Empowering the supply side

Tracer's initial focus is on supporting the long tail of carbon removal project developers, as the current market is characterized by high demand for carbon removal credits but limited supply. By leveraging the Tracer DAO's treasuries, the ecosystem aims to empower these suppliers through:

• Access to funding for new projects: Tracer's financial instruments, such as Carrot token futures, enable project developers to secure funding by selling carbon removal credits before they are delivered. This provides them with the necessary capital to start and scale their operations.

• Easy access to buyers: Tracer enables project developers from every size to access a wide range of buyers, including those with high demand for carbon removal credits. This eliminates the need for intermediaries and enables suppliers to succeed in scaling their carbon removal solution and maximize their revenue potential.

Achieving cost-efficiency: Tracer helps project developers achieve cost-efficiency by enabling them to scale their own projects. As carbon removal technologies scale, the costs are expected to decrease. For example, large-scale deployment of bioenergy with carbon capture and storage (BECCS) can reduce per-unit costs through economies of scale. Moreover, investment in technology innovation is crucial. Current costs for DAC can be high, but with continued development, these costs could drop to around $200 per ton of CO2. By providing project developers with access to funding and a wide range of buyers, Tracer empowers them to scale their projects and achieve cost-efficiency.