Scoping the problems and solutions for Gaja: a distributed market for emissions removal and reduction

In this post I will explore the problems and solutions underlying the development from concept to production of Gaja: a conceptual distributed market for emissions removal and reduction. As I have recently been made redundant in my position as a Service Delivery Consultant at Simble, now is a good opportunity to spend time nurturing Gaja again.

Problem 1: The global average CO2 concentration is currently 424 parts per million (ppm), as of May 2023

This level is substantially higher than the scientific consensus among climate scientists for the safe upper limit of CO2 concentration in the atmosphere, which is 350 ppm, and note that pre-industrial levels were 280 ppm. This concentration continues to increase by the year.

Solution 1: Reduce all existing emissions as much as possible and remove existing carbon dioxide from the atmosphere. The good news is that the exponential growth in renewable energy, batteries, electric vehicles are quickly helping to reduce emissions and disrupt and phase out fossil fuels. Additionally, developments precision fermentation and cellular agriculture will help to disrupt animal agriculture, which will reduce methane emissions.

Problem 2: However, it seems to me like developments in removing emissions are not progressing quickly enough, and that these developments should be accelerated. There are a number of projects that are still in the early stages, and are yet to be deployed on a large-scale. There is insufficient incentive to spur a rapid acceleration in the growth of emissions removal.

Solution 2: To accelerate the development of emissions removal, there needs to be additional incentivization to remove emissions. What is the best way to incentivize this? We can establish a market that enables the buying and selling of emissions removal. History has shown that markets have spurred economic growth. Without markets, civilization would not exist as we know it, and humanity would still be hunter-gathers.

Problem 3: What is the ideal nature of a market that enables emissions removal on a global scale?

Obviously a physical marketplace will not suffice for the buying and selling of emissions removal.

Centralized markets are vulnerable to censorship, manipulation, hacks, corporate capture, mass surveillance, rent-seeking, private profiteering, lack of transparency, and concentration of power and influence. This creates friction and limits the ability for such a market to scale to a global, mass-adoption level that is necessary for a global emissions removal market. It ideally has to be a global market so that an emissions removal entity developing removal projects in one or many parts of the world (with some in remote locations) can sell emissions removal to any entity globally.

Decentralized markets with blockchain tech are still vulnerable to capture.

Solution 3: Holochain is a secure, scalable, distributed app framework that is capture-resistant, using distributed ledger technology, and is thus a solution to developing a distributed market that can scale to a global level.

Problem 4: I have limited personal funds and there is a risk that I would not be able to sustainably scale the development of Gaja for a sufficient period of time without external resources.

Solution 4: there are a few possible solutions to the above problem:

• endeavour to rapidly develop a prototype which can be used to raise funds. Development may be able to be accelerated using AI, such as with a tool like Replit
• raise funds from prospective customers, VCs, angel investors, and the public

Problem 5: raising funds from institutions or individuals in exchange for equity is problematic as it is vulnerable to corporate capture, which again conflicts the goal of building a capture-resistant, global distributed market.

Solution 5: either self-fund development (which is risky) or do crowdfunding or launch an ICO.

Problem 6: If I self-funded development, I have limited runway, and I expect I would have to raise funds before production software could be released and sold. Possible solution: Sell a development service to a pool of prospective customers

Problem 7: crowdfunding and launching an ICO would entail expenses on marketing

Problem 8: In Australia, ASIC states on this page here, “if you are issuing crypto-assets that fall within the definition of a ‘financial product’, Australian laws apply, including the requirement to hold an Australian financial services (AFS) licence”. It appears that the application fee for this would be $7,537 for retail clients, a body corporate licence, and a high complexity product, as stated here.

At this stage, it seems like the costs associated with launching an ICO are prohibitive, and while I have some personal savings, such expenditure is risky. It would be less risky to work as an employee for a number of years. Otherwise, trying to self-fund development seems like I would have insufficient runway to get to production software with associated sales. So to try to launch Gaja now, I would likely need to raise funds at least before production software could be developed, or sell a development service to prospective customers.

Problem 9: how can I trust that emissions removal is legitimate before buying emissions removals?

Solution 9: emissions removals should be backed by publicly verifiable data, which may be supplied by IoT sensors monitoring how much carbon is captured by the emissions removal project, and then have data and sensors tracking how the captured carbon is then stored.

Problem 10: Who would want to buy emissions removals, and why?

Solution 10: there are established markets for carbon offsets, either mandatory or voluntary, and as covered in previous blog posts, these markets are growing. So there is demand to offset carbon, and consequently there is demand to remove carbon. But to answer the question, potential buyers include anyone that wants to play a part in removing emissions from the atmosphere to help get back to a safe climate, and this extends to any concerned, conscientious individual or organisation. Additionally, organisations may want to improve public perception and reach ESG goals. Governments have adopted the legally binding Paris Agreement, which requires them to reduce emissions. “To quote from that page on the Paris Agreement, “More and more countries, regions, cities and companies are establishing carbon neutrality targets.”

I will continue to nurture the development of Gaja, and I shall appreciate your interest in the project! Please feel free to like and share this post with your networks, and follow and subscribe to notifications for Gaja here on Medium, Twitter, Facebook and Instagram.