CreditNature, a UK-based company, has secured a contract with the Scottish government to create a biodiversity credit system, aiming to stimulate voluntary transactions in Scotland. The contract, valued at £500,000, is part of the Scottish Government’s Civtech program and will empower CreditNature to enhance its fintech platform for generating the first set of voluntary biodiversity credits.
“The biodiversity credit market alone is predicted to reach £12-35 billion by 2050, and, thanks to the vision of Scotland, we can accelerate the growth of a system that is both fit for Scotland and will scale internationally”
CreditNature, CEO, Cain Blythe
CreditNature employs its Nature Impact Tokens, digital assets representing environmental benefits from nature recovery projects, in conjunction with its NARIA (Natural Asset Recovery Investment Analytics) monitoring and reporting framework. The NARIA framework was recently introduced to market participants.
Over the next year, CreditNature will collaborate with supply-side entities, including large estates and farming clusters, to thoroughly test their platform. They intend to integrate robust nature recovery approaches into landowner contracts linked to Nature Impact Tokens and enhance the NARIA framework with a “river dynamics” aspect.
On the demand side, CreditNature plans to establish comprehensive guidelines for token ownership with corporations and develop reporting procedures in alignment with initiatives such as the Taskforce for Nature-related Disclosures and Science-based Targets. The company aims to issue its first Scottish token sales within the 12-month contract period.
Cain Blythe, CEO of CreditNature, remarked that the biodiversity credit market is projected to reach £12-35 billion by 2050. CreditNature’s partnership with Scotland has the potential to expedite the growth of a system suitable for both the nation and international scaling.
This program’s outcomes are anticipated to be scalable and harmonized with broader UK and global environmental market approaches. CreditNature is also piloting its concept in Southeast Asia and Africa.
Scotland’s biodiversity credit market is in its early stages, with notable growth in carbon projects like the Woodland Code and Peatland Code. By establishing a government-supported framework through this contract, the aim is to make progress in closing Scotland’s £20 billion biodiversity funding gap.
CreditNature is a green fintech solution to power nature positive investment and recovery. It combines cutting-edge ecosystem analytics with advances in new green digital assets, such as credits and tokens, to support ESG-related nature and climate positive commitments.
Source: Carbon Pulse by Tom Woolnough
