Physical assets in the real world that are tokenized (i.e., represented by tokens). The concept of natural assets tokens came up as a reaction and solution to the so-called Tragedy of the Commons. That is, natural assets like water, air, and carbon, which are essential for the economy and for life on this planet, are usually overused and exploited because there is no mechanism to govern their use and consumption. Blockchain helps provide an automated system of governance over common resources. This way, consumption of natural assets can be left for market-based forces, rather than having their costs borne by society in the form of “negative exernalities“.
Forex
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