KlimaDAO Office Hours | Thursday, Aug 11th, 2022

Inverse Bonds, AKR, and NCT Bonds

In general, the Policy team has been very pleased with the performance of inverse bonds. After strong demand early on, this bond type has been in lower demand over time, which in this case is a positive sign.

The upcoming reduction of the AKR value to 20% could be increased again once bridging on-chain resumes. Also, limited capacity KLIMA-NCT LP bonds are on the horizon and could be added in the near future following a snapshot vote.

Blockchains and Climate Positive Narratives

With the Ethereum merge drawing closer (it is currently scheduled for September), questions arise around the marketing value of a “climate positive” blockchain. Outside of Bitcoin, the carbon footprint of blockchains in general will most likely be negligible.

This should be a positive event in the crypto space as a whole and lead to a more favorable perception of cryptocurrencies in the public eye. Klima will continue to offer offsetting services for all Web3 companies and beyond and, in time, tackle millions of tonnes of historic emissions.

Progress on Sushi

The integration of Klima Infinity into Sushi’s token swaps will begin testing shortly! While writing this new functionality into Sushi’s existing infrastructure, a strong focus on usability with minimal user interference was the target. Users will, for now, have to opt-in to this offsetting feature, which could theoretically be deployed on all chains.

There will be no additional approvals or token submissions necessary. This will help maintain the ease of use of Sushi for veteran users while ensuring that Sushi will be the world’s first completely carbon neutral decentralized exchange.

Klima Project Updates

• Gold Standard announced a new working group, which includes KlimaDAO, to tackle the challenges of the current carbon markets. Find out more about this promising initiative at https://bit.ly/3AfB8wA!
  
• A vote on cleaning up the HFC-23 part of the BCT pool will go live soon. If no other player connected to BCT wants to engage in this activity, the DAO will deploy enough capital to do it itself.
• The current KYC solution proposed by Klima and Ident.DeFi last week would place the burden of KYC mostly on bridgers. Creating as little friction as possible is the goal in order to incentivize large scale adoption of the carbon market on-chain.