this post was submitted on 18 Dec 2023
19 points (95.2% liked)

BecomeMe

805 readers
1 users here now

Social Experiment. Become Me. What I see, you see.

founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
[–] [email protected] 1 points 11 months ago* (last edited 11 months ago)

The amount of "tokens" on the market is capped. This creates scarcity, and should help map out costs that used to be externalised, outside of the price of what pollutes. The credits force the cost of externality to be internalised into the price.

The idea is very good.

The issues are that it could in some cases actually slow down progress on cleaner processes and that the pricing can be very wrong, it all depends on how many credits are made avaliable on the market.

Another issue is that it, if poorly implemented, can create unfair competition, e.g. flooding the market EU market with cheap products from other continents where regulation differs and no import taxes to match that gap.