# Fees and Business Model

OCP operates as a for-profit program administered by oneshot.earth Inc. (OSE). This page documents OCP's funding model, fee structure, and the financial transparency commitments that underpin the long-term sustainability of the program.

*When creating our fee structure, we thought deeply about the incentives behind issuing credits and how to best align ourselves with the climate impact associated with carbon credits. We decided on a simple flat rate captured when credits get issued through our platform.*

*The OCP serves as a registry, not as a marketplace, sales platform, or project developer. Sales are conducted through direct agreements between the project developer and the buyer. Our role is to issue credits using our rigorous methodology and issuance process. The responsibility for how these credits are marketed and sold lies solely with the project developer.*

## **Fee Structure**

* OCP charges a **2% fee** for credit creation through the Open Carbon Protocol, based on price and volume.
  * Half of the fee (1%) is charged at credit issuance, based on an average sale price for the sub-sector.
  * Half of the fee (1%) is charged at first credit transfer, based on actual sale price and accounting for the estimated price on issuance.&#x20;
  * If the Project Developer retires credits without transferring to another account, this fee is payable before the credits are retired.
* Based on our pilots, the OCP takes a **$30k methodology development prepayment** for new methodologies, which is subtracted from the 2% fee on credit issuance/transfer (so the **net cost to the project developer remains the same**).
  * This was introduced to encourage project developers to remain engaged with the methodology development process and work with the OCP and expert panel on speed-to-market. It is not an additional fee - the overall cost of using the OCP remains the same.
  * Discount and exemptions are considered on a case-by-case basis (especially for methodology not proposed by project developers) - please reach out to <rio@oneshot.earth> to discuss further.
* Project Developers pay for [project validation and data verification](/ocp-handbook/projects/third-party-validation-and-verification.md) directly to the VVB/Auditor.&#x20;

**This fee structure has two important properties:**

* **Self-funding at scale**: as the OCP grows and credit issuance volume increase, operational revenue scales proportionally without dependence on external grants, donations, or external financing.
* **Aligned incentives**: OCP's financial sustainability is directly tied to its core activity, the issuance of high-integrity credits, rather than to any separate commercial interest.&#x20;

**How do credits get priced?**

* The project developers price their credits based on market dynamics and their project costs. Some project types will have higher prices due to the technology used.&#x20;
* The OCP is sector agnostic and relies on the public to propose methodologies, thereby distancing ourselves from only publishing methodologies that will lead to higher prices.&#x20;

## Current Funding

Current OCP operations are funded through equity investment by the founder, pre-seed and seed investors. The Series A financing, anticipated in fall 2026, will provide additional operational runway and support the scaling of registry infrastructure, methodology development, and governance capacity. Post-Series A, the program is designed to be self-sustaining through issuance fee revenue at operating scale.

## Financial Transparency Commitments

OCP commits to the following financial transparency practices:

* [**Annual financial and operational reports**](/ocp-handbook/welcome-to-the-open-carbon-protocol.md#annual-reports) reviewed by the [OCP Advisory Board](/ocp-handbook/governance/ocp-governance-structure/ocp-board.md)
* **Reserve fund governance** (post-ICVCM approval): dedicated wind-down and custodial reserve held in a segregated account, governed under terms approved by the [OCP Advisory Board](/ocp-handbook/governance/ocp-governance-structure/ocp-board.md), subject to independent oversight
  * Reserve adequacy reviewed annually by the [OCP Advisory Board](/ocp-handbook/governance/ocp-governance-structure/ocp-board.md) and findings reported to the OSE Board


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