Deforestation is one of the world’s most critical problems, as forests are our planet’slungs: they provide us, quite literally, with a “breath of fresh air.” The rateat which human beings are tearing them down is alarming. Actions are needed tostop and remedy the situation.
Fortunately, the blockchain technology, among all of the benefits it can provide, saves a soft spot for environmental projects. The most recent piece of news involves a group of German entrepreneurs that are trying to make their contribution in saving the planet, one step at a time.
To be more specific, the German developers are aiming to create a blockchain-based project with the intention of saving trees in Paraguay, one of the most affected countries in the planet by deforestation.
Meet TreeCoin
TreeCoin is the name of the initiative, and the macro objective is to stop deforestation. The first step to take is to engage people to take part in a reforestation project in the South American country, raising enough funds to plantfast-growing eucalyptus trees.
Paraguay is known as a nation with a relatively big territory (406,752 km2, ranked 59th in the planet) and few inhabitants (7,052,984 people, ranked 104th.) It is landlocked, and it is bordered by Argentina to the south and southwest, Brazil to the east and northeast, and Bolivia to the northwest.
The nation is located at the center of the sub-continent, which is why it is often
The Modus Operandi
According to the terms of the project, the land itself, through eucalyptus timber, will make a profit every four years. Additionally, in that timeframe, more square kilometers of trees and forests will be saved from being torn down in other locations. Some of the generated funds will be reinvested to acquire lands and plant more trees.
Project developers plan to recover approximately 597 square kilometers of forest area in the next 22 years. The best part of it all is that the project is 100 percent sustainable over time. The TreeCoin initiative, led by German entrepreneur Jörg Schäfer (also known as Mr. Green) was recently presented at the BlockShow Asia.
The TREE will be the associated token to the project. It is of the security variety and will be issued by the company. Those that acquire tokens get to decide the amount of trees they desire to plant. The TREE token equals one planted tree at the startof the project, and it will be valued at $23.
As part of a hybrid token model, one TREE security token will trigger the emission of 100 TreeCoins, which will serve as the complementary coin. Of those 100, 70 will go to the TREE token holder and 30 to the project team to cover expenses.
By Andres Chavez
