KlimaDAO and Sushi leverage Chainlink for carbon offset on Polygon

KlimaDAO and Sushi leverage Chainlink for carbon offset on Polygon

By Daniela Kirova - min read

KlimaDAO, a carbon market, blockchain scaling solution, and Sushi, the DEX and margin trading and lending app, launched the world’s first carbon offset integration in the Polygon ecosystem, Coin Journal learned from a press release

Users of the project can choose to compensate for a transaction’s carbon emissions for a nominal fee. The carbon credits offset will be equivalent to 0.02 MATIC per transaction.

Chainlink Automation will secure automatic offset 

The innovative project will use Chainlink Automation to make it possible to automate offsetting on-chain. Chainlink Automation nodes will route through the KlimaDAO retirement aggregator to bundle users’ opt-in transactions to enable one offset per 24 hours. 

The aggregator performs the offsets. Neither Sushi nor KlimaDAO is required to perform an additional activity to achieve the offset, making this on-chain climate solution fully automated. 

Sushi: a lightweight solution on Polygon 

While DEXs are among the most energy-intensive blockchain entities, given the high frequency of transactions facilitated by them, Polygon’s Sushi is a lightweight solution. 

The network runs on Proof of Stake, and, what’s more, Ethereum’s recent Merge additionally reduced network emissions by potentially as much as 99%. 

Reflecting a broader climate-friendly trend 

Previously, members of Sushi’s ecosystem voted to collaborate with KlimaDAO on developing a carbon-offsetting solution for the DEX. 

This project reflects a broader trend of Web3 projects tackling hazardous emissions and showing there are the tools and the motivation to mitigate blockchain technology’s climate impact.  

The partnership also demonstrates that it’s possible to integrate green fees into software and web applications, enabling users to scale climate finance.