TerraGreen Coin Model
TerraGreen platform, a blockchain based renewable energy coin, will serve to promote and assist in creations of renewable energy generating facilities around the world. This is done through the issuance of energy coin and thus raising capital for renewable energy producers. These energy coins, therefore, shall represent the amount of green energy the producer committed to produce and deliver to end-users via grid or distributions network. In this way, renewable energy producers can trade globally with everyone, both users and investors, by selling the energy in advance, and this, in turn, ensures liquidity and access to capital for setting up renewable energy plants.
The premise of TerraGreen Coin is expanded from the DeKo Thesis, which states that that “electrical energy in the unit form of delivered kilowatt-hours can be a more stable asset for backing a currency than gold or debt, hence it offers a combination of stable value together with economic utility.3Hence, the value of TerraGreenCoin are backed by renewable energy generating assets and standardized smart contracts.
A smart contract is a contract between two parties, one that generates renewable energy products for the purpose of sale (the seller) and one that purchases and receives these products (the buyer or off-taker). The smart contract defines all of the commercial terms for the sale of renewable energy products between the two parties, including when the project will begin commercial operation, scheduled for delivery of the products, penalties for under delivery, payment terms, and termination. A smart contract is a principal agreement that defines the revenue and credit quality of renewable energy plants and is thus a key instrument of project financing.
TerraGreen Coin’s main objective is to combine the benefits of today’s worldwide most extraordinary interests: world renewables biomass waste generations, renewable energy, and digital currencies. Renewable energy and digital currencies are expanding through creative innovation, and as such the inventors at TerraGreen shall spur the creation of TerraGreen digital currency, which shall be connected directly to renewable energy assets and biomass waste generations. In this way, TerraGreen platform is connected to the biomass waste collection process, renewable energy plants, energy grid and distribution market to the end users. With the integration of TerraGreen, BigData and Internet of Things (IOT) Apps with TerraGreen decentralized App, the whole process of exchange of energy as a basic layer of the digital energy world becomes transparent and henceforth TerraGreen Coin will lead the global digitization of renewable energy from waste material.
TerraGreen platform shall contain data of the renewable energy produced, exported, the energy price sold to the local grid and the biomass waste supply chain management in a transparent manner. Once a renewable energy producer is connected to TerraGreen platform, their future renewable energy generations are converted into digital currency based on energy unit of Joule. The value of One TerraGreen Coin is equivalent to 10 MJ that will be produced and injected into the grid & market at a certain time in the future. In this way, any renewable energy producer is able to raise part of capital required to finance the renewable energy project through the selling of a portion of Joule that will be produced in the future, on the Terra Green network, in a form of energy currency. This energy currency could be purchased by investor or buyer and it is backed by green energy asset and standardized smart contracts.
Each energy currency coin is based on a smart contract that has the following information:
✔ type of renewable energy products
✔ type of biomass waste material
✔ commercial operation date of renewable energy plants
✔ equivalent MJ and price
TerraGreen platform, in addition to helping solve the current global problem of biomass waste by innovation of renewable energy technology and financing of the renewable energy projects, has the opportunity to become the leading digital energy platform based on the principle of waste-to-energy, carbon-neutrality, and decentralization of the industry. With the combination of blockchain technology, Apps related to decentralization, IOT and BigData, smart contract, biomass supply chain, state-of-the-art technology and machine learning, TerraGreen platform shall be ready to develop into a virtual green energy company, fully self-managed and decentralized. This will provide the possibility for waste-to-renewable energy projects to be developed at a higher success rate, thus giving substantial positive impact to climate change and environmental pollutions caused by wastes generated from the activities of the human being.
