Treasury Activities

Ways Saltwater Games is Driving Impact

Investing

Saltwater Games will launch a world-first regulated treasury impact fund, generating both social/environmental impact and financial yield. Impact investments are investments made with the intention to generate positive, measurable social and environmental impact alongside a financial return (source: GIIN). This combination of financial and social/environmental outcomes is often referred to as ‘dual return’.

Investment Thesis

The Saltwater Impact Treasury Fund invests in dual-return investments, initially with a focus on clean energy and decarbonisation, but expanding to sectors such as Blue Technologies, EdTech and Social Housing in the future.

Specifically, the Fund will invest in private project opportunities and corporates involved in clean energy and decarbonisation with strong backing from assets or contracts with the following characteristics:

  • Defensive income generating projects looking to provide stable risk-adjusted returns above the risk-free rate with low volatility

  • Diversified pools of corporate loans and senior secured loans to clean energy – e.g., solar, wind, battery, energy efficiency and associated infrastructure–backed by assets or strong contracts

  • Projects with a broad liquidity profile, taking into account both short and long-term cash requirements

  • Project stages include operating projects and projects under construction where equity contribution is fully committed.

Examples of projects include large-scale solar, wind energy, distributed energy, energy storage, electrification and efficiency

Measuring Impact

The Fund will use GIIN’s IRIS framework for measurement. IRIS+ is the generally accepted system for measuring, managing, and optimising impact.

Key impact indicators include:

  1. Reduced greenhouse gas emissions (t, %)

  2. Clean energy transition enablement (MW, %)

  3. Contribution to a cleaner electrification pathway (MW, %)

  4. Economy and society (jobs, health outcomes)

Why Decarbonisation and Clean Energy?

Decarbonisation is an urgent global challenge. Investment is rising, but the next decade is pivotal in the shift towards climate resilient development.

  • US$1.1T was invested globally in clean energy in 2022, with half into renewable energy according to Bloomberg. 2022 also marks the first year that investment in clean energy drew equal with the investment in fossil fuels.

  • To reach net-zero emissions by 2050 and limit global warming to 1.5C, investment in renewable energy sources needs to surpass finance flows to fossil fuels by a factor of four over the next decade.

  • Clean energy and decarbonisation link specifically to our key partners objectives and align to the first game project's narrative around the successful transition to clean energy.

In-Game

Long-term impact can only be achieved with an engaging and integrated economic model underlying fun and evolving digital experiences. Celeros is the first gaming ecosystem defined by the Saltwater Games platform and our Play2Impact thesis, balancing engaging gameplay with real-world impact.

Our in-game experience will incorporate:

  • Regenerative Finance — often shortened to "ReFi" — initiatives: a portion of all transactions may go towards purchasing and retiring tokenised carbon removal, biodiversity and public access water credits on the blockchain.

Regenerative Finance (ReFi) is a growing Web3 field that offers an opportunity to rethink how we approach finance, investing, and sustainable economic development. ReFi takes a holistic approach to finance and development, considering the environmental, social, and economic impacts of financial decisions, and aims to create a regenerative economic ecosystem rather than following a primarily extractive approach.

  • Education: promotion of ES vehicles (e.g. Airspeeder) and education around clean energy sources.

  • Accessibility: free-to-play game provides entertainment, community and economic opportunities for all.

Community

Saltwater Games is building an action-oriented community of gamer activists who want to enact change in their local and virtual communities:

  • Digital asset collaborations with well-known artists: do good in your local neighbourhood to win.

  • Governance participation: community have a say in the future development of the game and management of the Saltwater Games Impact Treasury Fund.

  • In-game rewards for actions taken In Real Life (IRL), e.g. Retweet/share positive social and environmental messaging endorsed by Saltwater Games and its Partners; sign a petition; take a quiz or course to learn.

  • Philanthropy: Saltwater Games and community-led virtual fundraising events in partnership with leading brands.

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