Very interesting project but I have hard time trying to understand how this will work exactly ! . To tokenize something is not a hard thing but how you plan to transfer it in reality . We can trade buy sell this tokens without any problems , but if this tokens have no way to be transfer in reality , then how it gonna again any value ? .
Can we get more details on this please !?
Hi Khufuking,
Thanks for your feedback.
Tokenzing any real world asset requires some sort of action to be conducted outside of the blockchain. The blockchain on it's own can't ensure a action will take place outside of it, this is the reason you need organizations and companies to run projects. In our case, we are the ones that ensure things work the way they should. We just leverage the blockchain in a way that allows for transparency and autonomy where it makes sense, you can read more about this in our white paper.
Here is a simplified breakdown of how things work within our platform:
-Renewable energy projects are listed on the platform (We call them Sectors)
-Sectors can range in size, but are usually larger than 1MW
-Each Sector has an established PPA. A PPA is a power purchase agreement between the buyer and seller of energy. For example, it could be a wind farm that sells their energy to a utility. PPAs are usually signed with 20 year contracts.
-After the Sector is listed on the platform it is opened for crowdfunding
-You can contribute to a sector in return for a "Sector Token" which represents a share (installed capacity) of the Sector. Just keep in mind that each sector will have it's own tokens. You can think of this as Mini-Icos except for Renewable energy Projects.
-Once the sector sells its energy to the customer, our platform collects the revenue and tokenizes it. We call these tokens "NRG". Each NRG token represents $1 worth of energy
-These NRG tokens are distributed to the Sector token holders in proportion to how many Sector tokens they hold.
-The participant can chose to exchange their NRG token for USD (possibly crypto as well) or they can use it as energy credits to pay their utility bill via our application called Cloud Net metering.
What i described above is just one way a Sector could work. In reality, Sectors will vary depending on location and regulations. The key thing about this is that any one can participate in our platform, you don't have to be tied to the same grid as the renewable energy asset.
I hope that makes sense.
Let me know if you have any further questions.
Best regards,
-Hamza
