Hyderabad-based TRST01 Blockchain has declared the listing of ‘Bhu’ NFT. It is Made in India and is the country’s first real-world carbon offset non-fungible token. It is set on the OpenSea marketplace.
Bhu is an NFT illustrating 1000 kg of carbon separateness or one carbon credit, which is a real-world tradable asset.
Established on Polygon blockchain, Bhu NFT aspires to address an important pain point of the carbon offset business through the use of Blockchain technology.
Prabir Mishra, Co-Founder, and CEO of TRST01 Blockchain emphasize that currently carbon offset business is tainted by the problem of double-counting of data. With the help of Bhu NFT, they are putting the entire process of carbon credit generation on the blockchain, which will be smoothly verifiable.
Mishra further adds that by taking the form of an NFT, Bhu also delivers liquidity to carbon assets, enables simple transferability, and makes the entire process safe and secure with the service of blockchain technology.
Mishra also said that there is a fair amount of chance for Bhu NFT from a market perspective. This is because the size of the carbon offset market is expected to rise from the current $4-5 billion to $400-650 billion by 2030. He also mentions that the world is moving towards carbon neutrality at a faster rate and there is a supply and demand gap, which is going to come up in a big way by the year 2025.
How Bhu NFT works?
Carbon credit generation usually commences at the grassroots. It could begin at the level of a farmer doing sustainable agriculture, villagers doing sustainable agro-forestry, or through actions like the generation of Bio CNG and Solar plants, etc. The contribution of each of these activities in reducing carbon-di-oxide from the atmosphere is noted by auditors and certain carbon credit is allocated.
The carbon credits are currently even exchanged at carbon exchanges in London, Singapore, etc. Although, Mishra said that there are certain pain points like double-counting of data, which his organization is trying to solve by tokenizing the carbon credit generation process itself.
Mishra Explains the entire process using an example:
Suppose you do sustainable agriculture, you help to decrease the carbon discharge to the atmosphere. This discharge gets measured per farmer through the application, and they send it to the auditor, who validates the data to see how much carbon reduction has taken place. That’s how it translates into a certain number of carbon credits.
Capturing the complete process on blockchain helps in faster carbon credit generation. When the carbon credit is generated the application converts it into NFT, which becomes a kind of a useful asset because it is backed by a real-world asset i.e. carbon credit.
According to Mishra, per hectare of sustainable paddy farming can help reduce 3-5 metric tonnes of Carbon Dioxide from the atmosphere. This is like a 3-5 carbon credit and is a high-quality carbon credit. In the international market, each credit fetches around $20. Also, the seizing of carbon credit generation is based on verified models. It has been operated out in Rajasthan. In Madhya Pradesh also the company is working on 3800 acres of bamboo plantation.
Who will benefit from BHU?
Income generated from the NFTs would be circulated to the entire ecosystem including the farmers, villagers, auditors, validators, and tech partners say, Mishra.
Further, he adds that normally farmers get up to Rs 1000-Rs 1500 per hectare of land when he shares his package of practice or data. So, people buying the Bhu NFT may also benefit if the price appreciates in the future.
Chance for individuals?
Earlier, carbon offset was only used by the industry participants who wanted to offset their carbon emissions. Now people can directly buy and sell carbon credits through this non-fungible token.
Bhu NFT would enable individuals to lessen their carbon guilt as each of these token represent one carbon credit. People can hold it and offset their carbon footprint if they want. This will allow common citizens who are concerned about their carbon footprint to trade accordingly.
Where to buy it?
You can buy Bhu NFT on the OpenSea NFT marketplace. TRST01 Blockchain is presently providing some tokens for free through a lottery mechanism.
Bhu NFT Price on OpenSea
The price of Bhu NFT would be around $8-10.
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