Research (June 2021) the Voluntary Carbon Market (“VCM”) represented only 0.2% of global greenhouse gas emissions. In the past two years alone, the number of voluntary offsets sold has doubled. The Institute of International Finance believes there is “huge upside potential” for voluntary carbon credits, predicting the market could be worth as much as $100B/year by 2050.
On September 22, 2021, BNN Bloomberg reported, “Investors managing a collective $6.6 trillion are pressing the finance industry to boost funding for carbon-removal methods and standardize pollution credits as part of the effort to keep global warming within 1.5 degrees Celsius of pre-industrial levels.”
The Trove Research report states that current VCM prices of $3.00-$5.00 (USD) per tonne of CO2 equivalent (tCO2e) are unsustainably low. With projected increases in VCM demand, average VCM prices should rise to $20-50/tCO2e by 2030 driving real investment in new projects to reduce emissions. With a further increase in demand by 2040, carbon credit prices would be expected to rise in excess of $50/tCO2e.
First Carbon’s onboarding platform will make it easier for companies to take part in the global effort to reduce their impact on the environment. Benefits of the onboarding platform will include:
First Carbon’s ERC1155-compliant tokens will be backed by real, verified carbon credits, providing increased accountability and security in carbon offset trading.
Mo Yang, CEO of FCC, comments, “We are very excited to announce the official launch of our website and the development of a proprietary platform which will transform the way the market issues, buys and sells carbon credits. Current carbon trading systems are fragmented and opaque; First Carbon is providing a reliable framework that could easily increase the flow of capital into carbon reduction initiatives, helping bring historically underfunded environmental companies and projects to market. Built on the Ethereum network, our decentralized exchange technologies tap into the DeFi universe, which holds unprecedented advantages.”
Eddie Law, Developer at FCC remarks, “The team is looking forward to creating novel smart contracts and a slick user experience, which will enable users with limited crypto experience to take advantage of these carbon offset NFTs as never before possible.”
Based in Toronto, Canada, First Carbon is a technology company that has developed the world’s first decentralized voluntary carbon credit NFT which will be minted on the Polygon, powered by Ethereum and tradeable on global digital platforms based on the blockchain. The ERC1155-compliant tokens are to be backed by real, verified carbon credits, providing increased accountability and security in carbon offset trading.