Fundraising through tokenization is highly effective since it allows for continuous auditing of the entity.
Renewable energy developers, particularly those in mid-sized wind and solar park sectors, generally find it straightforward to secure bank financing for new projects. Typically, these projects are financed through a mix of 70% bank loans and 30% equity. After these assets become operational and are connected to the grid, developers often look to refinance them instead of managing them long-term. This refinancing strategy is aimed at repaying both the debt and equity investments, thereby freeing up capital to invest in further infrastructure development.
Dowgo has innovated a protocol that streamlines fundraising for renewable energy projects via token public offerings, a method more straightforward than traditional financing models, including those utilized by publicly listed companies. This model is uniquely effective as it allows for the financing of individual parks while maintaining liquidity. Our goal is to enhance the transparency and attractiveness of private investments in renewable energy assets. We achieve this by recording all related energy and financial transactions on a public blockchain, guaranteeing that any asset can be audited at any time by anyone. This ensures a simplified fundraising process. Specifically, Dowgo empowers these renewable energy assets to raise funds based on their expected financial returns from energy production. This method is especially advantageous for small and medium-sized renewable energy projects, enabling them to secure both debt and equity financing through the support of communities and investors.