YouSaid · the spoken record

Hayden D. Smith

lines on the record

54

first

2022-12-06

most recent

2022-12-06

sittings or episodes

1

sources

podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

1. “So, first and foremost, the goal is to service all this information you're actually describing, whether it's the associated risks with the particular project, so if it's in a government or in a country that's not stable, that's an associated risk with the underlying derivative. If the actual chemical pathway can only support a certain amount of what's called durability, that's the characteristic you're describing, which is saying how long does that environmental benefit last for? There are some durability kind of numbers that are really well understood, and there are some that are kind of more approximations based on distribution. Soil carbon typically falls on this, where you'd have some soil carbon that only can stay sequestered on a scale of five to ten years and then some that can stay a little bit longer. So first things first is patch works with third parties to actually collect all of this data. The risk data, the associated kind of underlying evaluation of the projects themselves, and we put it all in one place to surface this information. So PATS is actually not going into the field ourselves to generate this data.”

   2022-12-06 · a16z Podcast · Building a Marketplace for Carbon · IDENTIFIED FROM THE TRANSCRIPT · source

2. “The price per ton, but it was the rate at which that carbon can be removed and for how long that carbon can stay removed. Patches core ethos as a platform is to aggregate and standardize presentation of that information, providing new level of transparency that historically hasn't been possible. And this is really with the intent of showing buyers the kind of information they need to actually understand where they actually transact with. Because before, if you looked at some of these exchange platforms, it would simply be a digit, a couple lines, you know, a thousand times, maybe a unique identifier and maybe a little bit of metadata on the underlying carbon project, but there's so much information that's been abstracted away that has resulted in people buying things when they thought they were buying something else.”

   2022-12-06 · a16z Podcast · Building a Marketplace for Carbon · IDENTIFIED FROM THE TRANSCRIPT · source

3. “Yeah, it's a great question. So before Patch, really what existed was this idea of a long-standing carbon credit exchange. So very often what you would see is primarily banks and some oil and gas organizations, they would have a carbon desk where they would buy huge tranches of carbon credits on the scale of hundreds of thousands to millions of pillions. In the case of the banks, they'd actually be speculating. So they'd be buying mold again and then flipping them for some sort of yield. What PETA actually does is takes in a completely different approach to carbon. We don't actually really treat it like almost a security, which has historically been treated as where banks want to view all carbon as the same. Every time it is created equal, regardless of the underlying metadata, we now know that it's fundamentally not true. So whether you're removing carbon through natural solutions like reforestation or human engineer solution, like direct air capture or enhanced weathering, there's a huge amount of variability in both.”

   2022-12-06 · a16z Podcast · Building a Marketplace for Carbon · IDENTIFIED FROM THE TRANSCRIPT · source

4. “Thanks for having me, Steph. So, in super simplified terms, patch builds software that makes it easier for corporates to interact with environmental markets. So what that actually means is we partner with a wide variety of what are called carbon removal and carbon credit developers. These are organizations that either abate emissions or remove carbon dioxide from the atmosphere through a variety of different chemical pathways. Thus reforestation to direct air capture is a huge amount of breadth on the platform. We actually pull their capacity or ability to sell back carpet sequestration or carbon abatement inside our software platform and then expose it to corporates. So through the lens of a buyer, if you're something like an actor pay, for example, which is a customer of ours, Pat looks a lot like a B2B marketplace for climate action. But if you're a seller, we look like a platform to help you scale your business. So we almost look like two businesses depending on the type of organization you are.”

   2022-12-06 · a16z Podcast · Building a Marketplace for Carbon · IDENTIFIED FROM THE TRANSCRIPT · source