Flow Carbon Joins Celo’s Climate Collective in the Fight Against Climate Change

The Celo Foundation and the Climate Collective, a community of organizations, advocates, and Web3 projects built on Celo and dedicated to reversing the harmful effects of climate change, welcome Flow Carbon as the Collective’s newest partner. Operating at the intersection of the voluntary carbon market (VCM) and the Web3 ecosystem, Flow Carbon brings carbon credits to the blockchain to rapidly scale climate change solutions by facilitating a credits market that’s liquid, transparent, and easier to navigate than the traditional market.

“We’re incredibly excited to be joining the Climate Collective. Celo is the benchmark when it comes to thinking about carbon neutrality in the cryptocurrency space. We look forward to being an instrumental partner to Celo in shaping the ReFi ecosystem going forward.” — Philip Fogel, Chief Blockchain Strategist, Flow Carbon

How Flow Carbon’s GNT Token Can Contribute to Celo’s Carbon-Negative Ecosystem

The VCM is valuable, driven by organizations, institutions, and individuals who purchase their own carbon offsets voluntarily and typically out of a strong sense of social responsibility. Flow Carbon’s flagship carbon offset token, the Goddess Nature Token (GNT), is a bundle token composed of individual ERC-20 tokens called GCO2. Each GCO2 is backed 1:1 with a live, unretired carbon credit representing one metric ton of carbon removal or reduction that was certified by a market-recognized certification body, thereby ensuring that the offsets are credible and quantifiable.

Flow Carbon’s first token is backed by offsets that come from nature-based projects, advancing Flow’s mission to protect the earth’s natural carbon sinks. According to the UN, “some 10 million hectares of forest are still being lost each year through conversion to agriculture and other land uses.” That loss amounts to an area the size of Kentucky. Even with growing recognition of the importance of nature-based solutions in tackling climate change, private sector investment is lacking. Flow wants to change that.

As a next step, Flow Carbon will introduce the GNT token to the Celo community on the Celo Forum. Shortly after, Flow will formally propose to the Celo governance community that GNT be added to the Celo Reserve — the portfolio of asset holdings that back Celo’s native stablecoins. With GNT in the Reserve backing Celo’s stablecoins, increased adoption of those stable assets would allow the Reserve’s allocation of GNT to grow and scale up regenerative activities.

If the community votes to approve the addition of GNT, it will join Moss.earth’s MCO2 token, the first on-chain carbon credit asset to represent a basket of REDD+ and reforestation projects in the Amazon, making the Reserve more diversified and resilient.

“The Climate Collective is thrilled to welcome Flow Carbon to our membership. Flow’s mission to make carbon markets more accessible and transparent deeply aligns with the mission of both the Climate Collective and Celo to make digital currencies accessible to all while being a net positive for the planet.” — Craig Wilson, Climate Collective Lead

Additionally, with GNT on Celo, developers can compose this new multi-functional primitive into other applications, such as lending protocols, metaverse games, and decentralized exchanges by integrating automatic carbon offsetting into smart contracts.

How Web3 Technology Can Boost the Carbon Offset Market

The Climate Collective launched in October 2021, at a time when the VCM was experiencing unprecedented growth, on track to eventually pass $1 billion in annual transaction volume in 2021. The incredible surge in demand for voluntary carbon credits presents a big opportunity for the Climate Collective to meet its goal of allocating up to 40% of the Celo Reserve to tokenized nature-backed assets over the next four years, and to further execute its commitment to reversing the harmful effects of climate change using Web3 technology. In particular, Web3 tech can help address the VCM’s structural pain points — namely, slow, expensive buying cycles conducted over-the-counter through layers of brokers with limited liquidity — that have historically hampered broader participation.

Beyond this partnership with Flow Carbon and its existing alliance with Moss, the Climate Collective is spearheading additional efforts to encourage everyone to unite around climate action.

About Flow Carbon

Flow Carbon is a pioneering climate tech company bringing carbon offsets onto the blockchain. Its mission is to make carbon markets accessible and transparent, enabling billions of dollars to be invested directly into projects that combat climate change. Founded by a team of experienced entrepreneurs with collective expertise in carbon, sustainability, and blockchain technology, and backed by some of the biggest investors in the world, Flow Carbon is committed to driving real impact for people, biodiversity, and the planet.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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