18th Jun 2024 Gemini 1.5 Pro
This podcast episode of The Regeneration Will Be Funded features Sam Bennetts, Registry Product Manager at Regen Network, discussing the intricacies of registries in the context of ecological and carbon credits. While the conversation delves into technical aspects, it offers valuable insights, particularly for individuals engaged in this field, by highlighting the importance of clear terminology, stakeholder engagement, and decentralized approaches for a more equitable and impactful system.
Bennetts' journey into the world of carbon markets began with a deep dive into developing a soil carbon methodology for Regen Network, culminating in Microsoft's purchase of their grassland carbon credits. This experience provided him with firsthand exposure to the complexities and challenges inherent in this field:
In working with farmers, you know, like, like we're emailing back and forth with like people on the ground that were taking soil samples and the they collected samples in the wrong place or the soil was too dry they put it on a spreadsheet they like messed up some numbers and you know digitizing it and so like you know there's challenges there and there's a lot of kind of relationship building and trust that you need to cultivate with people on the ground especially you know when you're talking about bringing in tons of different people to help monetize, you know pieces of this process.
This experience highlighted the need for meticulous attention to detail, robust methodologies, and strong relationships with stakeholders, particularly landowners, to ensure the credibility and success of such initiatives.
One of the key takeaways for Bennetts was the realization that existing carbon market structures are often overly strict and complex, creating barriers for smaller players and potentially hindering innovation.
My initial learning was like, "Whoa, this is pretty complicated and it seems like there's more requirements than there should be." And then actually in the sales process, it's overly strict.
This experience solidified his belief in the need for more flexible, community-driven approaches, a principle that has since guided his work on Regen Registry.
Driven by his early experiences, Bennetts emphasizes the importance of redefining registries for ecological credits. He highlights that traditional registries, often centralized and opaque in their operations, can benefit from a decentralized approach built on transparency, community governance, and accessibility.
In the work that we've done in thinking about a decentralized registry and what that looks like, for me it has been really important to make sure that people are understanding the terminology because it's pretty crucial when we actually get down to thinking about separating out what is really a system of functions into more discrete components and parts.
Transparency ensures that all stakeholders, including buyers and community members, understand the decision-making processes, data sources, and methodologies behind credit issuance.
Community governance, Bennetts argues, is crucial for ensuring that those most affected by ecological challenges have a say in shaping the solutions and benefit directly from their implementation.
Finally, recognizing that not all stakeholders possess the same level of technical expertise or resources, Bennetts stresses the importance of meeting people where they are in their journey, offering support, education, and tailored solutions.
Bennetts advocates for a shift from viewing registries as monolithic entities to more modular systems with distinct functions that can be decentralized and governed by relevant stakeholders.
He identifies three core functions: the database, the enforcement body, and the methodology/standards creator. This modular approach allows for greater flexibility, adaptability, and community ownership. For instance, Bennetts envisions a future where local communities govern the creation and implementation of methodologies tailored to their specific ecological contexts, rather than relying on rigid, top-down standards.
And so, you know, in introducing kind of a blockchain ledger into this where we're intentionally nesting in on-chain identities for different parties. There's a little bit of complexity there because now we're talking about what is in executing certain actions on-chain such as credit issuance. Is there liability in taking that action? Or is the person that essentially clicked the button or signed the transaction working on behalf of someone.
This decentralized approach to registry functions, coupled with the transparency and immutability of blockchain technology, has the potential to revolutionize the way we value and incentivize ecological stewardship.
While carbon credits have dominated the conversation, Bennetts emphasizes the need to move beyond a solely carbon-centric approach and embrace a wider array of ecological assets.
He advocates for the creation of diverse credit classes encompassing biodiversity, water stewardship, and environmental stewardship practices, recognizing that ecological health cannot be reduced to a single metric.
I mean, I think that carbon markets are one of many tools and carbon credits are one of many tools that we can use to direct you know finance towards these projects and Carbon drawdown is really important.
Regen Network exemplifies this approach by developing methodologies for sheep grazing, keystone species protection, and other practices that contribute to broader ecological health, even if they don't fit neatly into existing carbon credit frameworks.
This expansion of credit classes allows for a more nuanced and comprehensive approach to valuing and rewarding ecological stewardship practices that might otherwise be overlooked.
As the ReFi space experiences rapid growth and evolution, Bennetts stresses the importance of collaboration, interoperability, and humility among projects.
He encourages projects to build upon existing infrastructure and collaborate rather than compete, leveraging each other's strengths to address the immense challenge of ecological regeneration.
There's definitely a lot of tribalism, which is, you know, it kind of happens everywhere. But I think that the more we can realize that we're all in it together, and like, really think about, okay, like, what's already been built and where can I fit in, where's my niche
Acknowledging the limitations of current technologies and understanding of complex ecological systems, Bennetts advocates for an iterative and adaptive approach, embracing transparency and acknowledging uncertainties as projects evolve.
He emphasizes that the scale and urgency of the ecological crisis demand a collective effort, one that prioritizes collaboration, interoperability, and a shared commitment to harnessing the power of technology for the regeneration of our planet.
Airtable