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ORIGINAL RESEARCH article

Front. Blockchain
Sec. Blockchain in Industry
Volume 7 - 2024 | doi: 10.3389/fbloc.2024.1474540
This article is part of the Research Topic Blockchain and Tokenomics for Sustainable Development View all articles

Tokenized carbon credits in voluntary carbon markets: the case of KlimaDAO

Provisionally accepted
Alberto Ballesteros-Rodríguez Alberto Ballesteros-Rodríguez 1*Juan De-Lucio Juan De-Lucio 2Miguel-Ángel Sicilia-Urbán Miguel-Ángel Sicilia-Urbán 1
  • 1 Department of Computer Science, Polytechnic School, Alcalá de Henares, Spain
  • 2 Department of Economics and Business Management, Faculty of Economics, Business and Tourism, University of Alcalá, Alcalá de Henares, Madrid, Spain

The final, formatted version of the article will be published soon.

    The voluntary carbon market offers a flexible and cost-effective way to reduce greenhouse gas emissions, which has led to increased interest in these markets. Within the decentralized finance ecosystem, Decentralized Autonomous Organizations leverage the tokenization of carbon credits to enhance efficiency and transparency. KlimaDAO, established in August 2021, aims to accelerate the adoption of carbon markets by integrating blockchain technology to facilitate transparent, secure, and accessible carbon trading. This study analyzes the evolution of KlimaDAO by evaluating its market capitalization, token prices, staking participation, carbon credit retirements, market participation, and concentration. The analysis reveals that while KlimaDAO initially achieved significant engagement and activity, it now faces challenges associated with market maturity and participant retention. Finally, the study highlights the importance of standardization and regulatory frameworks to enhance interoperability, transparency, and legitimacy within the tokenized carbon market.

    Keywords: carbon offset, carbon credit, Decentralized autonomous organizations, KlimaDAO, Voluntary carbon market

    Received: 01 Aug 2024; Accepted: 07 Oct 2024.

    Copyright: © 2024 Ballesteros-Rodríguez, De-Lucio and Sicilia-Urbán. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

    * Correspondence: Alberto Ballesteros-Rodríguez, Department of Computer Science, Polytechnic School, Alcalá de Henares, Spain

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