What is the difference between a carbon credit and a carbon offset?
The global carbon market involves the purchase and trading of carbon dioxide units or “credits” derived from qualified emission reduction projects or from emission allowances allocated under a regulatory cap. Unlike carbon credits, carbon offsets offered through the NFF Carbon Capital Fund have not been accredited through standards specific to a formal program (such as the Chicago Climate Exchange or the European Union Emission Trading Scheme). Carbon Capital Fund offsets do not enter a marketplace and are not subject to future trades or other transactions.