Environmentally focused project is back with another groundbreaking update
TreeDefi has been very active this month, presenting a rich schedule of releases for the next few weeks. Their objective for the month is to set up the entire technical structure of their carbon credit activities, allowing their users to offset all of their transactions on the protocol’s MA.
This is an important update as it will complete the current phase of NFTree technical development, allowing NFTree to emit the equivalent amount of CO2 they absorb from the atmosphere in the form of tokens. This opens the door to countless green ideas that TreeDefi can implement in the protocol.
CO2 credit token
The new token is a BEP20 token, issued only by NFTrees in a process where each token equals 1kg of CO2 absorbed by the planted tree in real life. This means that users will have a constantly running CO2 token farm just by holding their NFTree. Then, they can decide whether they want to sell the tokens through TreeDefi’s decentralized exchange, use them for compensation, or use them to join new farms. Considering the token structure, this could be a great opportunity for users to gain long-term value from their NFTrees.
The value of CO2 will eventually be directly related not only to market demand, but also to the amount of supply that can be provided by TreeDefi’s planting activities. Therefore, if demand becomes incredibly high on the institutional side, retail investors could hold a strong asset.
Implementation in the AMM
One of the most important features implemented by the team will allow users to offset their AMM transactions with a small amount of CO2 credit tokens from their wallet. For those users who do not have CO2 credit tokens, they have designed a system that automatically purchases the necessary amount of tokens and burns them, while taking into account the additional transactions made to obtain the tokens.
This leads the project to full traceability and immediate recognition of the clearing action, as it will be displayed in the same transaction being cleared. To encourage users to go green, there will also be special NFTs that users can receive when they reach certain compensatory milestones on the AMM.
For users only interested in the yield farm, there will also be many benefits to the economics of the project itself as more people trading, buying NFTrees using $ SEED and $ TREE will create a ball. of scarcity snow with an increase in trading volume by market capitalization. The rising trading volume is something of particular interest to every user invested in the project since LP holders and $ TREE holders will receive dividends based on the ongoing trades.
TreeDefi surely aims to become a hub for other green projects that already use the Blockchain or those that have not yet joined. We have seen many projects and even entire chains like EGLD (Elrond), for example, which try to use this miraculous technology to promote an environmental revolution in the real world – since the production of carbon credits can be done through many different ways (Ocean cleaning, installation of solar panels, promotion of social activities with a positive impact on the environment and many others).
We all know that bringing these real applications to the blockchain is something that will be even more beneficial for the whole of society in terms of transparency, security and speed. Expanding further on this, transparency is something that all real world environment related projects need. Over the past decades we have witnessed numerous scandals around the world involving NPOs, NGOs and charity programs – sometimes embezzling money, sometimes exploiting local communities or even working as a front for corrupt politicians.
In addition, the AMM was designed with other projects in mind, allowing them to join TreeDefi and offset their project’s emissions in a transparent and fully monitored system. Past and future partners will have the chance to be listed on TreeDefi’s decentralized stock exchange, giving them visibility and allowing them to take advantage of all the environmental features provided.
Moreover, if more and more eco-friendly projects join the blockchain and launch IDOs with TreeDefi, it also means that TreeDefi will not only plant more trees, but will also encourage and bring the process of ‘tokenization’ for this niche, which can be totally revolutionized by the benefits of blockchain, as mentioned earlier in this article.
With all of this in mind, if you have an ongoing blockchain project or want to be a part of this massive blockchain / tokenization wave, getting in touch with TreeDefi is a smart choice to start your project!