A single carbon credit token issued from a pool of multiple carbon credits

Underlying carbon credits are issued by 3rd party standards.

Projects under this category:

Flowcarbon, Justcarbon & 1 Planet Marketplace

Structure:

Commentary:

A pool structure is different from a portfolio structure.

Under this structure, carbon credits are tokenized and deposited into one pool. A single token is then issued that represents the pool. The main issue here is that the user will not have much say or control over the type and composition of carbon credits deposited into the pool. The price difference between different types of carbon credits will also not be directly reflected in the pooled token price. Unlike a fund portfolio, where the weighted average price changes are reflected directly in the overall price of the fund, pool pricing doesn’t work the same way since it depends wholly on the market demand of the pooled tokens.