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Trees for Bitcoin – Canadian investment firm wants to enable climate-neutral ETFs

The investment company Accelerate Financial Technologies wants to plant a corresponding number of trees for all investments in their requested Bitcoin ETF.

As reported by Bloomberg on Friday, the Calgary-based investment firm plans to plant 3,450 trees for every $ 1 million invested in its Bitcoin (BTC) index funds.

Accelerate wants to achieve that its own Bitcoin ETF is as climate-neutral as possible by neutralizing the CO2 emitted by the trees during the mining of the market-leading crypto currency. According to in-house calculations, each major investment should outweigh 1,000 tons of carbon dioxide.

Accelerate chief investor Julian Klymochko denies that this strategy is so-called “greenwashing”, in which a company only wants to give itself an environmentally friendly paint. If this were the case, the investment company could simply trade in emissions.

Ninepoint Partners LP also wants to offer a Bitcoin ETF similar to Accelerate. In May, the company applied for an index fund, for which, however, CO2 certificates are to be bought in order to absorb the environmental pollution caused by mining.

More and more crypto companies are turning to green energies to counter the reputation of cryptocurrencies as environmentally harmful financial products. In May, an analyst for Bank of America calculated that Bitcoin’s electricity consumption had risen steadily since 2019, which means that the market-leading cryptocurrency now consumes as much energy as a small industrialized country. Even prominent figures like Elon Musk are now sharply criticizing the environmental pollution caused by the crypto market leader.

Accelerate’s Bitcoin ETF was filed with Canadian regulators back in February. The index fund will be listed on the Toronto Stock Exchange under the ticker ABTC, and be traded in both US dollars and Canadian dollars.

While the American regulators have not yet approved a crypto ETF for the US, the northern neighbors have already waved through several ETFs based on Bitcoin and Ether, including the index funds from 3iQ, Purpose Investments, Evolve Funds Group and CI Global Asset Management.

Hasan Sheikh
Hasan, who loves technology and games, is studying Computer Engineering at Delhi JNU. He has been writing technology news since 2016.


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