Aofex

Popcorn Network Partners with Patch for Execution of Carbon-neutral DeFi

| Updated
by Tolu Ajiboye · 3 min read
Popcorn Network Partners with Patch for Execution of Carbon-neutral DeFi
Photo: Unsplash

Popcorn Network is raising the bar as it creates a sustainable eco-friendly and carbon safe DeFi initiative in conjunction with Patch.

Popcorn Network is integrating with Patch to mitigate their carbon emissions through effectively planned carbon removal projects. Popcorn developed a Smart Contract Emissions initiative which will receive data from Patch-powered network emissions. This will ensure the accurate calculation of the carbon impact of any smart contract execution. Thereafter, Patch facilitates a broad range of carbon offset and removal projects using automated services. Some of these carbon offset and removal projects include frontier negative emission technology and nature-based carbon sequestration projects.

Digital currencies continue to face rising criticism due to the high energy consumption required for Proof of Work (PoW) mining. There is currently a profound presence of DeFi and NFT protocols in the Proof-of-Work Ethereum. Furthermore, only a few crypto projects are open to sharing their substantial revenues with social impact organizations. Even switching DeFi and NFT protocols from PoW Ethereum to Proof-of-Stake blockchain would do little to mitigate carbon impact.

The reason for Popcorn Network’s creation was to offer an alternative means to providing sustainable DeFi. The project’s initial target has always been to achieve carbon neutrality. The welcome presence of Patch and the open-source Smart Contract Emissions APIs, now aids Popcorn in facilitating this target.

New Popcorn Network and Patch Collaboration Also Affords Rewards and Empowers Users

The marriage of DeFi and green initiatives may compel users to contribute to social causes. This is more so when they are offered a stake of a relatively far bigger yield. Users will be contributing a lot more to social causes by using HYSI, than any interest granted by traditional banks. The aforementioned users will be able to do all these while retaining most of the yield from their own assets. As Brennan Spellacy, co-founder, and CEO of Patch put it:

“DeFi has the potential to deliver significant social impact, while still generating returns for users.”

Spellacy also stated that Popcorn is working hard to counterbalance its emissions programmed to operate on Ethereum. He ended by saying Popcorn is, “…allocating a meaningful portion of yield to high-impact carbon removal and offset projects.”

It should be noted that HYSI will be released in the fourth quarter of this year.

Michael Kisselgof, Popcorn’s co-founder, weighed in on this recent development. Kisselgof stated that his company is more eco-friendly-oriented than ever because of Patch. He commended the collaborative initiative as a new height for banking, and added that users get competitive returns. In Kisselgof’s own words:

“Popcorn ensures eco-friendly performance by offsetting its carbon footprint thanks to Patch, regardless of how many users and TVL we expect to accumulate. This is a new paradigm for banking, allowing us to scale impact while generating competitive returns for our users.

Kisselgof ended his statement by saying, “We’re proud to be DeFi’s first yield optimizer to go green.”

Smart Contracts in the DeFi space essentially allow for the contribution of a certain fee percentage in return for creating impact.

Blockchain News, News
Tolu Ajiboye
Author Tolu Ajiboye

Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.

Related Articles