Nori is unique in the carbon market space because we are focused 100% on carbon removal from the atmosphere. Paying people not to cut down existing trees is not a model that would qualify for Nori Carbon Removal Tonnes (NRTs) in our market. Reversing climate change requires both decreasing current emission rates, as well as removing the 1.5 trillion tonnes of excess CO2 that's already up in the atmosphere. Many companies and initiatives focus on reducing present and future emissions, but Nori is the only market that deals exclusively in removing past emissions. Nori allows buyers to pay for NRTs in a first-in-first-out (FIFO) order as they’re entered into the marketplace. This commoditizes the removal of CO2 and removes the costly matchmaking process that occurs in traditional carbon offset markets.
Nori is also different from existing carbon markets by taking a software approach to reduce costs for suppliers and buyers through streamlining data collection. By accounting for the ownership of the NRTs on the blockchain, Nori eliminates the double-counting problem that has plagued past attempts at creating healthy carbon offsets markets. Nori’s cost structure is substantially different from traditional carbon offset markets. We do not charge fees to develop new methodologies, and only ever charges suppliers a one time registration fee to list projects.
For more details check out this Medium post https://medium.com/nori-carbon-removal/how-nori-compares-to-traditional-carbon-markets-d6f3d4102db2
Humanity would not be as successful as it has been without affordable and reliable fossil fuels. However, burning fossil fuels releases carbon dioxide and other greenhouse gases into the atmosphere, exacerbating the greenhouse effect. There are only two known ways to manage the greenhouse effect: reduce the amount of new emissions into the atmosphere (mitigation), and remove the past emissions that are already there (carbon removal). We are past the point where mitigation alone can reverse climate change. We need carbon removal.
We see addressing climate change as a waste management problem. Carbon-free sources of energy allow us to not create new waste. Adding a tonne of new waste to the atmosphere requires taking one tonne away. Nori’s aim is to become the first voluntary garbage collector of carbon dioxide.
Nori also seeks to make carbon removal a form of environmentalism that could be rewarding rather than punitive. If people can make money being carbon removers, we believe that much of the conflict between economic growth vs. the environment would vanish.
Nori is on a mission to reverse climate change by making it as simple as possible to pay people to remove carbon dioxide from the atmosphere. Nori is building the open source market infrastructure to allow for carbon removal projects to measure and monetize their activity. Our voluntary marketplace, based on blockchain technology, will enable carbon removal suppliers to connect directly with buyers, improve efficiency, and reduce costs.
Along with the legendary status of being a carbon removal hero, you’ll receive a digital certificate of ownership for the carbon removals you paid for. This certificate will show the amount of carbon removals, the farmer and fields where the carbon was stored, and any additional information provided by the farm. All these records are registered permanently on a blockchain database, so you will always have proof of your purchase.
The first type of Nori Carbon Removal Tonnes (NRTs) on the Nori platform are being generated from agricultural projects that can store carbon dioxide in soils. We are starting here because of the crisis of soil carbon loss, the immense potential to store carbon in soils, and the unique features of the Nori design which enable risk mitigation against carbon losses and lower verification costs that do not exist in traditional offset markets. Through more regenerative farming practices there is a theoretical capacity to store ten billion tonnes of CO2 per year. By creating a financial instrument that supports growers to increase carbon dioxide in their soils, we’re also advancing a number of great co-benefits like drought resistance, reduced runoff pollution, and an overall improvement of soil health.
While all software applications and providers are susceptible to hacking, we have taken a few important measures to decrease that risk and augment our security. Our approach to dealing with that risk is two-fold:
The answer is transparency. We are very open about how we do our work and who we are doing it with, and we want the public to participate with us in developing the platform that enables reversing climate change. When it comes to the token launch, any tokens that are distributed to members of Nori will be placed into a four-year vesting schedule with a one-year cliff, ensuring that every member of the team is dedicated and focused on the mission.
Nori partners with companies that make carbon quantification tools (CQTs) with rigorous scientific backing in order to model how much carbon was removed. In the case of farmlands, these models work by comparing farmers' new sustainable practices to their previous farming methods. Our partner Soil Metrics uses a USDA-approved model to run thousands of scenarios to determine within a reasonable level of confidence how much carbon a farmer has stored in their soils. This is one of the simplest and most accurate methods for counting carbon removals available today.
When you purchase carbon removals from Nori, they are retired immediately and the retirement along with the location of retirement is recorded on blockchain (an immutable public ledger). This ensures that your removals cannot be sold again and that no one other than you can take credit for removing the carbon represented in you certificate.
There are several ways to remove carbon dioxide from the atmosphere. They fall into three main categories: natural, industrial, and hybrid.
Ecological carbon removal can be achieved through land and ocean management techniques. These approaches often present co-benefits that extend beyond carbon dioxide removed through regenerating or improving natural assets.
Industrial carbon removal refers to engineered solutions that use synthetic and mechanical processes to remove and store carbon.
Hybrid carbon removal is a combination of ecological and industrial processes.
Since the Industrial Revolution, humankind has burned fossil fuels to produce energy which release greenhouse gases. Despite our understanding of the clear linkage between excess greenhouse gases in the atmosphere/oceans and global climate change, humans have been unable to stop emitting. While reducing and replacing carbon emissions are key components to slowing down the flow of greenhouse gases to the atmosphere, because carbon dioxide stays in the atmosphere for hundreds of years—warming the planet—the only way to stop the most severe effects of climate change is by balancing the total stock of carbon dioxide in the atmosphere. This can only be achieved through carbon removal. Carbon reduction is a start, but it’s simply not enough.
The easiest way to view this is an arithmetic problem. We are putting too many greenhouse gasses into the atmosphere and not taking enough out. Carbon removal helps create the necessary balance to roll back the effects of climate change.
A Nori Carbon Removal Tonne or NRT represents one tonne of carbon dioxide (CO2) that has been removed from the atmosphere for a minimum of 10 years. Once completing the Nori enrollment process, a supplier of NRTs can register them on the Nori marketplace. NRTs are sold directly to individuals and organizations seeking to mitigate carbon emissions. This way, anyone can participate in reversing climate change.
Nori works with independent, third party verifiers with experience and accreditation working on Greenhouse Gas (GHG) emissions reduction projects. Farmers are paired with a verifier to review their carbon removal data and supply any additional evidence required, and the verifier submits a report of their findings to Nori. When sold, every certificate of carbon removal will be attached with a copy of this report.
Nori needs its own token so that one NORI can always be exchanged for one Nori Carbon Removal Tonnes (NRTs). NORI’s price in secondary markets will become the effective price of carbon removal. The token also enables price discovery from buyers with value-based pricing. One of our biggest goals is for NORI’s price to be treated similarly to the Brent Crude oil reference price but for carbon. This would for the first time establish a truly universal and market-driven price on carbon which is desperately needed.
For more details check out this Medium post https://medium.com/nori-carbon-removal/why-nori-needs-its-own-cryptocurrency-token-b2f1eef885c7
A Nori Carbon Removal Tonne (NRT) is a digital asset—an electronic certificate—that is stored on the Ethereum blockchain in the Nori application. One NRT represents one tonne of CO2-equivalent heat-trapping gas that has been removed from the atmosphere and stored in an industrial, terrestrial, subsurface, or aquatic reservoir.
Blockchain allows for a number of new opportunities to establish a market for carbon removal. Blockchain technologies allow us to issue a token, which sets one uniform price on removing carbon dioxide. Because a Nori Carbon Removal Tonne (NRT) can only be used once and is immediately retired, our blockchain system avoids the double counting which occurs in other traditional carbon offset schemes. Furthermore, using a blockchain solution allows for complete transparency of the new type of carbon removal asset. Blockchain allows for substantially lower verification costs through automation and removing the many middlemen involved in traditional carbon removal transactions. Lastly, through using a blockchain token as a medium of exchange, this solution removes the requirement for project sellers and buyers to find a counterparty, allowing all parties to participate in a fungible market.
For more details check out this Medium post https://medium.com/nori-carbon-removal/why-a-carbon-removal-market-belongs-on-the-blockchain-91da31127228
Here is information about why we chose the Ethereum blockchain specifically https://medium.com/nori-carbon-removal/why-were-building-a-carbon-removal-marketplace-on-ethereum-bba93f4c49fc
Absolutely! We would just advise any gift-givers to consult with their financial advisor first as there may be tax implications depending on where they live.
The price of an NRT is always one NORI token. The price of the NORI token is set by the market. The price the buyer pays depends upon when they purchase the NORI tokens, not when they buy NRTs. It is possible a company could buy NORI tokens when the price is $1, and then redeem those NORI for NRTs when the price of NORI is $5, and they'll have secured an effective $4 discount. The value we offer to the buyer is not only enabling time-value of money opportunities, but also in reducing the external transaction costs of having to work with brokers and consultants (which cost money) to find adequate projects. Since a buyer can show up and purchase from available inventory in our market at any time, their transaction costs become effectively zero. We make it far easier for buyers than is currently the case.
We do not. When you purchase carbon removals (NRTs), retirement of the NRTs is immediate and your certificate is permanently recorded on the blockchain. The carbon removals can not be unretired or resold.
100% of each tonne you pay for goes directly to supporting our suppliers, while Nori collects a 15% transaction fee to help keep the marketplace running. This not only rewards farmers for implementing sustainable farming practices, but provides further incentives for sustainable farmers to provide even more carbon removals in the future.
One NORI token allows for the purchase of a Nori Carbon Removal Tonne (NRT). Think of it like a gift card that allows you to pay for carbon removal. The NORI can be purchased at any time and when it is used will immediately retire a NRT.
Nori provides an additional income source to farmers who operate with regenerative practices. While carbon markets are emerging and a new commodity to consider, we believe that the value to farmers is not only in diversifying their income sources, but leaving the decision making and data ownership to the grower.
Currently, you receive cash from a buyer who has purchased an NRT on nori.com In the future, one NRT will be redeemed for one NORI token which will fluctuate in value according to any secondary markets where it trades. For each NRT you sell, you’ll receive one NORI token. You may sell any unrestricted NORI for fiat currency or other cryptocurrency immediately or wait for the time of your choosing.
No. We work with third-party verifiers who conform to our established methodology standards to verify carbon removal data.
NRTs are generated after a supplier has entered their farm data into the Nori app, run quantification to determine the incremental soil organic stock (SOC) gained from regenerative practices, verified these by a third party auditor, and signed an NRT agreement. Farm data is always owned by the farmer and is only used to run the Soil Metrics model and for Nori internal use.
One of Nori's fundamental tenets is that a Supplier who participates in the pilot US Croplands Methodology always retain autonomy regarding decisions related to agricultural practices and land management. However, Nori also has an obligation to buyers to ensure the value of the Nori Carbon Removal Tonnes (NRTs). Under the terms of the buyer warranty, Nori is obligated to compensate a buyer if the carbon is not retained in the soil. To balance the buyer and Supplier's interests, Nori requires that Suppliers make best efforts to sequester carbon for a 10 year period. This requirement is memorialized in the NRT agreement that the Supplier signs with Nori. The NRT agreement is not intended to be punitive but to reflect the legal and business obligations that Nori has to buyers and Suppliers. Therefore, if a farmer engages in fraud as it relates to the creation or issuance of the NRT, or deliberately releases carbon that forms the basis of the NRT (not a release in response to a Force Majeure event), Nori reserves the right to recover the value of the carbon from the Supplier. Examples of Force Majeure events may include: catastrophic natural occurrences like flooding and earthquakes or national public health emergencies. During the pilot Nori does not intend to, but reserves the right to recover cash payments from the Supplier. More likely if a Supplier intentionally releases carbon or makes a fraudulent carbon claim, Nori will determine the value of the carbon released, quantify this value into NRTs and recover the equivalent value of the NRT from the restricted NORI tokens. If you have any questions please email "[email protected]"
Nori is still accepting farmers into our pilot. However, after working through a few projects, we realized that it is more efficient for both farmers and Nori to work with Data Managers. A Data Manager is an entity or individual who directly helps farmers collect, organize, and report the data needed to register their projects and receive NRTs. Nori works with individuals and farm management platforms who perform Data Manager services.
We are busy training Data Managers to accept farmers who would like to participate in the Nori pilot. If you are interested in being added to the farmer list, please email "[email protected]." If you are already on this list and curious about the progress, we expect to have resources available to farmers in early summer 2021.
Thank you for your interest in participating in the Nori pilot and your patience as we develop and refine the enrollment process.
To start, we are piloting our marketplace with farms in the United States. We plan to work with farms in key markets outside the U.S. in the not-too-distant future, including Canada.
If it turns out that a farm that was claiming Nori Carbon Removal Tonnes (NRTs) is no longer removing carbon dioxide, or the NRTs become invalid because, for instance, a supplier breaks a contract by tilling (which re-releases carbon dioxide), Nori has built a self-insurance mechanism that makes the buyers whole if this were to occur. Both suppliers and Nori will share in this risk, and we will use tokens held in reserve to automatically purchase new NRTs on behalf of the buyer in the amount of any overreported NRT numbers or leakage from changed practices.
We are currently working with pilot farms to gather their cropping data and we are engaged with them to improve our cropping soil carbon methodology to generate Nori Carbon Removal Tonnes (NRTs). This year we will work on the launch of the NORI token.
At the moment, no. In the future, our platform will enable anyone to propose a system to estimate and quantify carbon dioxide removal for any process to go through an open peer review system.
Each week, Nori offers insights and shares success stories on how removing excess carbon dioxide from the atmosphere is impacting our climate, and details on our marketplace progress and buildout for launch.
You can email us at [email protected].