Tokens
The Klima Protocol uses two native tokens and onchain carbon tokens to operate its pricing and acquisition mechanism.
Summary
kVCM – Portfolio & pricing
Floating supply (starting at 20 million), expanding and contracting as carbon is acquired or retired.
Represents overall value of the protocol’s carbon portfolio.
Defines pricing for carbon classes.
Serves as the medium of exchange for all carbon trades with the Protocol.
Can be locked to vote on carbon class pricing and allocations.
K2 – Risk & capacity
Fixed supply of 100 million, distributed programmatically as incentives.
Can be locked to vote on carbon class capacity.
Carbon tokens – Underlying assets
Tokenised representations of specific carbon credits.
Grouped into carbon classes for efficient pricing and allocation.
Acquired by the protocol and retired when users redeem certificates.
Shared mechanics
All carbon is priced in kVCM terms only.
All trades settle in kVCM.
Participants can enter or exit via the kVCM<>USD liquidity pool 24/7.
Vote-locked kVCM and K2 and liquidity providers receive incentives.
Incentives are the sole value distribution mechanism; there is no extraction layer.
Distribution
kVCM
Initial kVCM token distribution: 20 million.
Floating supply.
KLIMA Holders (Fair Launch participants)
77.5%
15.5
Via Fair Launch claim function
Latecomers migration contract (KLIMA holders)
10%
2
To enable remaining KLIMA conversion to be converted at a reduced rate
DAO / Treasury
10%
2
For liquidity & future carbon allocation needs.
01X Consulting FZE (“01X”) -
2.5%
0.5
Per contractual agreement, compensation for model development.
K2
Initial K2 token distribution: 7 million.
Final distribution: 100 million.
Fixed supply.
DAO / Treasury
4.5%
4.5
For kVCM/K2 LP, or held in reserve.
01X
2.5%
2.5
24 month lock providing LP in kVCM/K2
Reserve for Protocol Launch
93%
93
Minted and held in reserve for protocol launch. See table below.
Fair Launch Participants
40%
40
Allocated proportionally against accrued points. Claimable over 48 month vesting period
Ecosystem Grant Reserve
%
5
TBD
Programmatic Incentives
40%
40
Incentive Curve (See white paper)
pKlima Holders
3%
3
48 month vesting period
Product Development Fund
5%
5
TBD
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