UPCO2 is a symbolic carbon credit that helps fight deforestation in the Amazon, the Congo Basin, and Indonesia
Earlier this month, Elon Musk tweeted “Hodl the rainforests !!”, using crypto-market jargon to urge sustained support and protection for rainforests. The Universal Protocol Alliance (UPA) answered that call by attaching a symbolic market value to carbon.
The UPA is a coalition of leading blockchain and crypto firms that includes CertiK, Uphold, Bittrex Global, Ledger, Fifth Era, Trovio, Hard Yaka, and SFOX. In early 2020 they launched the UPCO2 token — each UPCO2 represents one metric ton-year of CO2 pollution avoided through a project certified under REDD+ (reducing emissions from deforestation and forest degradation).
Each UPCO2 token is backed by a Voluntary Carbon Unit (VCU), a digital certificate issued by recognized standards bodies such as Verra. VCUs enable projects to convert verified greenhouse gas reductions into tradable carbon credits.
UPA chairman Matthew Le Merle said: “UPA is proud to have turned Elon’s vision into reality. ‘Holding the rainforests’ is an important and powerful first step: these forests are the lungs of the planet and are under severe threat. With the rise of digital carbon credits, a world of practical solutions opens up, creating an efficient market channel to deliver exceptional impact where it’s most needed.”
Yesterday, the UPA announced that UPCO2 had become the first environmental crypto-commodity listed on the Bittrex Global digital asset trading platform, based in Liechtenstein.
Tom Albright, CEO of Bittrex Global, commented: “We are pleased to provide every Bittrex Global user access to UPCO2. With this important listing, we enable institutional and retail investors to participate in both potential carbon credit appreciation and carbon footprint offsetting, while contributing to the preservation of the world’s tropical rainforests.”
In addition to UPCO2, the UPA has developed an ERC-20 wrapped, carbon-neutral Bitcoin token called BTC0, created in consultation with leading carbon experts worldwide.
These efforts led to the formation of the UP Carbon Foundation, which will use block issuance proceeds to ensure that funds spent on fully realized credits are directed to expanding protected areas. The foundation will also ensure that the carbon credits underpinning UPCO2 are diversified and of impeccable quality.
Le Merle added that the UPA and Bittrex Global plan to jointly nominate Universal Carbon for an X Prize Foundation award — an Elon Musk-funded initiative designed to accelerate carbon removal efforts.