NFTree Upgrades & Sapling Rewards
Sproutly introduces a regenerative NFT system where digital assets evolve based on real-world ecological growth. Through the NFTree Upgrade Program, users can visually track and materially benefit from the performance of their trees. Meanwhile, the Sapling reward mechanism turns long-term token holders into active stewards of carbon-absorbing systems. This will be fully integrated into the Sproutly mobile game!
Visual & Functional Evolution
NFTrees evolve both visually and functionally as the agroforestry systems they represent mature in the real world. Each NFTree reflects a biodiverse system with multiple trees and plants. Real life example:
After 12 months: ~50 kg/year CO₂ absorption
Year 2: typically exceeds 100 kg/year
Early Year 4: approaches 175 kg/year
After year 4 above 175 kg/year but capped to ensure over collateralization
Long-term average: 175 kg/year, totalling ~3,500 kg over 20 years
In game and within the Sproutly ecosystem these upgrades can be much faster as we use compensation pools and reserves to prevent selling CO2 that wasn't absorbed yet.
Saplings: Building Blocks for NFTrees
Saplings are the foundational NFTs in the Sproutly ecosystem. They serve no direct utility but can be combined into NFTrees, which generate $aCO₂ over time. IMPORTANT: This is the only way to secure NFTrees.
Core mechanics:
10 Saplings = 1 NFTree
Saplings do not generate rewards on their own
They can only be created through Sproutly’s staking & reward system
How to Earn Saplings
Users earn Saplings by staking $SEED tokens. Rather than receiving rewards in $SEED, users can opt to receive their returns in the form of Sapling NFTs, allowing them to gradually build real-world carbon assets.
Example:
A user stakes $2,500 worth of $SEED
At a token price of $0.25, this equals 10,000 tokens
With an annual yield of 3.75%, they would earn 375 tokens/year
If they choose Saplings instead of $SEED, they receive a 10% bonus → 412.5 tokens in value
$0.25 × 412.5 = $103.13 worth of Saplings
At a cost of $15 per NFTree, this equals ~6 NFTrees or 68 Saplings
Example: A Carbon Council member will receive a 10% bonus, resulting in 75 saplings.
Sproutly will sometimes replenish the pool of NFTrees available for conversion from saplings. Availability is therefore limited and subject to a “while supplies last” basis.
This conversion mechanism is tied to tier-based staking APY but does not require prior tier knowledge to participate. It creates a clear, asset-backed incentive for long-term token commitment.
Adaptive Sapling Distribution
To maintain economic and ecological balance, Sproutly monitors the size of the unclaimed Sapling pool in real time.
If a few users choose to receive rewards in Saplings, due to delayed $aCO₂ yield in the first years, Sproutly may increase the monthly Sapling reward rate for stakers. This ensures that:
Saplings remain distributed and tied to active users
Users are incentivised to support long-term climate growth at a higher reward rate
This adaptive model balances short-term token behaviour with long-term carbon impact, and ensures that real planting budgets continue to deliver utility to the community.
Upgrade Cycle: From Token to Tree
Users move through a regenerative cycle:
Stake $SEED to earn Saplings
Accumulate and convert Saplings into NFTrees
Stake NFTrees on land plots to increase the $aCO₂ generation
Burn $aCO₂ to gain governance influence or certificates
Repeat as staking yields more Saplings and deeper participation
This cycle supports a potential healthy ecosystem dynamic:
When $SEED rises, the Saplings earned through staking become more valuable, encouraging users to continue staking or accumulate more.
When $SEED falls, staking additional $SEED tokens becomes more attractive due to the opportunity to accumulate future NFTrees at a lower cost.
As a result, no artificial price support is needed, ecosystem growth is guided by aligned community behaviour and natural market cycles.
Funding & Sustainability
Sapling issuance is responsibly designed to reflect real-world planting capacity. Each Sapling represents a future agroforestry system, and Sproutly ensures that these rewards are always backed by tangible ecological impact. To make this possible, Sapling funding is supported by a diversified set of sources:
Token Sale Proceeds A portion of future token sale allocations will be reserved to fund large-scale planting capacity, directly supporting Sapling rewards for early contributors and long-term stakers.
Subsidised Tree Planting Programs In several regions, Sproutly partners with local entities and institutions that provide partial or full subsidies for agroforestry projects. These programs enable Sproutly to plant trees either budget-neutral or at reduced cost, unlocking capacity for community-driven Sapling distribution.
Carbify Revenue Share A share of revenue received from Carbify, Sproutly’s exclusive B2B partner, contributes directly to the Sapling fund. This includes income from corporate tree purchases and CO₂ pool activity, creating a feedback loop where business activity helps fund community ownership.
Marketplace Trading Fees As NFTrees and Saplings will no longer be directly purchasable from Sproutly, peer-to-peer trading becomes the primary way to acquire them outside of staking. Trading fees from the marketplace, where users exchange Saplings, NFTrees, and $aCO₂, are partially allocated to fund new planting operations.
This multi-source funding strategy ensures that every Sapling is responsibly backed by real agroforestry systems planted on verifiable land. It allows Sproutly to maintain economic and environmental integrity, even as the community scales.
Impact & Alignment
The NFTree Upgrade and Sapling system:
Rewards long-term staking with tangible, verifiable assets
Reduces selling pressure through reward redirection
Converts ecosystem participation into real-world climate solutions
Visually demonstrates transparent growth tied to blockchain records
Dynamic Reward Pool Amplification
Sproutly’s NFTree system includes an additional mechanism that amplifies staking rewards for the most committed users.
When a user converts their Saplings into NFTrees and stakes them on a land plot, those trees become eligible for a share of the tree staking bonus pool. This bonus pool is funded by $aCO₂ generated by non-staked agroforestry systems and is distributed to active stakers based on plot type.
Here’s the critical dynamic: The fewer NFTrees are staked ecosystem-wide, the more $aCO₂ is available per staked tree.
So if many users choose to claim their rewards in $SEED instead of Saplings:
Fewer NFTrees are created and staked
The staking reward pool becomes more concentrated
Active NFTree stakers earn more $aCO₂ per tree
This creates a self-balancing incentive loop:
Users who commit to long-term environmental impact (via Saplings and NFTrees) receive greater rewards
Users who opt for liquid $SEED still benefit from price support and staking APY
The ecosystem automatically reallocates value to where it's most aligned with impact
In short: The rarer the trees, the richer their rewards.
Sustainability Note
While Saplings represent real ecological value, they also reflect real planting costs. To maintain long-term balance, Sproutly may apply caps or dynamic scaling to Sapling issuance, ensuring that every NFTree reward remains responsibly backed by actual agroforestry operations. This protects both the protocol and the planet as participation scales.
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