Carbon-offsetting ecosystem IMPT has closed a sourcing deal worth up to €50 million (US$61.1 million) to purchase carbon credits from blockchain-based carbon credit marketplace Thallo.
The deal will see IMPT purchase carbon credits with an anticipated value of €50 million over 10 years. At current market prices, the deal will help to offset some 12 million tonnes of carbon over a 10-year period – equivalent to the annual carbon footprint of nearly 2.6 million people globally.
The agreement includes an initial three-year purchase of €3.6 million worth of carbon credits and a memorandum of understanding for a wide-ranging partnership over the 10-year period.
The company will purchase carbon credits from Thallo’s portfolio of project developers, which include carbon removal and avoidance projects from five different continents.
The live, unretired credits will be bridged onto the Polygon blockchain via Thallo’s two-way bridge from existing carbon registries, including BioCarbon Registry in Colombia.
Through the two-way bridge, companies and individuals can move credits on and off the blockchain, allowing for easy buying, selling and retiring of credits with full transparency and traceability.
The deal represents the first use of Thallo’s bridging-as-a-service offering, which allows Web3 companies to integrate carbon credits into their own infrastructure, and aids Web2 companies in B2B2C contexts by allowing e-commerce and other end customers to offset the impact of their purchase.
“There is substantial opportunity to bring the Web3 and business industries towards low-carbon solutions, yet significant work needs to be done,” says Denis Creighton, IMPT’s CEO.
Ryan Glenhill, Thallo co-founder and CEO, adds: “The carbon market is one of the world’s most impactful tools to combat climate change.”