Zumo pushes to decarbonise digital assets at Money20/20 Europe
Scottish fintech Zumo is just back from Money20/20 where it announced the introduction of Oxygen, an innovative solution aimed at decarbonising digital assets for financial institutions that prioritise environmental, social, and governance (ESG) factors.
This groundbreaking launch took place at Money20/20 Europe in Amsterdam, marking a significant milestone just one year after Zumo and its partner, Zero Labs received a grant from Innovate UK, the UK's national innovation agency. The grant was awarded to support their joint research on decarbonising digital assets, with a particular emphasis on finding practical approaches for scaling the utilisation of renewable energy in wallets and platforms.
Oxygen empowers Zumo's clients, including banks and asset managers, to offer ESG-aligned digital asset solutions that are future-proof. This targeted solution combines crypto electricity consumption forecasting and calculation with standard industry data. By leveraging Renewable Energy Certificates (RECs) for renewable energy procurement, Zumo ensures transparency and verifiability in powering crypto or blockchain activities with renewables. As a result, Zumo's clients can effectively reduce the Scope 3 emissions associated with their digital asset offerings and demonstrate their commitment to sustainability.
The introduction of Oxygen follows the successful completion of Zumo's Zero Hero pilot project, a live trial that involved purchasing RECs to offset the electricity consumption of Bitcoin transactions conducted through a direct-to-consumer crypto app powered by Zumo's infrastructure. Through this initiative, Zero Hero REC purchases covered £1.5 million worth of Bitcoin, compensating for a total of 850 megawatt-hours (MWh) of electricity—an amount equivalent to driving an electric vehicle for over 2.6 million miles. Furthermore, Zumo procured an additional 126.36 MWh to decarbonise Ethereum's historical emissions and the company's ETH holdings, actively participating in the Blocks.garden initiative.
Nick Jones, Co-Founder and CEO of Zumo, expressed his enthusiasm, stating,
"The carbon footprint associated with digital asset products is often a significant concern. With Oxygen, our pioneering solution, we provide businesses with practical methods to meet customer demands for digital assets while simultaneously addressing environmental challenges and demonstrating positive ESG-aligned actions."
"Oxygen empowers banks, asset managers, and financial institutions to align their digital asset offerings with their broader net-zero strategies, enabling them to make verifiable decarbonisation claims. Today's launch is a testament to the tireless efforts of our team and our partners at Zero Labs. We hope it sets a positive example for the market, showcasing what is truly achievable."
The decarbonisation of digital assets stands as one of the most critical challenges faced by the emerging digital assets sector. Zumo has emerged as a leader in addressing this challenge and has published a series of influential reports that are shaping the industry's trajectory (accessible at zumo.tech/crypto-knowledge-hub). Zumo's efforts have been recognised through several accolades, including the prestigious "Best Application of ESG" award at City AM's