Introducing Nature Carbon Ton (NCT)
Bringing IBC-compatible carbon to the Interchain economy
Regen Network, a public blockchain custom-built for global carbon accounting, is bringing Nature Carbon Ton (NCT) a premium digital carbon basket token of nature-based projects, to the Cosmos ecosystem. NCT will be launched by the Regen Network community in cooperation with the Osmosis decentralized exchange.
The IBC-compatible fungible NCT token brings the first digital carbon to the Interchain economy. Regen Network’s infrastructure originates high-quality nature-based digital carbon to blockchain markets, catalyzing regenerative finance solutions to the climate crisis.
The Vision for Nature Carbon Ton (NCT)
At Regen Network we are fiercely devoted to building infrastructure that enables the carbon market and resources the world’s best climate crisis solutions. Given the severity and urgency of the climate crisis, bringing carbon on-chain is central to accelerating the global carbon market. In order to solve global climate coordination challenges, tools like blockchain are required to invest in regeneration at scale. The Regen Ledger blockchain allows for transparency and accountability in global carbon accounting while ensuring that communities of practice on the ground have the tools and capacity to engage with and govern this market.
Nature is a finite resource. Restoring natural capital is of primary importance for Regen Network. Nature-based carbon credits are higher quality than non-nature based carbon credits, because of their ecological, social, and economic benefits such as soil, water, and air quality.
Key Facts on Nature Carbon Ton (NCT)
- Nature Carbon Ton will be minted on Regen Ledger, a Cosmos ecosystem-based, energy-efficient proof-of-stake blockchain custom built for global carbon accounting using the CosmosSDK.
- The Nature Carbon Ton utilizes three native features of the Regen Ledger blockchain: the ecocredit module, bank module, and baskets module technology, delivering the first IBC-compatible carbon token to the Interchain economy.
- An Osmosis community proposal is in discussion. If the proposals pass, NCT will trade on the Osmosis decentralized exchange in the REGEN:NCT liquidity pool. The first proposal is live here.
- Every NCT token is backed 1:1 with nature-based ecocredits issued on the Regen Ledger blockchain. NCT basket tokens can be redeemed for eco credits, which can be retired on Regen Ledger via a $REGEN wallet address.
- NCT can also be minted through the Toucan Protocol on Polygon and will soon be able to be bridged to Regen Ledger via a Toucan-Regen Bridge.
- Regen Network Development, Inc. instantiates and administers the governance of the NCT basket criteria on Regen Ledger.
- The NCT inclusion criteria follows the NCT standard, which Regen Network co-developed with Toucan Protocol, Moss, and BICOWG.
Exploring the NCT Basket Token Criteria
Credit Class: Verified Carbon Standard Credit Class — This credit class is intended to be used by project developers, credit brokers, and other stakeholders interested in digitizing nature-based carbon credits issued by the VCS program of the Verra Registry. Real-world environmental credits from the VCS program are tokenized on Regen Ledger as ecocredits.
NCT-compatible ecocredits have clear and verified ecological benefits, positively affecting our environment from a local to global scale.
Credit Batch Start Date: 2012 vintage year, a 10-year rolling acceptance window, updated annually with the calendar
A rolling acceptance window provides a way to ensure that eligible ecocredits remain high quality. With the 10-year rolling acceptance window, the Nature Carbon Ton will support significant liquidity for nature-based carbon.
Redemption: “TakeFromBasket”
This retrieves the oldest ecocredits first (by batch start date). This mechanism mitigates a NCT basket’s aging, ensuring a healthy cycle of ecocredits, and facilitating freshness to the NCT basket.
Learn more about NCT at the Regenerati News Hour with Regen Network CEO, Gregory Landua and Toucan CEO, Raphael Haupt. Listen to the replay!
What’s on the Horizon?
Community voting on the REGEN:NCT Liquidity Pool on Osmosis
The Regen:NCT Liquidity Pool on the Osmosis decentralized exchange will bring the first digital carbon to the Interchain economy. Osmosis is an automated market maker (AMM) protocol and platform built for long term liquidity in the Interchain economy. Cosmos community members will be able to acquire digital carbon via the pool. By depositing assets into this pool, community members will be able to receive liquidity rewards. See the Osmosis Governance Proposal here.
NCT and the Interchain ZERO Campaign #ReCosmosFi
NCT will bring the first IBC-compatible carbon token to the Interchain economy and allows for the activation of the Interchain Foundation ZERO Carbon Commitment program. Cosmos-based protocols and validators that identify their carbon footprint using the POS footprint calculator designed by Regen Network will be able to offset their carbon footprints by purchasing NCT on Osmosis, redeeming NCT for ecocredits and retiring them on Regen Ledger.
Redeeming Ecocredits from a Basket
A basket token holder may redeem their basket tokens in exchange for an equal amount of ecocredits in the basket one for one. The MVP allows for “TakeFromBasket”, ie. taking an equivalent number of ecocredits from the basket. All calls of “Take” will always retrieve the oldest credits first (by batch start date), ensuring the basket flushes out old ecocredits over time. This mechanism mitigates a basket’s aging, ensuring a healthy cycle of ecocredits, and facilitating freshness to the basket.
Retiring Ecocredits for Carbon Offsetting
An ecocredit holder has the ability to retire, transfer, or hold their ecocredits. Once ecocredits are redeemed from the NCT basket they may be permanently retired by the account receiving them for offsetting carbon emissions.
Learn more on our NCT specific webpage:
