KlimaDAO has ratified 250,000 USDC in funding to support the development of the Improved Cookstoves project in Bangladesh in collaboration with SCB Group. The funding will enable the issuance of 31,250 Gold Standard certified carbon credits between 2023 and 2025, with the goal of providing liquidity for consumers within the Digital Carbon Market (DCM) on the Polygon blockchain.
By rolling out energy-efficient, improved smokeless cook stoves known locally as 'Chula' to the community, the project helps address environmental and health issues which stem from the use of inefficient cookstoves and polluting open flames within homes.
The partnership demonstrates how decentralized mechanisms can be used to transparently allocate resources towards high-impact carbon projects globally, and how community-wide governance can enable greater stakeholder engagement and scrutiny around the type and quality of carbon credits that are bridged into the DCM.
The partnership announcement comes after 3 months of discussion on KlimaDAO's Community Forum and a token vote via the Snapshot platform.
Drew Bonneau of KlimaDAO said:
This collaboration represents a significant milestone for KlimaDAO and the wider DCM, as the community's first DAO-wide token vote to allocate funding towards a project financing initiative. The carbon markets are becoming an increasingly important mechanism for directing capital to projects across the globe, and increased community involvement can help raise the scrutiny, scale and profile of project financing. The Improved Cookstoves for Rohingya Refugees in Bangladesh project, with its strong environmental and social co-benefits, now serves as a blueprint for future decentralized carbon project initiatives.
Kevin McGeeney, CEO of SCB Group, said:
The on-chain community, always at the forefront of shaping emerging best practice in voluntary carbon markets, has once again demonstrated how forward-thinking and agile it is by agreeing to support this project. I congratulate KlimaDAO for their collaborative approach and am especially pleased I've had the honor to visit this project firsthand. The people we're supporting left everything behind in their homeland of Myanmar, and although they are now safe in Bangladesh, their situation is beyond what most of us can imagine. Your support allows these people to cook their rations and boil their water, saving time that can be more productive and sparing the scarce resources of the surrounding environment in the worlds' most densely populated country.
Photos from a site visit by SCB during the project's preliminary phase are available on the KlimaDAO forum and in SCB's brochure – and a small selection is included below.
Disclaimer: The information provided in this blog post pertaining to KlimaDAO (“KlimaDAO”), its crypto-assets, business assets, strategy, and operations, is for general informational purposes only and is not a formal offer to sell or a solicitation of an offer to buy any securities, options, futures, or other derivatives related to securities in any jurisdiction and its content is not prescribed by securities laws. Information contained in this blog post should not be relied upon as advice to buy or sell or hold such securities or as an offer to sell such securities. This blog post does not take into account nor does it provide any tax, legal or investment advice or opinion regarding the specific investment objectives or financial situation of any person. KlimaDAO and its agents, advisors, directors, officers, employees and shareholders make no representation or warranties, expressed or implied, as to the accuracy of such information and KlimaDAO expressly disclaims any and all liability that may be based on such information or errors or omissions thereof. KlimaDAO reserves the right to amend or replace the information contained herein, in part or entirely, at any time, and undertakes no obligation to provide the recipient with access to the amended information or to notify the recipient thereof. The information contained in this blog post supersedes any prior blog post or conversation concerning the same, similar or related information. Any information, representations or statements not contained herein shall not be relied upon for any purpose. Neither KlimaDAO nor any of its representatives shall have any liability whatsoever, under contract, tort, trust or otherwise, to you or any person resulting from the use of the information in this blog post by you or any of your representatives or for omissions from the information in this blog post. Additionally, KlimaDAO undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed in this blog post.