Greenheart AMA: At the Intersection of FinTech and FarmTech
If you are involved in the cryptocurrency space, you have probably heard of the term “yield farming”. If you are involved in the farming community, you have probably heard of the term “hemp”, an environmentally and often economically friendly crop sweeping the globe due to its prized CBD and other cannabinoids. We had the opportunity to sit down for an AMA with Greenheart, a forward-thinking company looking to combine those two terms who are sitting right at the forefront of the recent boom in the CBD industry and blockchain.
The Greenheart team comes from a diverse array of industries, from blockchain to supply chain, with superstar co-founder Paul Walsh being included in the Irish Independent’s 30 Under 30 list, as well as being awarded for his thought leadership in the areas of technology and sustainability. In order to be profitable in the hemp industry (which has certainly seen many successes and failures) such a diverse and talented team is required. Before going all-in on growing hemp, the team identified some key challenges that hemp farmers are facing in the 21st century, namely:
Finding sales channels
Finding Sales Channels
Finding sales channels in the hemp industry is especially important, as there are a variety of different products that can be made from the hemp plant as well as non-standard pricing in an increasingly global economy. Greenheart prides itself on its product development, working directly with customers who might benefit from some of the health benefits of CBD to develop products that are safe and effective.
Infrastructure investment is a problem not limited to hemp farmers; many individuals with large amounts of land lack the up-front capital to make investments into things like farm equipment, drying facilities, and processing facilities and often must resort to taking on debt to purchase these machines, which has led to financial hardship for many farmers. Technology, on the other hand, is something that some farmers may not realize that they need, but which can lead to dramatic increases in efficiency and profitability. So, how does Greenheart fit into all of this with their CBD token?
On the technology front, Greenheart has made tremendous strides with their use of drones. These drones can help identify and eliminate male hemp plants, which if left unchecked can dramatically reduce yields by pollinating the female plants and diverting the plants energy to the production of seeds, rather than the flower which contains CBD. They mentioned a near 10x increase in how much hemp flower can be produced per acre when using drones with their spectral imaging technique. These drones have video feeds that can help in tracking and tracing the crop, something which is important to Greenheart and the hemp industry at large. Greenheart also put a specific emphasis on using only mechanical extraction techniques for processing their CBD into oil, which removes the need for solvents such as ethanol or CO2 and helps to retain all of the natural beneficial compounds such as lipids and terpenes.
The CBD Token
The CBD token itself has a number of utilities. First and foremost, it solves the problem of predatory capital structures required to lease equipment for hemp farmers, allowing other farmers to benefit from the technology Greenheart is developing with a simple lien on their crop — no cash required. One of the other core utilities of the CBD token will be to receive a discount on products from Greenheart when their mobile application is released. The team sees tremendous value in the data that can be collected from this mobile application and the CBD token. CBD token will also be able to be staked in staking pools at 50% APY, the yield of which will be paid through token buybacks. But not just any token buyback — these buybacks use the actual revenues from hemp crops.
Greenheart hopes that this carefully thought out ecosystem, which can help customers establish trust with the company through increased transparency, can also provide an even more valuable utility: data. CBD token allows Greenheart to track their crop from not only seed to sale, often a requirement for cannabis cultivators, but from seed to currency, thus eliminating any and all middlemen from the process of hemp cultivation and sales and increasing transparency through the inclusion of crop data on the blockchain.
Such granularity of data is extremely important in such a quickly expanding, new industry as hemp. A prime example that Greenheart provided is tracking production and revenues over time on a farm: if it can be verified that a hemp farm is pulling in a certain amount of revenue per year, then in theory a futures contract could be created for that farm. Futures contracts are commonly used by farmers to ensure that the value they receive for their crop is consistent, but are not broadly available in the hemp market yet.
With their mobile application poised to launch next month, sales in their first year in over 49 countries, and an innovative stack of technology, and quality products, Greenheart is poised to be a major player in the hemp cultivation and distribution space for many years to come. When asked about how early Launchpool supporters can help out, they mentioned sharing their message on social media, so definitely go give them a follow and spread the word!
Greenheart is a leading CBD tech company using DeFi, blockchain, and crypto to bring the agricultural industry into the 21st century. We equally passionate about both blockchain and CBD!
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