White Paper

  • Space Alpha White Paper
  • Version 0.1 DRAFT

Incubating, and scaling the emerging low-carbon economy

A decentralised currency, everybody can obtain, and where each currency holder contributes through his financial decisions to the market value. Depending on the value, opportunities may arise which offer the chance to make investments into the global emerging low carbon economy.

Table of Contents

  • 1. Motivation
  • 2. Vision
  • 2.1 Introduction to Space Alpha
  • 2.2 Our vision of the low-carbon economy
  • 2.3 Attitudes and engagement
  • 2.4 Transportation
  • 2.5 Energy
  • 2.6 Carbon capture
  • 2.7 Digital assets
  • 3. Capabilities
  • 3.1 The Space Alpha Token ecosystem
  • 3.2 Investments
  • 3.3 Investment requirements
  • 3.4 Realisation of Benefits
  • 4. Decision making
  • 4.1 Advisory Board decision making process
  • 4.2 SAT blockchain voting
  • 5. Opportunities
  • 6. Token Sale
  • 6.1 Space Alpha Founder Tokens
  • 6.2 Initial Coin Offering (ICO)
  • 6.3 SAT Public Currency Exchange launch
  • 7. Team and Advisors

1. Motivation

Most people are aware that our climate is changing with ever increasing carbon emissions. [1] In recent years our understanding has grown, and our civilization today faces multiple threats from a different climate regime, including more extreme weather and sea level rise. At the same time more businesses and governmental bodies learn that the low-carbon economy creates jobs and opportunities. But process is often slow, especially when looking at our addiction to fossil fuel driven cars, or power generation. Often actions are done with a top-down approach, or delayed.

There is room and the urgency for more global initiative and cooperation. The time has come to accelerate our collective efforts to reduce carbon emissions, to kick out old habits and to embrace clean technology and to empower the most promising actions.

In our daily lives we use currencies, why not use one which at the same time can help to solve one of the most pressing issues?

Even the biggest waves of change start with just a few ripples. You’ll need a multi-decade strategy for making business sense of the carbon vortex, but the only way to get there is to start somewhere — and to start today. John Elkington

Watch a recent overview of the current climate state in this video summary.

1. The IPCC Fifth Assessment Report concluded that “It is extremely likely that human influence has been the dominant cause of the observed warming since the mid-20th century.” IPCC Report p.17  The largest human influence has been the emission of greenhouse gases such as carbon dioxide, methane and nitrous oxide. IPCC Report p.89

2. Vision

2.1 Introduction to Space Alpha

Space Alpha Tokens (SAT) are a Ethereum token currency based on smart contracts, with the goal to combine financing and to achieve emissions reductions on a global scale. Space Alpha was founded in January 2018, and is headquartered in Berlin, Germany. Space Alpha plans an initial offering of a small amount of tokens prior to the Initial Coin Offering (ICO), during 2018.  Current efforts center around extending our team with more qualified experts, and to  establish our business operations.

Space Alpha wants to facilitate market capitalization to channel funds into a diverse range of promising projects and technologies. This could take shape in form of supporting existing – proven successful endeavours, or to help jumpstart, providing required incentives for change.

2.2 Our vision of the low-carbon economy

The low-carbon economy is anchored on processes and technologies that produce substantially lower amounts of carbon dioxide emissions than than existing solutions. This includes conventional fossil fuel power generation, processes in a production or supply chain, or through packaging and the related waste management.

Particular interesting are power generation sources such as wind and solar power, and process electrification (transportation, power supply, heating). Ideally a carbon neutral or even carbon negative result is achieved, which also depends on a lifecycle evaluation.

2.3 Attitudes and engagement

While there is a majority of people’s attitudes towards climate action, it lacks massive deployment and real behavioral change. The Space Alpha Token currency provides a mechanism to enable the financing of low-carbon entities.

2.4 Transportation

Tesla’s new lower priced car the Model 3, with over half a million reservations, is delayed for months. Things need to be scaled, and it takes time. However, there are other less known car models readily available, but still electric charging station infrastructure might turn potential buyers away. Car sharing or electric charging stations offer many new opportunities, require a new infrastructure, and secure technology, everywhere. With electrification of the global car pool still at it’s dawn there are myriads of businesses yet to be made.

2.5 Energy

According to the REN21, Renewables 2017 Global Status Report the amount of solar and wind in the energy mix is still small (Figure 1.). Experts calculate that decarbonization of the electricity system by 2050 is possible and at lower costs than today, based on available technology.

According to the Frankfurt School-UNEP Global Trends in Renewable Energy Investment report from 2017, since 2010 investments in renewables vary between $234 billion to $312 billion annually.  Today, manufacturing scale-up, and the roll-out have become a function of market financing (Figure 2.).

The investor hunger for existing wind and solar farms is a strong signal for the world to move to renewables. Udo Steffens, president of Frankfurt School of Finance & Management

2.6 Carbon capture

We see great potential in bio-energy with carbon capture and storage, especially in the industry scale generation of biochar and its byproducts and many benefits.

2.7 Digital assets

The current cryptocurrency market capitalization of roughly $800 billion offers investors the opportunity to diversify their digital assets. Space Alpha Tokens tap into this market, and at the same time finances renewable energy sources and relevant projects, for instance maintenance tasks.

3. Capabilities

A healthy token ecosystem is vital for investors, and for the prospects and capabilities of Space Alpha’s investment portfolio. The vitality of the economic SAT network depends foremost on market value, and our success in directing funds. We are committed to the development of the required analytic applications, as well as a strong vetting process. The Space Alpha Board of Advisors, and existing results and track records, guide our decisions in how to financially improve roll-out and manufacturing of low-carbon technologies.

3.1 The Space Alpha Token ecosystem

Space Alpha Tokens are created with a fixed amount, they are not minable, thus there is only a marginal amount of energy consumption when computing token currency transactions, or for powering a token wallet.

3.2 Investments

With growing market capitalization of SAT, opportunities emerge for Space Alpha to direct investments to our transportation, energy, and carbon capture visions. Selected and vetted companies are offered funding, in return they buy SAT for the amount of funds received, but only if they become profitable. In the beginning we will focus our efforts on healthy entities, those with a low risk of loses.

Investments depend on SAT market capitalization thresholds and on costs benefit calculations.

Ideal example

A year old startup in Texas which specializes in constructing and maintaining electric vehicle charging stations receives a fund of $10.000 to buy standardized universal charging stations. After a year they report positive results, and begin to buy SAT until they reach $10.000, and transfer them back to our Token fund, returning the investment to Space Alpha. This would require a currency exchange which trades SAT and accepts fiat currency, and can be publicly tracked with blockchain transactions.

If the initial funding stage was a success we might consider the same company for another fund. This time we help to finance the conversation of their vehicle fleet to electric propulsion. Because there are not many strings attached, this model heavily depends on our initial company assessment, a trust model.

Another form of investment is to fund a company, without directly returning investment.

Ideal example

An established company committed to the production of biochar from waste as a garden soil amendment receives $50.000 to help finance a small scale industrial biochar plant. In return they offer SAT as a payment option to their customers.

3.3 Investment requirements

Vetting potential investment candidates includes guiding principles for a selection. This includes various aspects, including carbon footprints, working conditions, environmental commitments, track records, among others.

3.4 Realisation of Benefits

Benefits manifest through the market capitalization of SAT, and from returning funds and a growing network of companies accepting SAT as a payment option.

4. Decision making

Decisions are made by our Board of Advisors, additional owners of Space Alpha Tokens can participate in a transparent public blockchain vote.

4.1 Advisory Board decision making process

 

4.2 SAT blockchain voting

Facilitating existing blockchain technology for voting, every SAT owner who registered can cast his vote on proposed investments.

5. Opportunities

Climate change is an emerging crisis, progressing in unpredictable ways in time and space. Today’s unprecedented growth of decentralized cryptocurrencies and their markets bring about a revolution on how we conduct businesses in the 21st century. Space Alpha presents an opportunity for investors, consumers and businesses to participate and to act on climate change at the same time.

Space Alpha Tokens offer a critical solution at the intersection of capitalism and climate change. When spending digital currency, and when at the same time funding emissions reductions, then this is a win-win situation. SAT is unique among other tokens and coin currencies on the market, as it combines many objectives affecting our everyday lives.

6. Token Sale

Prior to the Space Alpha Token launch, a special sale will take place for a limited amount of Space Alpha Founder Tokens, to jumpstart our operations.

6.1 Space Alpha Founder Tokens

6.2 Initial Coin Offering (ICO)

6.3 SAT Public Currency Exchange launch

7. Team and Advisors

7.1 Executive Team

Space Alpha includes members from a broad experience spectrum, including management, development, forward thinkers, and for administrative tasks.

7.2 Board of Advisors

Ideally our board of advisors consist of scientists, renewable energy and sustainability experts, as well as experts in design/management processes and for financing.

Figure 1. Estimated renewable energy share of total final energy consumption (2015). Credit: REN21, Renewables 2017 Global Status Report. http://www.ren21.net/status-of-renewables/global-status-report/

Figure 2. Traditional research and development cycle. Credit: Frankfurt School-UNEP Global Trends in Renewable Energy Investment. http://fs-unep-centre.org/sites/default/files/publications/globaltrendsinrenewableenergyinvestment2017.pdf