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Hello steemians!
In this post, we would be exploring the proposed carbon credit exchange a bit to see what it holds for the carbon market. As we might know (or guess), carbon trading is a market with huge potentials, a market with an ever increasing demand as countries and corporations globally endeavour to meet their Paris Agreements of reducing their gas emsission to curb the ecological impacts these create on our existence as living creatures.
For those of us who might be new to the concept, carbon credits are simply permits that allow countries and industries to emit limited amounts of gas.
Researchers have projected that carbon credit market is set to witness exponential growth in the coming years. However, the fact that the current carbon trading system is laden with major lags kind of make this projection seem a joke. Carbon trading is a global market system which typically is characterized by hurdles like fluctuation in currencies, difficulty in/high cost of currency conversion, fraud, delay in transaction processing, high cost of transaction, etc. All these constitute impediments against the efficient and smooth running of carbon credit trading.
This situation calls for the need to create a beter and more effective means of trading carbon credits. Thanks to the emerging blockchain technology which readily comes to the rescue here with the birth of carbon chain project and its carbon credit exchange (CCX).
Carbon credit exchange (CCX) aims to ease off the militating factors in the current carbon trading system and make the process of carbon credits trading easy. Carbon credit exchange is a blockchain based-exchange specially designed for trading of carbon credits. CCX will create a wider reach for carbon credits as individuals, governments, and corporations would be able to acquire the credits more easily than in the current trade system.
CCX would be a centralied exchange of some sort in the sense that the carbon chain team would have the obligation of ‘safeguarding all transactions' on the platform. They would oversee every single transaction on the exchange to ensure credibility.
BENEFITS OF CCX
The benefits of Carbon Credit Exchange are quite numerous. For one, it offers its clients the opportunity to make purchases of carbon credits at discount rates comopared to other carbon markets. This would be made possible with fundings from the carbon chain token generating events.
Being built on the cutting-edge blockchain technology, CCX will create a wider reach for carbon credits as it would make these readily accessible to all from every part of the globe. This technology would foster transperancy in carbon credit transactions by checking fraud, double counting, and delays in transaction processing. In other words, by utilizing blockchain technology, CCX would bring about speed and efficiency in carbon credit transactions. CCX (through blockchain technology) thus assures a secure, safe, and transparent trading environment for carbon credits.
With these benefits in mind, CCX is sure to create a long and lasting impact in the carbon market and positively impact on countries and corporations to meet their Paris Agreement of reducing gas emissions in their respective regions.
Aside CCX, Carbon Chain Project has a subsidiary exchange known simply as 'members-only exchange' where TGE participants would be able to swap their project token (CCPT) to the native token of the ecosystem (CCT) in order to be able to purchase carbon credits later on CCX or sell to others on exchanges who need to purchase the credits.
For swapping/exchanging their CCPT for CCT, the participants would be charged transaction fees based on the number of CCT they hold from the TGE. The more CCT each one holds, the less the transaction fees imposed on them. This is the only functionality of this exchange. This members' exchange would not be open to the wider public nor would carbon credits be traded here...
So back to the carbon credit exchange...
Summarily, from information available on the carbon chain project whitepaper, one can boldly assert that CCX is a trusted exchange for carbon credits. For one, this exchange would have a body of inspectors who would thoroughly verify every credit and ensure they are promptly delivered to the buyers. Also CCX wouldd be a compliant exchange that would cooperate with regulatory agencies and requirements governing blockchain exchanges and carbon credits trading.
While awaiting the epic launch of this exchange, you can scoop more information about carbon chain project from their official website: https://carbonchain.org/#home
And their whitepaper: https://carbonchain.org/wp-content/uploads/Carbon-Chain-White-Paper-21-Aug.pdf
Goodluck to CCX!
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Bounty0x username: diana1