By Nathan Ferguson
Ripple Labs is expecting carbon credit NFTs to be brought up on the XRP Ledger via its new $100Million support fund.
Funding Carbon Reduction Initiatives
According to the information released by Ripple, the firm is now looking into accelerate and support ventures and technologies working on the minimization of carbon and wants to assist in increased efficiency of fintech and crypto projects related to carbon, via its newly initiated massive $100Million funding program that also focuses on the upbringing of carbon credit non-fungible tokens (NFTs).
Ripple officially stated that the funding will provide support in the development of new systems and developer tools that will help to “enable carbon credit tokenization” as the central NFTs on the XRP Ledger. Ripple mentioned that not only will this new initiative help to reduce carbon footprints but will also assist achieving “global climate goals” to control the rising temperatures around the world, caused by global warming around the world.
This new support program from Ripple also justifies their main objective to become fully carbon free by the year 2030. Seeing XRP Ledger’s impressive role in becoming carbon free around two years ago, Ripple is also working to stay on the track towards making most of its operations carbon free by the year 2028.
Ripple is also the co-founder of the Crypto Climate Accord that was developed in 2021, that has since received the support from more than 500 members. According to their website, the main objective of this accord is to help decarbonize the global cryptocurrency space by the year of 2040.
“Scaling Carbon Markets”
General Manager at RippleX, Monica Long also shared her views on this new initiative by Ripple, saying that carbon credit tokenization can be very useful in scaling carbon markets and help to handle the rise in overall demand, while also making sure that “credibility, integrity, and transparency” is maintained in the markets. Monica referred about how many carbon-focused startup projects have been developing on the XRP Ledger to help to provide more climate focused solutions in the market.
Furthermore, she said that by connecting blockchain with climate control projects, the crypto market can quickly support and validate carbon credit NFTs, while also reducing fraudulent schemes and confirming that the counteract is really reducing carbon for the coming times ahead.