Climate DAO collects $ 100 million in carbon offsets and aims to increase the price

Climate DAO, which is focused on climate change, has accumulated more than 9 million tons of CO2 offsets according to an announcement on November 8th. The dollar value of these offsets has exceeded $ 100 million.

In a blog post, the project explains that these differences correspond to the annual emissions of Georgia, Jamaica or Papua New Guinea. The Climate DAO protocol aims to increase the price of CO2 systems.

The core team told Cointelegraph that they intend to push the carbon offset price up “to make it more profitable for them to engage in offsetting activities like conserving land for carbon sequestration” or restoring forests and wetlands.

Carbon offsetting is the reduction of greenhouse gas emissions in one place in order to offset emissions elsewhere.

By accumulating all of these spreads, known as Basic Tons (BCT), Climate DAO’s Treasury Department has frozen around 85% of the total of 10.7 million BCT currently in the chain. Each BCT is a digital asset that represents a ton of carbon from the Verified Carbon Units (VCU) register connected to the Polygon network via the Toucan protocol.

When BCT’s balance grows in its treasury:

“The Climate DAO community will endeavor to promote higher quality climate protection projects, especially in developing countries.”

The project hopes to stimulate the price growth of the BCT token through the provision of fee sharing, an affiliate program, and incentive liquidity pools on Sushiswap.

The project uses blockchain as a record keeping system that can create standardization and accountability in the effective assessment of data on the economic and environmental impact of clearing.

Related: Climate impacts of cryptocurrencies: is the carbon offset good enough?

Controlling climate change through blockchain has become a popular topic for both tech-savvy and environmentally conscious people. During this week’s GOP26 event in Glasgow, Scotland, groups from the United Citizens Organization and the Climate Change Coalition campaigned for green economy initiatives.

The University of Cambridge also announced this week that it will be working with Tezos to create a decentralized marketplace for carbon credits.