DeFi

Sustainable Decentralized Finance for Carbon Credit Trading

Published

6 months ago

22 July, 2024

Decentralized Finance for Carbon Credits Trading: Innovating Emissions Reduction

Decentralized finance (DeFi) is a revolutionary subsection of financial technology, or fintech. People may be familiar with the terminology surrounding cryptocurrencies and how all transactions are distributed and verified peer-to-peer rather than through a bank. However, people know that doing everything online consumes a lot of energy and generates emissions. That’s where carbon credit trading comes in.

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What is DeFi and how does it relate to carbon credits?

Decentralized finance (DeFi) is a technology that eliminates the need for banks. A purchase or transaction no longer requires the intervention of a third party. Instead, DeFi uses these assets to give people the power to monitor their monetary activities:

Blockchain: A digital database, or ledger, made up of block-like links that track, verify, and encrypt transactions. It is the backbone of many cryptocurrencies.
Distributed Ledger Technology (DLT): A data network where each node contains an unalterable version of the ledger. All blockchains are DLTs.
Cryptocurrency: A decentralized, encrypted digital currency system that is currently unregulated by most governments. It is issued to individuals by miningwhich requires software and hardware to solve mathematical problems, adding blocks to the chain to make it more reliable.
Carbon credits: Companies and individuals can purchase limited allowances to produce a predetermined amount of greenhouse gas emissions. Tokenized carbon credits are digital versions within blockchains.
NFT: Non-fungible tokens, which are similar to digital certificates of authenticity for online assets, such as artwork or carbon credits.

Decentralized finance has operated for years without tokenized carbon credits, and the introduction of the concept is a necessary step to promote the climate debate in fintech.

Why are tokenized carbon credits important?

The online financial space might have a more environmentally friendly reputation, but it requires seemingly unlimited computing power and energy. Cryptocurrency mining produces 25 to 50 megatons of carbon dioxide (CO2) per year in the United States alone, which is equivalent to the national diesel emissions of the rail sector. While DeFi platforms offer consumers infinite freedom, they have a high climate impact.

Using DeFi for carbon credit trading could turn the tide. It could spark a revolution in transparent and environmentally friendly trading in secure digital environments. Tokenizing carbon credits makes them accessible to a wider audience.

Smart contracts, which are blockchain versions of paper documents, add security to token-based exchanges. They are unchangeable and traceable, making them ideal for holding people accountable for their climate impact. This program contains all the information about the owner and seller of the carbon credit. The information is publicly visible, introducing a new level of visibility into climate discussions.

How do digital carbon credits work?

A credit is transferred to the blockchain via a carbon bridge, a technology that connects the chain to conventional carbon ledgers. The bridge carries the metadata of each credit, creating a certifiable token in the internet ether.

Although blockchain is one of the most secure online mechanisms, it remains exposed to cyber threats. Many traders exchange cryptocurrencies and carbon credits via online DeFi platforms, which are vulnerable to phishing, malware, social engineering, and distributed denial of service attacks, to name a few. A trader may receive a spoofed SMS or email that looks like their trading platform, asking for information validation. The content appears urgent with a general greeting, but in reality, it is a hacker stealing data.

Closing these gaps in DeFi is essential to maintaining its glowing reputation. If the systems that underpin it collapse, carbon credit trading will collapse as well. People should not turn away from it when decarbonizing the financial world is so vital. Moreover, these online applications will gradually move to less resource-intensive platforms. Online trading consumes tons of electricity, most of which is based on fossil fuels. Moving to the cloud – which is more environmentally friendly – and leveraging green software will provide a more carbon-friendly structure for DeFi carbon credit trading.

Saving emissions with DeFi

Carbon credit trading platforms will require environmental, social, and governance (ESG) reporting. This means companies will have to submit climate data to agencies such as the Sustainability Accounting Standards Board (SASB) or the Global Reporting Initiative (GRI) to document emissions improvements. Third-party accountability is essential for long-term success.

Some companies have made voluntary carbon markets a trend. Singapore-based AirCarbon Exchange is the first to be regulated. It plans for The market will skyrocket by 2030 to achieve net-zero emissions goals. The introduction of these influential platforms will put pressure on policymakers to regulate the crypto world more quickly. This will simultaneously benefit DeFi, carbon credits, and sustainability reporting, as they all need updates.

Another success story is the ClimateTrade platform, which provides credits and offsets through an easy-to-use marketplace. It was founded in 2017 but expanded in 2019, and has been growing ever since. offset 5.5 million tonnes of emissions with over 3,000 registered users. Investments are intended for verified wind or hydroelectric farm construction projects.

Carbon NFTs and the world of decentralized emissions

The language surrounding DeFi, cryptocurrencies, NFTs, and blockchain is still very new in the broader financial world. That hasn’t stopped experts from finding ways to expand its potential early on in its existence.

Around the world, enthusiasts and tech experts are tackling sustainability issues in this space by revolutionizing carbon credits for good. As trading gains traction, it will spark productive discussions in fintech to be more responsible for a greener future.

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DeFi

If You Missed BONK and PEPE This Year, This Viral New Crypto Might Be Your Salvation

Published

6 months ago

29 July, 2024

CoinFlix Staff

If You Missed BONK and PEPE This Year, This Viral New Crypto Might Be Your Salvation

Bonk and Pepe appear set to net new investors 10x to 100x returns over the next 12 months. However, cryptocurrencies in the DeFi play-to-earn gaming sector could offer even greater returns. As August approaches, Rollblock is emerging as a standout DeFi play-to-earn gem with the potential to 100x-1000x gains in the fourth quarter and beyond.

The project features an innovative revenue sharing model and exceptional accessibility, attracting players and investors. Additionally, Rollblock’s extensive game library of over 150 titles and enhanced sports betting are further driving excitement for the platform. Cryptocurrency analysts are expecting a sudden surge in demand. 800% a push for Rollblock from the beginning of September.

Bonk remains strong despite market fluctuations

While most well-known cryptocurrencies struggled throughout July, Bonk remained strong. As one of the highest-grossing meme cryptocurrencies of 2024, Bonk rose over 24% in July, while most cryptocurrencies experienced negative fluctuations.

Investors looking to add a relatively safe memecoin to their portfolio should consider Bonk. While Bonk is unlikely to generate explosive gains of 250x to 1,000x from here on out, Bonk could still theoretically provide returns in the 20x to 100x range.

Pepe should see a big rise in the next bull run

Alongside Bonk, Pepe has yet to go through a bull run. This means that there are still substantial gains to be made from Pepe over the next 12 months.

Pepe is down 4% in 30 days, but that shouldn’t worry Pepe investors in 2024. Experts believe Pepe’s best days are still ahead, with crypto analysts predicting a 10x to 50x surge in the next election cycle around November.

In the long term, Pepe could surpass the 100x mark for today’s investors. However, Pepe is a memecoin, and one should exercise caution when investing in purely speculative assets that have no utility.

Rollblock’s Unprecedented Hype Potential Could Push It Past 100x Valuation in Q4

Rollblock is a GambleFi Play-to-Earn token that integrates centralized and decentralized gambling on a single platform. By allowing players to earn rewards through active participation and gameplay, the platform creates a compelling incentive structure that appeals to both casual and competitive players.

With its cutting-edge blockchain technology, Rollblock offers top-notch security that keeps bets and transactions on the platform secure. The platform’s lack of KYC mandates appeals to both users who value anonymity and security.

Rollblock’s revenue sharing model, which allocates up to 30% of casino revenue to RBLK token holders, is a major draw for investors. The model involves burning half of the repurchased tokens and distributing the other half to stakers, increasing the token’s value and encouraging long-term investment.

The platform is also constantly evolving thanks to user feedback which has enabled updates such as the upcoming sports betting feature within the platform’s casino. This addition will complement Rollblock’s extensive game library of over 150 titles, ranging from traditional poker to innovative blockchain-based games.

RBLK is expected to emerge as one of the leading DeFi tokens in 2024. With a price of $0.0172 with impressive growth potential and over 140 million tokens sold recently, Rollblock is on track to enter the top 100 cryptocurrencies by Q4, making today a lucrative time to buy RBLK tokens.

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DeFi

Cryptocurrency sector is experiencing ‘most misjudged moment’ since 2020, says venture capitalist Arthur Cheong

Published

6 months ago

29 July, 2024

CoinFlix Staff

Cryptocurrency sector is experiencing ‘most misjudged moment’ since 2020, says venture capitalist Arthur Cheong

Veteran cryptocurrency investor Arthur Cheong believes the digital asset sector offers long-term holders a golden opportunity.

Cheong, the founder of DeFiance Capital, tell His 171,700 followers on social media platform X indicate that he believes decentralized finance (DeFi) is hugely undervalued.

According to Cheong, DeFi projects are innovating at a rapid pace and leaving traditional financial (TradFi) companies in the dust.

“It’s been a long time since I’ve been this excited about the risk/reward and potential upside of DeFi. This is probably the most misjudged moment since the pre-DeFi summer of 2020, with extremely promising prospects.

I see opportunities not only in OG (original) DeFi, but also in some newer projects that are evolving rapidly and growing at a pace that fintech startups will do anything to match.

The veteran investor also believes that crypto is now here to stay following recent launch from the Ethereum spot market (ETH) exchange-traded funds (ETFs) last week.

“Overall, the floodgates are open and there is no turning back. TradFi asset managers will continue to launch new crypto products because, guess what: there is huge demand for them!”

I expect them to launch actively managed crypto ETFs [in the] coming years. ”

Earlier this month, Cheong laid that it might be a bad strategy for cryptocurrencies to seek mass adoption, believing that digital assets are designed to disrupt several key financial sectors.

“I think we should accept that cryptocurrencies may not be suited for mass adoption like Web2, but rather are optimized for some narrow but very high-impact use cases like stateless global money, cross-border payments, and decentralized finance.

Chasing mass adoption of normies may be chasing the wrong Grail from the start.

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