Why offset carbon with Klima?
Why offset with Klima: fast, programmatic settlement, deep on-chain liquidity, real-time pricing, and transparent, traceable retirements on public blockchain.
Purchasing carbon credits from Klima Protocol to produce carbon compensation claims has a number of benefits — these benefits often relate directly to the nature of the underlying blockchain infrastructure that the protocol operates on.
Transaction settlement
Via the use of blockchain-based smart contracts, buyers have secure and programmatic transaction settlement assurance and eliminate counterparty risk. Rather than dealing with lengthy contracting cycles and often prolonged bank transfer times, users can secure their carbon compensation claims in seconds.
Liquidity & Supply
Klima Protocol leverages a unique Automated Asset Manager (AAM) model that routes available liquidity directly to buyers and sellers. Thus far, this has resulted in millions of carbon credits being made available across hundreds of carbon projects. As these credits are facilitated on a public blockchain network, users are provided with real-time insights into market dynamics, project availability, and pricing.
Responsiveness
The immediacy of transactions provides real-time pricing for users based on supply/demand for different classes of carbon and individual projects.
Transparency and Traceability
Public blockchains provide publicly verifiable and immutable ledgers of transactions. As infrastructure for the carbon market, the Klima Protocol inherits these advantages and provides a clear chain of custody — from carbon credit issuance on an underlying registry, to its purchase by the protocol, to the ultimate consumption of a credit’s environmental benefit.
Last updated
