A Carbon Offset Credit is awarded by a government (or its sanctioned agent) to a company or project that has demonstrated a reduction in GHG emissions from its commercial application, as verified by a third-party standard, that otherwise would not have occurred. One carbon offset credit is the equivalent of the proven elimination of one tonne of GHG emissions.
There are two kinds: compliance credits and voluntary reductions.
However, on the other side of every problem lies an opportunity.
Blue Sky Potential
In the past two years alone, the number of voluntary offsets sold has doubled, due to increasing interest by organizations and individuals to reduce their carbon footprint.
The Institute of International Finance believes there is "huge upside potential" for voluntary carbon credits, predicting the market could be worth as much as $100B annually by 2050.
Trading in carbon markets has been historically inaccessible, opaque and inefficient. Antiquated systems have hampered both supply and demand, limiting growth and innovation.
DeepMarkit subsidiary First Carbon Corp has developed MintCarbon.io, enabling the turnkey tokenization of carbon credits into non-fungible tokens (NFTs) - smart contracts, powered by the low-emission Polygon network, which can be listed on any decentralized exchange in the world (ie. OpenSeas.io).