# Data Methodology | CRBN.CREDIT

**URL:** https://crbn.credit/methodology  
**Purpose:** How CRBN.CREDIT aggregates, cleans, and scores carbon credit data

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## Overview

CRBN.CREDIT employs a rigorous, multi-layered approach combining on-chain immutable records with traditional registry data to create a unified, institutional-grade view of the Voluntary Carbon Market (VCM).

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## Layer 1: Data Aggregation — The Oracle Engine

The Oracle Engine continuously polls three primary source categories:

### A) Traditional Registries
| Registry | Abbreviation | Focus |
|---|---|---|
| Verra | VCS | World's largest voluntary carbon standard |
| Gold Standard | GS | Premium standard with SDG co-benefits focus |
| American Carbon Registry | ACR | US-based voluntary registry |
| Climate Action Reserve | CAR | US-focused voluntary standard |

**Method:** Parses PDF issuance documents and retirement logs from registry databases.

### B) On-Chain Ledgers
| Protocol | Token | Network |
|---|---|---|
| Toucan Protocol | BCT (Base Carbon Tonne) | Polygon |
| Toucan Protocol | NCT (Nature Carbon Tonne) | Polygon |
| KlimaDAO | KLIMA | Polygon |
| Celo retirement events | — | Celo |

**Method:** Real-time blockchain event monitoring and indexing.

### C) Market Venues (Price Feeds)
| Venue | Type | Asset Class |
|---|---|---|
| Xpansiv CBL | Centralized Exchange | VCM spot |
| CME Group | Futures Exchange | Carbon futures |
| Uniswap v3 | Decentralized Exchange | Tokenized carbon |
| SushiSwap | Decentralized Exchange | KLIMA pairs |

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## Layer 2: Quality & Integrity Scoring

Raw data passes through a proprietary AI scoring model assessing three dimensions:

### Additionality Check
Analyzes project documentation to verify financial additionality claims — i.e., would the emissions reduction have occurred without carbon market financing?

### Permanence Risk Assessment
Geospatial analysis of nature-based project locations to assess:
- Wildfire risk
- Drought vulnerability
- Buffer Pool adequacy (reserve credits set aside to cover reversals)

### Vintage Decay Modeling
Automated price discounting for older vintages (>5 years) based on current market preference curves. Newer vintages consistently command premiums.

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## Layer 3: Fair Value Calculation

CRBN.CREDIT does not rely on a single price point. Fair Value is a composite metric:

### Formula

```
Fair_Value = (VWAP_CEX × 0.40) + (VWAP_DEX × 0.40) + (OTC_Reported × 0.20)
```

### Weight Breakdown

| Source | Weight | Rationale |
|---|---|---|
| VWAP — Centralized Exchanges (Xpansiv, CME) | 40% | High liquidity, transparent pricing |
| VWAP — Decentralized Exchanges (Uniswap, SushiSwap) | 40% | 24/7 on-chain price discovery |
| OTC Broker-Reported Prices | 20% | Large-block trade intelligence |

**Purpose:** Smooths out volatility from low-liquidity venues and provides a robust mark-to-market price for institutional portfolio managers.

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*Disclaimer: Data generated with AI intelligence models. Verify all data points independently.*