AstaVerde

AstaVerde is a platform for trading verified carbon offsets as non-fungible tokens (NFTs). Built on Ethereum using the ERC-1155 standard, it employs a Dutch Auction mechanism for pricing carbon credit batches.

Auction and Batch Pricing Mechanism

AstaVerde implements a dynamic pricing system for carbon credit tokens, combining elements of a Dutch auction with automatic price adjustments based on market demand.

Key Features:

1. Base Price: The starting point for new batches, adjusted based on market activity.

2. Batch Creation: Each batch starts at the current base price.

3. Price Decrease:

   • Batch prices decrease over time, starting after a threshold period (dayDecreaseThreshold).
   • The decrease rate is controlled by priceDelta.
   • Prices never fall below the priceFloor.

4. Base Price Adjustments:

   • Increases: If multiple batches sell out within dayIncreaseThreshold, the base price increases.
   • Decreases: If no sales occur for an extended period, the base price decreases.
   • Adjustments are made in increments of priceDelta.

5. Independent Batch Pricing: Each batch's price is calculated independently based on its creation time.

6. Price Floor: A minimum price (priceFloor) below which no batch can be sold.

Key Parameters:

• basePrice: Starting price for new batches
• priceFloor: Minimum allowed price
• priceDelta: Amount of price adjustment (increase or decrease)
• dayIncreaseThreshold: Days within which batch sellouts trigger price increases
• dayDecreaseThreshold: Days of inactivity before price decreases begin

This system aims to balance supply and demand by adjusting prices based on market activity while maintaining independent pricing for each batch.

User Roles

• Credit Producers: Generate and verify carbon offsets, listing them as NFTs.
• Platform Owner: Mints new batches of NFTs and manages the auction.
• Buyers: Bid on and purchase batches of NFTs.

Prerequisites

• Node.js and npm
• MetaMask or another Ethereum wallet
• Docker (for deployment)

Local Development Setup

1. Clone the repository:

   git clone git@github.com:orpheuslummis/AstaVerde.git
   cd AstaVerde

2. Install dependencies:

   npm install

3. Set up environment variables:

   cp .env.local.example .env.local
   cp ./webapp/.env.local.example ./webapp/.env.local

   Edit .env.local and webapp/.env.local with your specific private values.

4. Compile the contracts:

   npm run compile

5. Start a local Hardhat node:

   npm run node

6. In a new terminal, deploy contracts to the local network:

   npm run deploy:local

7. Start the webapp in development mode:

   npm run webapp:dev

8. (Optional) For automatic recompilation and redeployment on contract changes:

   npm run watch:dev

9. (Optional) For local minting:

   npm run task:mintlocal

With local hardhat node:

• OWNER_ADDRESS=xyz p node
• NODE_ENV=development p webapp:dev

Deployment

Deploy for an owner address

• OWNER_ADDRESS=0x... p deploy:testnet

Using Docker

1. Install Docker Desktop from https://docs.docker.com/desktop/install/mac-install/
2. Clone the repository:

   git clone git@github.com:orpheuslummis/AstaVerde.git && cd AstaVerde

3. To deploy: Configure and run ./deploy.sh
4. To mint: Configure and run ./mint.sh

Manual Deployment

1. Deploy contract on testnet:

   npm run test
   npm run compile && npm run postinstall
   npm run deploy:contracts -- --network base-sepolia

2. Set environment variables on Vercel:

   • CHAIN_SELECTION
   • ALCHEMY_API_KEY
   • WALLET_CONNECT_PROJECT_ID

Minting

1. Prepare a CSV file with token metadata and an image folder.
2. Update the .env.local file with the correct paths.
3. Run npm run task:mint

Reading Events

1. Update values in /scripts/events/index.mjs.
2. Run npm run task:events

Updating the Contract

When updating the contract, remember to update the contract address and ABI in:

• webapp/src/lib/contracts.ts
• scripts/events/contracts.mjs
• .env.local for minting scripts

License

This project is licensed under the MIT License - see the LICENSE file for details.

Security

• The market can be paused if USDC becomes depegged.
• Always ensure your .env.local and webapp/.env.local files are up to date and never committed to the repository.