One of the largest cryptocurrency exchanges, Gemini, run by the Winklevoss brothers, has taken out $ 4 million in carbon credits. So the platform wants to offset the harmful emissions for Bitcoin, which stored on the exchange’s electronic wallets. The platform currently holds around 250,843 BTC (over $ 8 billion) for users. Its require verification from miners and significant power consumption.
Carbon credits are measurable and verifiable emission reductions from certified climate action projects. Thus, these projects reduce, remove or prevent greenhouse gas emissions. But they also bring a host of other positive benefits. Such as empowering communities, protecting ecosystems, restoring forests, or reducing dependence on fossil fuels.
Projects must meet a strict set of criteria to pass third-party audits and peer review for a leading carbon offset standard. It is worth noting that once an organization buys a carbon credit, it is permanently written off, so it cannot be reused.
What do carbon credits do for Gemini?
The Gemini Trust, a cryptocurrency exchange run by Cameron and Tyler Winklevoss, has made a donation to the Climate Vault. It leverages the power of compliance markets to reduce and eliminate carbon pollution. So, with the permits bought by Gemini, about 341,000 metric tons of carbon that would have been released into the atmosphere will not get there.
As such, Gemini partnered with a non-profit organization to buy carbon credits from the government’s emissions markets and phase them out.
The statement noted that Gemini will continue to partner with Climate Vault. As part of an ongoing campaign to reduce and ultimately eliminate carbon emissions from Bitcoins held in Gemini.
Balance between technology and clean environment
The brothers who founded the Gemini exchange want to prevent harm to the environment while mining cryptocurrencies, in particular Bitcoin. The project called Gemini Green and implies the introduction of environmentally friendly technologies in the cryptocurrency and blockchain industry. Contributing to the use of the Gemini Bitcoin network is only part of the initiative.
Gemini has already committed $ 1 million through the Gemini Opportunity Fund to support sustainable companies and projects. As part of its Gemini Green environmental program.
Tyler Winklevoss noted that the exchange plans to be one of those who will help create a balance between technology and a clean environment. The $ 4 million spent on carbon credits offset the emissions of BTC used by the exchange in the first half of this year.
“Cryptocurrency promises more choice, independence and opportunity for everyone. As a global company, we are committed to raising the bar for environmental awareness throughout the crypto industry. So that we can usher in this revolutionary technology and movement in a sustainable manner”.
Earlier, Tyler and Cameron Winklevoss announced the creation of a new trust – Bitcoin Water Trust. A fund whose purpose is to provide drinking water to people without access to it.