The Network

Purpose

The Carrot Network exists for a stated purpose, defined in the Carrot Foundation's Deed: to build the low-carbon and inclusive circular economy.

Governance decisions, protocol rules, and operational processes within the network are expected to align with this purpose. The network is not a product to be optimized for extraction — it is infrastructure designed to remain focused on its mission across time.

That makes the network public-purpose infrastructure: shared market rails for circular economy crediting, governed to serve the mission rather than a private product optimized for extraction.

A governance layer

The Carrot Network is a technology-enabled governance layer for shared market infrastructure. Smart contracts support durable credit records and reward mechanics, while governance accountability comes from Foundation stewardship, public records, versioned methodology logic, digital Measurement, Reporting and Verification (dMRV) evidence, independent assurance, and Carrot Explorer traceability.

Blockchain is part of this accountability model because it gives final credit records durability, independent verification, auditability, and interoperability. It is not the source of governance authority: methodology rules, independent review, and Foundation-led governance processes remain the authority for what qualifies.

In the language of Chris Dixon's Read Write Own, this model reflects the shift from platforms that read and write data on behalf of users to networks where participants own the rules and outcomes. The network is designed to reduce abuse risk through visibility, accountability, and shared rules.

Why this is infrastructure

The network provides shared market rails for environmental credit markets: methodology rules, evidence records, credit traceability, reward distribution, and governance processes that multiple participants can use. It is designed to coordinate a market, not to operate as a single private project.

This infrastructure role matters because recycling and biological treatment involve many independent actors across the supply chain. Waste Generators, Haulers, Processors, Recyclers, Network Integrators, Methodology Verification Framework (MvF) Authors, Methodology Verification Application (MvA) Developers, auditors, and buyers need shared rules for how environmental work is recorded, evaluated, and rewarded.

Why a foundation?

A foundation structure organizes the network around a stated purpose rather than shareholder ownership. This structure supports institutional stewardship for the standard, registry, methodology compliance, and operational continuity of the network as it grows.

Public-value characteristics

This public-value orientation comes from several design choices working together:

• Foundation stewardship — the Foundation is organized around the low-carbon, inclusive circular economy and stewards the standard, registry, methodology compliance, and operational continuity.
• Progressive participation path — integrators, methodology contributors, auditors, and active network participants can contribute to the network's evolution as governance matures.
• Inspectable methodology logic — methodology frameworks and applications define how claims are evaluated and preserve the rule versions behind each outcome.
• dMRV evidence — methodology execution creates evidence records that connect physical circular economy work to credit eligibility.
• Independent assurance — third-party auditors and Validation/Verification Bodies (VVBs) review facilities, frameworks, dMRV evidence, and assurance processes.
• Durable public records — final on-chain credit infrastructure records can be independently verified through public blockchain infrastructure and reused by interoperable systems.
• Reward sharing — credit purchase revenue is distributed according to published rewards policies for the relevant supply chain and methodology roles.

Stakeholders and governance

The network brings together diverse stakeholders — waste management operators, recyclers, credit buyers, methodology authors, auditors, and technology integrators — under a shared governance framework. The Carrot Foundation stewards this framework, governing methodology approval, protocol development, operational compliance, and resource allocation.

As the ecosystem matures, the Foundation will progressively expand participation mechanisms, enabling active contributors to have a voice in the protocol's evolution. The network's responsibility extends to governance over domain-specific protocols, starting with the Circular Economy Protocol.

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