The partnership between KlimaDAO and Sushi leverages Chainlink Automation to enable users to automatically offset their carbon footprint through a 'Green Fee'.
KlimaDAO and Sushi have co-launched a first-of-its-kind carbon offset integration for Sushi's decentralized exchange (DEX) on the Polygon network. The project allows users to 'opt-in' to compensate for the carbon emissions of a transaction for a nominal fee. Users opting in will offset carbon credits equivalent to 0.02 MATIC per transaction, from tokenized carbon credits contained within KlimaDAO's Sushi Liquidity Pools.
The project will also leverage Chainlink Automation to help enable automatic offsetting directly on the blockchain. Chainlink Automation nodes will bundle users' opt-in transactions to be offset at 24-hour intervals by routing through the KlimaDAO retirement aggregator, which executes carbon offsets. This requires no additional activity from KlimaDAO or Sushi to execute the offset, making this a fully automated climate solution deployed on the blockchain.
DEXs are one of the more intensive pieces of infrastructure on the blockchain because of the frequency of transactions that they facilitate. From an energy perspective, however, Sushi on Polygon is a lightweight solution given that Polygon is a Proof of Stake network, and Ethereum recently underwent its merge which has further reduced the emissions of the network by an estimated 99%.
Climate leadership
The project launch comes after Sushi's users previously voted to develop a carbon offsetting solution for the DEX in collaboration with KlimaDAO. It is part of a broader trend of Web3 projects taking ownership over their carbon emissions and demonstrating that there are the tools and appetite to mitigate the climate impacts of blockchain technologies as part of society's shift to a cleaner economy.
This collaboration gives users an opportunity to deliver real-world impact with every transaction. It also shows that green fees can be integrated into web applications and software, giving users the opportunity to unlock more climate finance, at scale.
How to opt-in today
Sushi users can easily opt-in to offset their transactions.
1. First, head to Sushi.com and connect your wallet in the top right corner:
2. Ensure that you are connected to the Polygon Network:
3. Simply click the leaf icon. By default it is inactive (indicated by the grey color). When active it will light up green.
4. You have now opted in – your swaps will be 100-fold overcompensating the actual emissions of each transaction via the Green Fee tech stack. Congratulations on making a conscious, climate-positive choice!
You can track and showcase your climate impact by claiming your Pledge Dashboard, which will also surface each Green Fee transaction you make on Sushi.
You can always verify your Green Fee setting on Sushi by checking that the green leaf is lighting up, or clicking the 'Settings' cogwheel and looking at the 'Carbon Offset' toggle.
About KlimaDAO
KlimaDAO is an on-chain scaling solution for the Voluntary Carbon Market. KlimaDAO aims to open up the market to greater transparency and efficiency by combining tokenized carbon credits with a blockchain-enabled technology stack.
If you are interested in participating in KlimaDAO's governance process, join the Forum. If you are a business looking to offset your carbon footprint, get started here.
About Sushi
Sushi is a DEX and a Lending & Margin trading app. Sushi allows users to trade virtual currencies using a connected crypto wallet. Users can buy and sell across 11,700 cryptocurrency pairs and trade tokens across seven crypto networks via the newly launched cross-chain swap.
About Chainlink
Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts with a way to reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications. Learn more about Chainlink by visiting chain.link or reading the developer documentation at docs.chain.link. To discuss an integration, reach out to an expert.
Media inquiries
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