PureWest, a natural gas producer based in Denver, recently announced their collaboration with Proman, a Switzerland-based methanol producer in minting tokenized emissions credits. Using blockchain technology, the Certified Environmental Tokens (CETs) would ensure comfort and assurance to parties transacting that each of the million British thermal units (MMBtu) of gas produced were done so with verified attributes. The tokens are stored on EarnDLT’s private blockchain created on the enterprise blockchain platform Quorum forked from Ethereum in 2016 and later sold to blockchain software firm ConsenSys.
The major step forward in tokenization has seen Gold Standard, Goldman Sachs, Hamilton Lane, Hong Kong's government, Roofstock, ReaIT, and BlackRock's Larry Fink, CEO of the largest asset manager in the world, taking huge strides in entering the rapidly developing market by utilizing digital tokens. Gold Standard CEO Margaret Kim had announced their entry into blockchain with the goal of "bringing innovation, transparency, and greater finance to the carbon market." Fink spoke on tokenizing securities as the "next generation for markets."
These developments have allowed major energy companies to have a more secure and reliable method of verifying their attributes and achieving their sustainability goals by means of tokenization. In addition, these tokens have been used to provide third-party users credit for the steps they have taken in reducing their own carbon footprints. And by using this technology, these companies can also incentivize other producers to reduce their environmental footprint and enter the market as well.
Overall, tokenization has created a reliable, secure, and cost-efficient way for major energy firms to gain control over their sustainability goals and emissions credits allowing them to adopt more sensible and low-impact practices. Such digital tokens also provide those dealing in the market with greater levels of transparency. With the growing support from larger firms and investments, tokenization could be the next major step forward in energy trading with its potential in revolutionizing and modernizing the market.
Leo Price
- 2023-03-31
PureWest Sets the Standard for Tokenization in the Energy Market
PureWest, a natural gas producer based in Denver, has recently collaborated with Proman, a methanol producer in Switzerland, to mint tokenized emissions credits using blockchain technology. These Certified Environmental Tokens (CETs) are being used to facilitate secure and reliable transactions with verified attributes and will push the energy market forward with greater transparency.
