ALLCOT IO joins Climate Collective to use digital technology for more transparent, efficient and integrated carbon sequestration projects
ALLCOT has joined the Climate Collective, a coalition of investors, nonprofits, entrepreneurs and scientists to leverage technology for climate action in ways that are verifiable, transparent, efficient and at scale.
The challenges of carbon emission reduction projects
There are several systemic challenges currently facing carbon emission reduction projects. One of them is that when money does reach communities on the ground, distribution isn’t always fair and equitable – and payment structures don’t always align with project goals.
Another challenge is the lack of transparency and accuracy in the information with which the actual amount of carbon that carbon projects manage to capture or reduce is calculated. This is due to the fact that the project developers are the ones who privately control the operation, and therefore are the main source of information.
It is also observed that the meaningful shares of project capital are being collected by intermediary operators that are not adding significant value, diverting capital that could reach the communities, who are the ones doing the real work to protect the environment.
Thus, projects rely heavily on the integrity and ethics of developers, and with a few not behaving transparently and with integrity, they jeopardize the credibility of all carbon market players.
Digital technology to build a trustworthy market
For this reason, Climate Collective‘s goal is to build a trusted marketplace using digital technology to make climate stocks high quality and ALLCOT IO has a lot to contribute.
ALLCOT IO was invited to be part of this coalition for several reasons. Firstly, because it has extensive experience in project development and knows how to leverage digital technologies across the carbon value chain.
Similarly, ALLCOT IO knows the essential perspective of having as direct partners communities in the Global South, in countries such as Senegal, Ivory Coast and Colombia.
And finally, ALLCOT IO can facilitate partnerships with many of its allies who are today building blockchain-enabled marketplaces, APIs and digital MRV tools.
In short, ALLCOT IO is using the latest web3 technology, including blockchain registers, smart contracts and digital MRV, to unlock more speed and scale in the project development phase. This makes the project lifecycle transparent, efficient and high-integrity and ensures equitable revenue sharing for participating communities.
We look forward to putting all our knowledge and experience into building, with Climate Collective, a trusted marketplace that uses digital technology to make high-quality environmental projects that help people and the planet thrive.