On August 16, 2022, the Biden Administration passed the Inflation Reduction Act, committing to cut the USA’s carbon footprint by 50% by 2030. This goal is no surprise as over 60% of top Fortune500 companies already have well-defined net-zero or other climate goals. However, 70% of the country’s global emissions are produced by less than 100 companies, and experts continue to call on all polluters to act towards realistic and responsible net zero goals. Although the voluntary carbon market has quadrupled since 2020, this market still needs to expand further, with McKinsey estimating that in order to achieve net zero by 2050, the market will require a further $275 trillion dollars of spending.
Despite the rapid expansion of the carbon credit market, which grew recently to $1 trillion, many companies wishing to offset their emissions with voluntary carbon credits are finding the market not only opaque and expensive but also difficult to access, let alone navigate. Tracking these carbon credits and ensuring that they have made a difference is challenging, which makes the market very difficult to monitor. This issue has proved to be a significant barrier to liquidity, especially for retail investors who are looking to invest in sustainability.
Changeblock, as an environment and technology-first organization, is changing this landscape for buyers, investors, sellers, and climate-change NGOs alike. The emergence of Change block, a transatlantic environmental and technology powerhouse, is set to change this for market participants, whoever and wherever they are.
The Changeblock Difference
Having recently completed a merger with Carbon12, Changeblock is developing an end-to-end, decentralized trading and data infrastructure that allows companies and individuals to invest and trade seamlessly in carbon credits. The Changeblock platform addresses the issues around liquidity, fragmentation, accessibility, and high friction, but most crucially, it addresses the issues of trust and transparency.
Changeblock has developed a marketplace and will soon be delivering its SaaS and DaaS solution sets to its first trial users. The Changeblock platform uses the immutability and low-transaction friction of blockchain, as well as high-quality data, to deliver transparent, reliable, and efficient trading and provenance, enabling companies and individuals to achieve their decarbonization goals. With Changeblock, retail investors and large corporate investors will be able to tap into ESG (Environmental, Social, and Governance) investments, and the market will become more robust, provide impressive returns, and, most importantly, positively impact society’s ability to reduce the effects of climate change.
Changeblock’s co-founder and CEO Billy B Richards (24), previously a computational biochemist at Oxford University, has spent the last 18 months with his team designing and developing a world-leading technology ecosystem that uses data, decentralization, and trust to improve the profitability of the Environmental, Social and Governance (ESG) markets. Until recently, ESG investments have faced an uphill battle to convince their investors of the potential return. However, a number of recent studies and reports confirm that ESG investments are profitable for both individuals and institutions. One such study showed that $1 invested yields $4 in benefits.
By addressing the flaws in the market, reducing friction, and enhancing economic efficiency, Changeblock is pushing the market toward the liquidity levels and efficiencies expected of 21st
century markets. This, in turn, reduces costs for investors, inspires new market entrants, and pushes the needle in the fight against climate change. The services offered by Changeblock go much further than just a marketplace or exchange. Companies can partner with Changeblock, using its SaaS and DaaS offerings to understand their carbon footprint and then get guidance on
how to address their impact through offsets and other methods. In other words, Changeblock helps organizations minimize their liabilities and optimize their returns.
Investing in a Better World
Unlike existing platforms which are restricted on asset types, liquidity, and access, Changeblock’s platform enables users to trade more than just carbon credits; end-of-life plastics, nitrogen, sulfur, as well as other emissions and biodiversity assets, are all part of the platform’s roadmap. As large institutions and individual investors begin to understand the big picture, such as how monetary incentives are associated with climate change, it will become clear that Changeblock’s platform is a significant next step towards a greener planet.
Emissions Reduction is Still a Priority
Changeblock is a place where the environment and the economy shake hands, but ESG asset investments are just the beginning. In order to address true emissions problems, large institutions are going to have to work on the actual reduction of emissions. There’s a difference between offsetting emissions and reducing emissions, and it’s going to take both to achieve the emissions reduction goals set by the White House.
Changeblock is making a difference here as well, in three important ways:
- Funding & Origination: Changeblock’s ‘streaming’ division, Carbon12, co-invests in promising, disruptive technologies and environmental asset projects, making capital available for them to affect their market entry or pursue accelerated growth. One such investment is in FusionOne, a pioneering entity that produces hydrogen gas for energy generation from end-of-life plastics with zero carbon emission.
- Smart Contracts & Decentralized Finance: By offering smart contracts and structured products, it will be possible for large organizations to hedge their liabilities in the same way that other commodity traders do. The effect of this will enable credit originators to ‘package’ their credits, enhancing their attractiveness, securing offset customers, and generating new revenue streams to fund their development.
- Domain knowledge: Many innovators in the ESG space are aware of the financial benefits carbon credits can bring them, but they do not have the sector knowledge to optimize their returns. Changeblock has developed a SaaS-based consulting tool that helps companies develop and implement their carbon strategies in order to optimize their returns.
Changeblock is the only end-to-end climate platform in the marketplace. It will deliver value to all participants, whether they are a community in Peru protecting their woodlands and forests or an emergent sustainability-focused Venture Capitalist in Europe. Changeblock is in a position to make a major difference by helping the world meet its climate objectives with a profitable
business model and maximizing shareholder value.
Innovation Can Save the Planet
The carbon trading market, as it exists right now, doesn’t work. What it needs is something new. An entirely new marketplace, one that uses the latest integrative technologies, trades a newer class of assets and uses blockchain technology. The timing is good; there is a lot of great momentum in this space right now, with a range of investors eager to get involved. Changeblock, with its international team of technologists and capital and carbon market experts, is the missing piece to the puzzle. Changeblock will make investing in the future a whole lot easier with our easy-to-use platform, transparent processes, and secure trading mechanisms.
At last, consumers and corporations can join together to make a difference. Change is now possible, thanks to Changeblock.
