@PeterOlivier@PeterOlivier great insight. An "option" might be a more suitable framing than "arbitrage". An NRT with a 10 year shelf life allows you to buy an "option" on the future price of CDR. (For certainty NRTs are not options contracts, they are carbon removal credits).
@PeterOlivier Example:
Durable tonne = $250
NRT = $25
Assuming interest rate range 1-3% over the next 10 years your $225 cash could be worth ~$275-330 in 10 years. Implies that you could pay ~$250-305 per tonne in 10 years and be roughly in the same position.
(Doesn't factor for inflation.)
Thanks to the Nori team for their creative work developing this innovation and to the contributors for their input. We welcome additional feedback to help improve the concept as a means to solve some of the present challenges in the #carbonmarkets. https://t.co/Mf26uiTWVp
Excited to join the team Nori. Carbon removal presents a massive and important opportunity. Nori has been an early innovator and catalyst and I look forward to working with the team to scale our market to serve buyers and sellers…https://t.co/5jqwNrVlqP https://t.co/zsYFBqMv5x
I am pleased to announce that I will be speaking at @MessariCrypto’s #Mainnet2022. Join other industry leaders and me at Pier 36 in New York, September 21-23rd for 3 days (24 hours) of content. https://t.co/lDEaGm5Jj9 https://t.co/35GCgLwPPf
Some thoughts on the "next leg of the crypto trade" and why spot-only venues may be at a disadvantage. #etfs#futures#marketstructure https://t.co/2DDjh5xRkK
A follow up to my first Power of Markets post. How the underlying forces of the GameStop saga could be harnessed for positive outcomes through "ethical short squeezes". https://t.co/qoP3fwXrwa
Today we announced a new trading UI, our Bounded Futures contracts, ACH funding, and an incentive to give them a try.
#cryptotrading#bitcoin#futurestrading https://t.co/qNmXhURZHH
Our DCO can now clear all futures and swaps on any commodity. This expansion of capabilities enables ErisX to support innovative companies with business ideas that require regulated market infrastructure. https://t.co/zOcasFMknt