Earth loses 18.7 million acres of forests per year, which equals 27 soccer fields every minute, according to the World Wildlife Foundation. A group of German entrepreneurs created a reforestation project, TreeCoin, which aims to save Paraguay’s deforestation within 22 years by using blockchain technology.
TreeCoin plans on working toward reforestation by using purchased land in Paraguay and planting Eucalyptus trees. These trees will be used as an alternative for using the rainforest’s wood. TreeCoin’s goal is to grow and manage 12,700 hectares, or 10 million trees, within one year.
To invest in TreeCoin, the investor must purchase a “TREE,” which is a security token created by TreeCoin. One “TREE” equals $23 U.S. dollars and plants one tree. Purchasing one “TREE,” generates 100 “TreeCoins,” 70 percent of is given back to the investor.
According to TreeCoin, a TREE gives the investor “the opportunity to participate in the sale of timber,” whereas a TreeCoin (TXC) is “used as a means of payment in our developed country.”
Along with reforestation, TreeCoin plans to give 10 percent of their profit back into charities, 40 percent to investors and 50 percent into buying more land over the course of 22 years.
TreeCoin’s CEO Jörg Schäfer, or known as “Mr. Green,” presented the project at BlockShow Asia and said within the 22-year timespan, the reforestation TreeCoin plans to accomplish will “continue to generate profits forever.”