Ever heard of carbon credits? Most haven't. But this market is quietly reshaping how we think about environmental impact and sustainable finance.

Here's the basics: a carbon credit is essentially a tradable certificate or permit. One unit = one metric ton of CO₂. Simple, right? But here's where it gets interesting—that CO₂ can come from two sources. Either it's been physically removed from the atmosphere through direct capture, or it represents prevented emissions through renewable projects. Both count. Both have market value.

The mechanism is elegant. Instead of imposing blanket regulations, carbon credits let companies buy their way toward compliance—or investors bet on the green energy transition. Token-based carbon credits on blockchain? They're already happening. Welcome to the intersection of environmental accountability and decentralized markets.