The Reseed Effect: Building Trust in Carbon Markets Through Community-Driven Standards

The Reseed Effect: Building Trust in Carbon Markets Through Community-Driven Standards

The carbon credit market has a trust problem. “The majority of carbon credits currently in the marketplace actually come from fossil fuel based activities,” Josh Knauer revealed in a recent Category Visionaries episode. This counterintuitive reality has eroded market confidence and highlighted the need for new standards.

Learning from Past Success Josh’s approach to building trust isn’t theoretical – it’s based on proven experience. In 1996, he faced a similar challenge when launching one of the first natural products marketplaces. “We had to build out a set of methodologies that would allow the community to actually define the values and standards that they cared about,” he explains. This was before organic certification existed in the United States.

Creating Transparent Standards With Reseed, Josh applied these lessons to carbon credits. “We are literally the first company in the world to create a carbon credit measuring protocol for active agricultural land in very small places,” he notes. This focus on measurement and verification addresses a critical market need for transparency.

The Data Foundation Unlike traditional carbon credits, Reseed’s platform is built on verifiable data. Farmers use “an app that we provide to them, and turning that data into carbon credits and other products that corporations and governments and individuals need in order to achieve climate goals.” This data-first approach creates trust through transparency.

Beyond Carbon Credits The platform’s credibility has enabled expansion into other markets. “We’re marketing actually a bunch of different data products from different farmers to markets. Think supply chain information, think the EU has a deforestation regulation that’s taking the world by storms,” Josh explains. This diversification reinforces the platform’s value proposition.

Building Market Confidence Reseed’s approach is attracting serious investor attention. “We are working right now with financing vehicles… that are basically starting to use our carbon credits as the base asset of their funds and are projecting… twelve to 15% to 20% annual returns for their investors,” Josh shares. This institutional adoption validates their trust-building strategy.

The Future of Market Trust Josh sees community-driven standards as essential for market growth. “Starting now… what we need is open and transparent and auditable data being collected, and documenting what the climate actions are and justifying why it’s a credit.” This transparency-first approach could reshape how carbon markets operate.

For B2B founders entering new markets, Reseed’s experience offers valuable lessons about building trust through community involvement and data transparency. As Josh emphasizes, success in emerging markets requires more than just technology – it requires creating frameworks that align community needs with market demands.