In another example of how blockchain technology has endless potential to better the world, TreeCoin announced plans to host a Hybrid Token Offering (HTO) in the coming weeks. The company seeks to simultaneously reduce the effects of global deforestation, whilst providing countries with an economically sustainable option via its reforestation and timber cultivation program. The news showcases how blockchain-based crowdfunding can help ethically-based programs take flight.
TreeCoin developers want to provide a sustainable and scalable timber production model to countries ravaged by deforestation. The firm hopes to create a model that is duplicable by other environmental protection groups globally. In this manner, TreeCoin hopes to be the spark that ignites environmental change.
According to TreeCoin executives, the firm will start the program in Paraguay. Paraguay suffers from major ecological imbalances due to the loss of 90% of its eastern forests. TreeCoin plans to purchase 12,000 hectares of deforested land as the first step in its strategy. Here, TreeCoin plans to plant 10 million Eucalyptus trees.
10 Million Eucalyptus Trees
In order to accomplish this monumental task, the company partnered with a local reforestation team. Additionally, TreeCoin opened a training facility in which local Paraguayans learn the skills necessary to care for eucalyptus trees from a seedling. This center is run by the reforestation specialists, Andreas Jelinek of Grupo Empresarial La Rivera S.A. Paraguay.
Under the lead of Jelinek, TreeCoin already reforested 3,000 hectares of land into development. Notably, the program resulted in some 2.5 million harvested trees under their management. The best part of this strategy is that it’s truly sustainable. Basically, newly planted trees replenish the supply at a rate far greater than the deforestation rate.
TreeCoin developers seek to expand their operations globally. In order to do so, the firm announced an upcoming hybrid token offering (HTO). HTOs are more common than ever for a couple of key reasons. For one, it allows firms to offer security tokens to investors, alongside utility, or other types of tokens, to support the platform’s ecosystem.
TreeCoin investors receive TREE security tokens. These tokens grant the holder rights to receive a share of profits generated from timber harvests. Every TREE token sold to investors represents one physical eucalyptus tree that is planted by TreeCoin in Paraguay.
Additionally, investors receive TXC currency tokens. These tokens are meant to serve as a form of currency for local vendors. Importantly, each TREE security token generates 100 TXC tokens. These TXC tokens get assigned to the token buyer at the time of purchase.
Support Local Communities
TreeCoin developers envision a day when TXC tokens see use as a means to support local retailers, communities, and social projects across the country. In this manner, the firm creates a sustainable timber industry standard that is able to generate long-term income and economic stability.
Currently, TreeCoin developers work off of a 23-year cycle. The HTO will enable the firm to reinvest in land and purchase new trees to a total value of $546 million. Company officials predict this initial investment will produce a profit of USD 1.1 billion.
TreeCoin’s CEO Jörg Schäfer spoke on the goals of the project recently. He described the unquenchable thirst the world has for lumber, and the forecasted increase use over the coming decades. He explained that this trend is unsustainable and changes are necessary to prevent mass deforestation.
Schäfer then took a moment to discuss the steep price countries pay for deforestation. Paraguay, in particular, is an excellent example of the risks deforestation causes. The country lost 90% of its eastern forests due to years of timber harvesting without oversight or regard for the ecosystem. Now the Paraguayan ecosystem faces real concerns due to the imbalance.
Paraguay is by no means alone in its deforestation troubles. All over the globe countries’ ecosystems are at risk of permanent damage due to reckless deforestation. TreeCoin’s ambitious strategy could provide some relief to those areas experiencing the most damage.
According to the United Nations Food and Agriculture Organization (FAO), around 18 million acres of forest are lost yearly. To put this into perspective, this is like if a forest the size of Panama disappeared off the face of the earth every year. To break it down even further, this is the equivalent of losing 27 soccer fields of forest every minute.
The hardest-hit areas are the rainforests. The FAO reports that half of the world’s tropical forests have been cleared already. The environmental publication National Geographic collaborated these findings when it revealed some startling predictions for our future. At the current rate of deforestation, the rainforests could cease to exist in the next 100 years.
Sadly, this trend is set to continue according to all research to date. A 2016 study conducted by the University of Maryland, found that global tree cover loss reached a record high of 73.4 million acres.
Every Year More Country’s Suffer
Indonesia leads the pack in countries facing this horrific situation. One report found that Indonesia already lost 39 million acres of forest land to date. Brazil, Thailand, Parts of Africa, and Haiti all also face similarly drastic situations.
Deforestation is Not a New Crisis
Perhaps the saddest fact regarding deforestation is the truth that it isn’t by any means a new problem. A simple glimpse throughout history reveals a pattern of deforestation on the planet. For example, 90% of the United States’ indigenous forests disappeared since the 1600s.
Still Some Hope
TreeCoin provides hope that together, a sustainable timber industry can exist and meet the demands of the world’s growing population. This change is necessary to protect the future of the ecosystem. As it remains now, Canada, Alaska, Russia, and the Northwestern Amazon have the lushest forests today. TreeCoin wants to expand this list to include some of its previous tenants such as Paraguay.
You have to give it the ingenious team behind the TreeCoin project. It’s amazing to see developers unlock the true potential of blockchain technology in this way. Hopefully, TreeCoin sees the most success possible, as it would mean the world’s forest now have a powerful ally in their fight for survival.
Blue Ocean Management Partners Invests in Blue Ocean Technologies
This week, Blue Ocean Management Partners, LLC announced an investment in New York-based Blue Ocean Technologies, LLC. The firm intends to utilize its experience to provide much-needed senior management to Blue Ocean Technologies. The news showcases growing interests in the Blue Ocean platform.
Blue Ocean Technologies
Blue Ocean Tech seeks to expand the development of the after-hours markets for U.S.-listed securities, including ETFs and related securities. The new platform will provide U.S.-based traders the ability to track off-hours market movement and react accordingly. Importantly, investors will now be able to better manage risks.
Additionally, the platform provides opportunities for foreign investors to have after-hours access to the U.S. capital markets. Providing 24-hour access to the securities markets is important for a myriad of reasons. For one, it provides users with more investment opportunities. This data and technical services are critical for the functionality of numerous regulated trading venues.
Speaking on the developments, Blue Ocean Management CEO and President Ralph Layman described how the strategic partnership brings much-needed senior management resources to the platform. In turn, this experienced leadership can help guide the platform through its next growth stages.
For its part, Blue Ocean Management will provide management and expertise. The firm has experience building FinTech firms from startup. As such the company seeks to expand the support for 24-hour market access for both securities and EFTs. Together, securities and EFTs are the second largest class of investments across Asia and Europe.
Major Backing Continues
Blue Ocean management isn’t alone in its quest to further develop the off-trading hour capabilities of firms. Already, the FinTech firm managed to secure support from some of the largest players in the game. One such investor is tZERO.
Earlier in the year, Overstock.com’s blockchain subsidiary tZERO became another major backer in the Blue Ocean platform. tZERO is a market pioneer in the space and their backing showcases the true potential that Blue Ocean’s 24-hour strategy possesses. tZERO has filed numerous blockchain patents over the last two years. The firm is at the forefront of blockchain adoption.
Discussing the investment strategy, tZERO’s CEO, Saum Noursalehi praised the new partnership. He explained how the maneuver allows tZERO to “focus on its important strategic initiatives with digital securities.” tZERO seeks to tokenize the traditional financial markets over the next 5-10 years.
Blue Ocean Moves Forward
As the more industries migrate to a blockchain-based system, it’s important that developers create the ecosystem to support the robust capabilities of these new platforms. Both analysts and traders agree that 24-hour access to markets is one of the best ways to spur growth. This line of thought becomes more evident when you consider that this new strategy opens up the US market to international investors in a way previously unimaginable.
The Blue Ocean platform brings greater efficiency and transparency to capital markets. In this way, analysts predict the platform to be disruptive to the current systems. You can expect to hear more from this unique platform as development continues over the coming months.
BnkToTheFuture Eyes U.S. Based STOs through BMI Capital Investment
Recently, BnkToTheFuture has shed light on their future aspirations through a new investment. This move saw the Cayman Islands based company acquire a stake in United States based broker/dealer, BMI Capital.
By acquiring a stake in the company, BnkToTheFuture now gains the ability to make use of existing licensure held by BMI Capital – including their status as a registered broker/dealer.
With the future of blockchain holding a global appeal, many industry participants have announced their intent for expansion beyond their own borders.
The following articles demonstrate a few of these decisions, as companies beyond BnkToTheFuture look to enter foreign countries.
The importance of becoming a broker/dealer, by proxy or otherwise, cannot be understated. The designation allows for a company, such as BnkToTheFuture, to expand their services to include the buying and selling of securities.
For more information on the role assumed by broker/dealers, make sure to check out our terminology page.
“We forecast by 2020 up to 50 percent will opt for an innovative security token that improves the potential for returns for investors over traditional equity. We are aiming to build a new industry and asset class.”
Building a Foundation
Over the past few months, any have noted that the digital securities sector is slow to take off. With other capital generation events, such as ICOs, having experienced rapid growth in the past, many expected the same from digital securities.
A growing amount of companies have entered the sector from various points around the world. Each of these companies are hard at work developing the necessary infrastructure to support future growth.
It is important to recognize, however, that STOs are completed in a regulatory compliant manner, which requires participants to hold a variety of designations, such as that of a broker/dealer. Attaining these capabilities takes time.
The companies involved are not trying to run before they walk. A more strategic approach is being taken to ensure that the industry is ripe for growth when true adoption occurs.
Founded in 2011, BnkToTheFuture is a Cayman Islands based investment platform. The company specializes in utilizing new technologies, such as blockchain, to facilitate the offering of high potential opportunities for investors and companies alike.
This United States based investment firm which was founded in 2012. With licensure attained through FINRA, BMI Capital is able to operate as a broker/dealer.
CEO, Robert H. Trapp, currently oversees company operations.
In Other News
Over the course of the last year, we have covered events pertaining to BnkToTheFuture on various occasions. The following articles share insights into a few of these events.
Legend Siam Security Token Offering Facilitated by VEWC
Via East West Capital has recently opened up regarding an STO which they curated recently. This STO was a capital generation event which saw the distribution of tokenized securities associated with a cultural theme park in Thailand, known as Legend Siam.
Legend Siam Tokens
In this event, investors gained access to what the issuer calls ‘Legend Siam Tokens (LST)’. These tokens were treated as securities, and were offered through Reg. D guidelines under the SEC.
While details on the tokens, themselves, are scarce at this time, it appears as though they took shape as some type of real-estate backed token, based on the cultural theme park.
As the digital securities sector continues to develop, participants are being drawn in from new, interesting markets. In the past year we have reported on STO opportunities surrounding, but not limited to, the following industries.
With the announcement surrounding Legend Siam, we can now add ‘Theme Park’ and Commercial Real Estate to that list.
Via East West CEO, Oh Shen King, took the time to elaborate on STOs, stating,
“We predict a rise in the potential and demand for tokenized securities because digital ownership on the blockchain provides so many advantages over legacy investments, and tech-savvy investors are seeing the value proposition in real-time…This addition to our business is just a natural extension of our vision for a crowd-financed world, and we provide 100% transparency to all our investors.”
Via East West Capital
Operating out of Southeast Asia, Via East West Capital is an investment firm focused on ‘tokenized asset investments’.
CEO, Oh Shen King, currently oversees company operations.
Legend Siam is a well-known attraction in Thailand. It operates as a popular theme park, built with the intention of promoting Thai history and culture.
In their release, it is indicated that the park now spans over 65 acres, with hundreds of shops, and various attractions. In total, the park now has an estimated worth of over $131 million.
In Other News
Thailand has made it obvious that they are vying to become a leader in the blockchain industry, including digital securities. This much was made evident in a recent decision by their government to potentially legalize security tokens. In addition to this, there have been various blockchain based companies welcomed into the MAS FinTech Sandbox.