HomeCarbon CreditsCarbon Marketplace NCX raises $50M

Carbon Marketplace NCX raises $50M

To meet net-zero objectives, companies across the globe are investing heavily in carbon offsets.

The carbon offset industry has boomed over the past year. In fact, the Voluntary Carbon Market (VCM) is now valued at over $1 billion. That’s up from just $300 million in 2018. And many experts believe it has the potential to reach $100 billion by 2030.

J.P. Morgan and Marc Benioff’s TIME Ventures seem to agree.

They took part in a Series-B led by Energize Ventures to support NCX – which raised $50 million.

What are carbon offsets, and why are they so popular?

Carbon offsets are tools that companies can use to “neutralize” their carbon emissions. This is done through various environmental projects.

Simply put, one carbon offset equals one metric ton of carbon.

NCX is a carbon marketplace that companies can use to find and purchase these carbon offsets.

First, NCX uses satellite images and machine-learning software to map forest areas. Once mapped, NCX serves as a go-between for companies and landowners to agree.

Suppose the landowners choose to refrain from cutting down their trees (for compensation). In that case, companies can claim those “offsets” against their own carbon emissions. It’s mutually beneficial – landowners are compensated, and companies can meet emissions goals.

So, if a landowner promises to keep trees intact, and a company pays them to do so, the company is doing something beneficial for the environment.

Note that many of these companies are working towards net-zero emissions. However, the technology to drastically reduce emissions or remove them altogether isn’t quite where it needs to be. So, offsets serve a purpose interim.

NCX then takes a percentage of the purchase price.

NCX was formerly known as SilviaTerra. It was founded in 2010 by two students who met studying forestry at Yale.

To date, NCX has raised $75 million.

Most Popular
LATEST CARBON NEWS

Brazil’s Bill Will Allow Loggers to Earn $24M from Carbon Credits

Brazil’s Congress passed a bill that will make carbon credits available to private companies with forest concessions, serving a first step in regulating the...

Global Renewable Energy to Break Records in 2023, IEA Says

Global additions of renewable power capacity will increase by a third this year, says the International Energy Agency (IEA). In the IEA's 2023 Renewable Energy...

Equatic Reveals First-of-a-Kind Ocean CO2 Removal Tech, Inks Deal with Boeing

Ocean carbon removal startup Equatic launches breakthrough low-cost, gigaton-scale climate technology and signs a pre-purchase deal with Boeing. L.A.-based Equatic is an UCLA Samueli School...

Lithium-Ion Wars: US Battery Imports Soar by 66%, Setting New Record as Domestic Production Ramps Up

According to S&P Global, in the first quarter of 2023, US imports of lithium-ion batteries surged by nearly 66% from the previous year, reaching...
CARBON INVESTOR EDUCATION

What are the Effects of Methane Emissions and Why Should We Care?

What are the effects of methane emissions? That’s the multi-million dollar question in the world’s battle over global warming as methane was often overlooked...

Carbon Credits and the Future of Sustainable Business: Exploring Best Practices

The trading of carbon credits can help entities and the world meet their climate goals by cutting carbon emissions and practicing sustainable business. While...

Revolutionizing Textile Recycling with HTC

A Virginia-based startup, Circ, has developed a unique hydrothermal processing technology for recycling blended textiles, like polyester-cotton blends. With fast fashion's emissions and environmental...

Carbon Credits and the Sustainable Development Goals: Aligning Climate Action with Global Priorities

Carbon credits from climate actions represent a crucial part of a strategy to mitigate climate change while supporting the global priorities on advancing sustainable...