Our environment is at stake. Deforestation is happening at a rapid pace. Our planet loses forests equivalent to 27 soccer fields every minute. This means that more than 75,000 square kilometers of land are released in a year.
As expected, this will cost on our planet. Fortunately, a group of German entrepreneurs came together to work on a blockchain-based project to save trees in Paraguay, one of the countries most affected by deforestation.
What is the project about?
TreeCoin, a blockchain-based project, aims to stop deforestation by offering participants a stake in an ambitious reforestation project. The project plans to plant eucalyptus trees in empty areas that are at least 20% larger than the city of Paris.
The company believes that they will generate a profit by selling eucalyptus timber every four years, as well as saving trees to be cut. The profit earned will then be reinvested to buy more land for tree growth, and the cycle will continue to continue.
The project was exhibited at BlockShow Asia by a group of German businessmen led by Green, Mr. Jorg Schafer.
The idea behind
A security token, called TREE, will be issued under Swiss jurisdiction. The token buyer has the right to decide the number of trees who are planning to start. Initially, a TREE token is equivalent to planting a tree, which will be around $ 23, including all running costs and land purchases, the company revealed.
TreeCoin plans to invest 50% of the profit generated to buy more land to plant more trees, while 10% will be donated to social causes in support of nature, water treatment and the like.
The scope of the project is estimated in 22 years and, during this period, TreeCoin plans to cover 597 square kilometers.
The project is supported by the Paraguayan government and the TREE coins will be considered as a legal tender, according to the company. The local workforce will be paid "above the average" and 20% of their salaries will be paid into the TREE coins directly to their electronic purse.
The company plans to collaborate with local food stores to offer 15% to 20% discounts on purchases made with TREE coins.
The team admits that this initiative may not stop the rainforest extinction, but it will certainly be the right example for the business world.
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