By clicking “Accept All Cookies”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. View our Privacy Policy for more information.
Select areas of expertise:
  • Applied AI
  • SMBs as a market
  • Commerce enablement
  • B2B marketplaces
  • Female founders & executives
Recent appearances / in the media
Note: This is not a comprehensive list of Anna's conference and press appearances

Investing in Nori: Reversing Climate Change

M13 is leading the $7 million Series A for Nori, which aims to bring transparency to carbon removal.

TOC
...
Table of Contents
Read More

Table of contents
By
Latif Peracha
Latif Peracha
Mark Grace
Mark Grace
By M13 Team
Link copied.
February 24, 2022
|

1 min

By now the contributing factors and risks of climate change are obvious. The role that greenhouse gases such as carbon dioxide play in our physical environment is understood as well, and consumers want action at every level. To date, the carbon offset market has been the channel by which this action is carried out.

While well-intentioned, this market is mired in issues. For starters, 95% of carbon offsets are reductions and avoidances—essentially unenforceable promises to reduce future emissions as opposed to actually removing the existing 1.5 trillion tonnes of CO2 from the atmosphere. Beyond this, there are a host of issues, including:

Double claiming, or where carbon credits get resold and multiple parties claim ownership at different times

Verifying reduction quantities

Retiring offsets

Bringing price discovery to carbon markets

There is a lot of work to do if we want to remove the 1.5 trillion tonnes of carbon dioxide needed to reduce the atmospheric carbon dioxide concentration to 300 parts per million. Nori is scaling the carbon removal market and bringing transparency to carbon-offset markets with the Ethereum blockchain.

Crypto has been a focus area for us at M13, and we’ve been looking for real-world applications for crypto generally and NFTs specifically. And there's no bigger and more important application than carbon removal. We’re proud to announce that M13 is leading a $7 million Series A with participation from Toyota Ventures Climate Fund. We’re joining a great set of partners including crypto investors Placeholder and North Island Ventures.

How it works

Nori is a marketplace for carbon removals built atop Ethereum and Polygon.

On the supply side, Nori partners with farmers who adopt regenerative farming practices that sequester carbon from the atmosphere. By doing so, farmers not only improve their soil quality but also are able to monetize on the Nori marketplace by selling Nori Removal Tonnes (NRTs), which represent 1 tonne of CO2 sequestered for at least 10 years.

On the demand side, buyers—consumers and businesses alike—can purchase NRTs via the Nori marketplace and each removal creates a nonfungible token (NFT) that mitigates the double counting issue that currently affects the offset market. The result is an accountable removal process where each NRT is verified and immediately retired upon purchase. Buyers to date include NFT companies such as Rarible and The Sandbox as well as global rock ‘n roll tours who really want to measure their impact.

You can go on to the ETH blockchain right now and see to the field level where this carbon has been sequestered. And this is not just theoretical: farmers have earned over $1 million selling their carbon removals on the Nori marketplace. Over time, Nori will also look to generate supply from other forms of carbon removal as those markets mature, such as kelp, direct air capture, and carbon negative cement.

How crypto and climate intersect

The relationship between crypto and climate may seem thin at first glance, but there is considerable overlap. Crypto promises immutability, and immutability brings transparency—something that is desperately needed in the carbon markets. And creating NFTs out of carbon credits brings transparency to both sides of the marketplace.

Beyond using NFTs to authenticate removals, Nori is tackling another problem in the carbon offset markets: price discovery. Nori will be launching the NORI token to bring liquidity and information symmetry to this space for all parties—from farmers and agricultural businesses to traders and buyers. We envision a world where the price of CO2 is as visible as any other tradeable commodity, such as the price of corn or wheat.

Co-founder and CEO Paul Gambill was an early Bitcoin adopter back in 2011 and started the world's first carbon removal meetup in 2015. He has a very deep understanding of both the climate and crypto markets, and we couldn’t be happier to back him and the whole Nori team. Welcome to the M13 family—we look forward to the path ahead.

By now the contributing factors and risks of climate change are obvious. The role that greenhouse gases such as carbon dioxide play in our physical environment is understood as well, and consumers want action at every level. To date, the carbon offset market has been the channel by which this action is carried out.

While well-intentioned, this market is mired in issues. For starters, 95% of carbon offsets are reductions and avoidances—essentially unenforceable promises to reduce future emissions as opposed to actually removing the existing 1.5 trillion tonnes of CO2 from the atmosphere. Beyond this, there are a host of issues, including:

Double claiming, or where carbon credits get resold and multiple parties claim ownership at different times

Verifying reduction quantities

Retiring offsets

Bringing price discovery to carbon markets

There is a lot of work to do if we want to remove the 1.5 trillion tonnes of carbon dioxide needed to reduce the atmospheric carbon dioxide concentration to 300 parts per million. Nori is scaling the carbon removal market and bringing transparency to carbon-offset markets with the Ethereum blockchain.

Crypto has been a focus area for us at M13, and we’ve been looking for real-world applications for crypto generally and NFTs specifically. And there's no bigger and more important application than carbon removal. We’re proud to announce that M13 is leading a $7 million Series A with participation from Toyota Ventures Climate Fund. We’re joining a great set of partners including crypto investors Placeholder and North Island Ventures.

How it works

Nori is a marketplace for carbon removals built atop Ethereum and Polygon.

On the supply side, Nori partners with farmers who adopt regenerative farming practices that sequester carbon from the atmosphere. By doing so, farmers not only improve their soil quality but also are able to monetize on the Nori marketplace by selling Nori Removal Tonnes (NRTs), which represent 1 tonne of CO2 sequestered for at least 10 years.

On the demand side, buyers—consumers and businesses alike—can purchase NRTs via the Nori marketplace and each removal creates a nonfungible token (NFT) that mitigates the double counting issue that currently affects the offset market. The result is an accountable removal process where each NRT is verified and immediately retired upon purchase. Buyers to date include NFT companies such as Rarible and The Sandbox as well as global rock ‘n roll tours who really want to measure their impact.

You can go on to the ETH blockchain right now and see to the field level where this carbon has been sequestered. And this is not just theoretical: farmers have earned over $1 million selling their carbon removals on the Nori marketplace. Over time, Nori will also look to generate supply from other forms of carbon removal as those markets mature, such as kelp, direct air capture, and carbon negative cement.

How crypto and climate intersect

The relationship between crypto and climate may seem thin at first glance, but there is considerable overlap. Crypto promises immutability, and immutability brings transparency—something that is desperately needed in the carbon markets. And creating NFTs out of carbon credits brings transparency to both sides of the marketplace.

Beyond using NFTs to authenticate removals, Nori is tackling another problem in the carbon offset markets: price discovery. Nori will be launching the NORI token to bring liquidity and information symmetry to this space for all parties—from farmers and agricultural businesses to traders and buyers. We envision a world where the price of CO2 is as visible as any other tradeable commodity, such as the price of corn or wheat.

Co-founder and CEO Paul Gambill was an early Bitcoin adopter back in 2011 and started the world's first carbon removal meetup in 2015. He has a very deep understanding of both the climate and crypto markets, and we couldn’t be happier to back him and the whole Nori team. Welcome to the M13 family—we look forward to the path ahead.

Read more

No items found.

The views expressed here are those of the individual M13 personnel quoted and are not the views of M13 Holdings Company, LLC (“M13”) or its affiliates. This content is for general informational purposes only and does not and is not intended to constitute legal, business, investment, tax or other advice. You should consult your own advisers as to those matters and should not act or refrain from acting on the basis of this content. This content is not directed to any investors or potential investors, is not an offer or solicitation and may not be used or relied upon in connection with any offer or solicitation with respect to any current or future M13 investment partnership. Past performance is not indicative of future results. Unless otherwise noted, this content is intended to be current only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others. Any investments or portfolio companies mentioned, referred to, or described are not representative of all investments in funds managed by M13, and there can be no assurance that the investments will be profitable or that other investments made in the future will have similar characteristics or results. A list of investments made by funds managed by M13 is available at m13.co/portfolio.