GIP-33 Offsetting Historical Emissions

Proposal Template
Authors : json, Liam, Timmy
Summary : KlimaDAO proposes to offset 1,737 tCO2 of on-chain carbon offsets to remove Goldfinch’s historic Ethereum carbon footprint and to amplify Goldfinch’s climate impact messages with a dedicated media partnership.

Offsetting the 1,737 tCO2 footprint from this project will cost approximately $3,000 USD or Ξ2.7 based on current market rates.

Motivation : Using Kyle McDonald’s emissions estimates, the Ethereum network has a carbon footprint of roughly ~18.1M tonnes. Now that the merge has taken place, Ethereum’s footprint looking forward is minimal. However, it’s important for the community as a whole to effectively quantify and take action for historical emissions. Doing so is a win for Ethereum, but also helps push investment and ideation into the growing ReFi (regenerative finance) ecosystem.

The good news is that taking action on historic emissions is possible in a web3-native way, thanks to KlimaDAO’s development of DeFi rails for climate finance. The KlimaDAO team has developed expertise and unique technology to make the process of addressing historical emissions achievable for dApps such as Goldfinch.


To measure the carbon emissions of Goldfinch we have implemented the comprehensive emissions model developed by Kyle McDonald in the research paper: Ethereum Emissions: A Bottom-up Estimate which maps network energy usage to emissions factors.

We then use which is a tool that applies this methodology to calculate the emissions of defined contracts based on gas usage within specific blocks.

To see the scope of the analysis along with a breakdown of tonnage contribution per address click here: Goldfinch: Historic Emissions Offset

Offsetting and trade execution

To offset the tCO2 footprint of Goldfinch the Klima Infinity portal can be used which supports selective retirement by project address. A representative of KlimaDAO can demonstrate specifics of how the tool can be used. Note also that tokens on the Polygon (MATIC) network will be required to purchase the offsets via the BCT and NCT pools using SushiSwap.

The offset purchases can also be broken down into separate purchases over time with the communication plan being to achievement of carbon neutrality by 2024 (as an example).

Specification & Requirements

As an example of previous partnerships, Polygon worked with KlimaDAO and retired $400,000 of carbon credits representing the entirety of the network’s CO2 debt since inception. Going forward Polygon will continue to build upon its Green Manifesto and become carbon negative.

Achieving carbon neutrality was critical in Polygon securing key partnerships with notable brands including Starbucks and Meta whose mainstream users’ concerns were addressed by the action they took on climate change.

Benefits : You can take a deeper look at projects that have used KlimaDAO to offset carbon emissions transparently through our pledge dashboard.

Downside : The primary risk would be the logistics of offsetting, however, we will work together with the goldfinch team to ensure proper execution. Secondly, it will cost capital. The amount is stated at the beginning of this proposal and within the analysis itself. Please keep in mind pricing will fluctuate depending on the type of asset chosen or if the team and community wanted to pick a specific project.

Voting :
For: Goldfinch to join Klima Infinity and to offset historic emissions, officially making Goldfinch carbon neutral.
Against: Don’t join Klima Infinity.

Resources : Links are found throughout the proposal, however, we encourage everyone to visit our website or discord.

$3K is manageable I think.

Thumbs up from my side.

1 Like

Thank you! Appreciate your response :slight_smile:

Council has approved the proposal