Patch
Carbon credit procurement marketplace and API infrastructure connecting buyers with removal and avoidance projects—optimized for registry-linked purchasing and retirement evidence, not investment exposure or tradable carbon assets.
Platform Overview
Carbon credit procurement marketplace and software infrastructure provider connecting buyers with carbon removal and avoidance projects.
The platform does not issue securities or offer investment returns; buyers acquire carbon credits for immediate retirement (offsetting emissions), not for financial gain or resale. Patch explicitly positions itself as an intermediary—not as a party to transactions between buyers and Supply Partners—and disclaims liability for project performance, credit quality, and actual climate impact.
Platform Model
Marketplace & API Infrastructure
Primary Function
Carbon Credit Procurement
Target Users
Enterprises, SaaS Platforms, ESG Consultants
Investment Structures
Notice: Marketplace / Infrastructure Provider
🔄How It Works
- Buyers browse curated projects through Patch's marketplace interface or API integration
- Credits are retired immediately upon purchase and linked to registry records (Verra, Gold Standard, American Carbon Registry, Climate Action Reserve)
- Patch functions as a procurement and workflow layer—sitting between buyers and registries/project developers
- API enables embedded checkout offsets, automated retirement workflows, and reporting exports for product-level carbon neutrality claims
- Retirement certificates and registry documentation are generated as proof artifacts for audit trails
- Platform operates as marketplace facilitator + workflow automation layer, not as registry itself or credit custodian
- Fulfillment timelines: issued credits within 30 days; pre-issued credits within 30 days of issuance; partial tonnes upon full tonne purchase completion
Key Gaps & Non-Disclosures
- No public pricing or fee schedule—all pricing via custom quotes
- No disclosed supplier vetting standards or project quality review processes
- No platform-level permanence guarantees or replacement policies
- Contractual liability caps limit buyer recourse to $1,000 or 12-month fees
Investment Structures
Patch facilitates carbon credit procurement for immediate retirement to support emissions claims. The platform does not issue securities, offer financial returns, or provide mechanisms for credit resale or price appreciation. Credits are retired upon purchase, not held as tradable assets. Platform terms explicitly state credits are provided 'AS IS' without warranties and that buyers assume 'inherent risks' related to actual climate impact. This is a procurement workflow, not an investment product.
- Credits retired immediately upon purchase—no holding period or secondary market
- No resale mechanism or price appreciation opportunity
- No securities issued; procurement workflow only
- Buyers assume 'inherent risks' related to climate impact
Risk Structure
Contractual Structure
Patch serves as intermediary marketplace facilitator, explicitly disclaiming party status in buyer-supplier transactions. Terms state Patch 'does not inspect or endorse any Credits' and has 'no liability to you' for project performance, permanence, or actual climate impact achieved.
Liability Allocation
Buyer assumes full risk for: credit quality, permanence, reversal events, methodology disputes, and supplier failures. Platform's contractual liability capped at greater of $1,000 or 12 months of fees paid. Mandatory individual arbitration waiving class actions.
Pricing Transparency
No public fee schedule or pricing information available anywhere on site. Terms reference 'Order Management Fee' and dashboard-presented costs but do not specify amounts. All pricing via custom quotes only.
Permanence & Quality
No platform-level permanence guarantees, replacement policies, or reversal buffers disclosed. Terms acknowledge suppliers may 'provide inaccurate information' or 'experience business disruptions' causing failures. Patch offers to facilitate alternative credit selection or refund but has 'no obligations' beyond that.
Project Performance & Permanence Risk
Risk Summary
Buyers assume full risk that purchased credits may not deliver promised climate impact, could be invalidated due to methodology disputes, or experience reversal events (especially nature-based projects).
Why It Matters
Patch disclaims responsibility for credit quality, permanence, and actual climate outcomes. If a project fails or credit becomes controversial, buyer has limited recourse beyond requesting alternative credits (if available) or refund.
Mitigation / Verification
Conduct independent due diligence: verify project methodology, registry standing, verification cadence, third-party audits, and supplier financial stability before purchasing. For nature-based projects, understand specific reversal buffer mechanisms and replacement terms.
Pricing Opacity & Fee Structure Risk
Risk Summary
No public pricing information available—all fees provided via custom quotes only. Buyers cannot benchmark pricing or understand platform markup structures.
Why It Matters
Without public fee schedules, buyers cannot assess competitive pricing or verify they're receiving fair market rates. Terms reference 'Order Management Fee' and 'fees presented in Patch dashboard' but do not specify amounts or calculation methodology.
Mitigation / Verification
Request comprehensive pricing breakdown before committing: per-credit markup/spread, advisory fees, minimum volumes, API/platform fees, volume discounts, and how pricing differs for spot vs. forward purchases.
Supplier Fulfillment & Business Continuity Risk
Risk Summary
Terms acknowledge Supply Partners may 'inadvertently or intentionally provide inaccurate information,' 'be unable to create, transfer, or certify certain Credits,' or 'experience business disruptions' causing failures.
Why It Matters
If supplier fails to deliver, Patch's only obligation is to notify buyer and request selection of alternative credit or refund. Platform has 'no liability to you' for any losses, delays, or consequential damages from supplier failures.
Mitigation / Verification
Independently verify supplier track record, financial stability, and errors & omissions insurance before large commitments. For ongoing procurement programs, diversify across multiple suppliers to reduce concentration risk.
⚠️Walk-Away Signals
- Refusal to provide detailed fee breakdown or transparent pricing structure
- Inability to clarify permanence guarantees or replacement policies for project failures
- Unwillingness to negotiate arbitration opt-out or liability caps for large purchases
- Supplier vetting standards or ongoing monitoring processes not clearly documented
- No remediation mechanism if credits later become disputed or invalidated
Regulatory & Legal Posture
Security Status
Not a Security
Patch does not issue securities or offer investment returns. Carbon credits purchased through the platform are retired immediately for emissions offsetting purposes, not held as tradable assets. Platform explicitly disclaims any financial return expectations and states credits are provided 'AS IS' for procurement use only.
Disclosure Quality
Terms of Service clearly disclaim party status in transactions and limit platform liability. However, fee structures, supplier vetting standards, and permanence guarantees not publicly disclosed—buyers must request custom quotes and negotiate contractual terms.
Custody Model
No Custody
Patch operates as marketplace facilitator and software infrastructure provider. Registry records and retirement evidence remain with third-party registries (Verra, Gold Standard, American Carbon Registry, Climate Action Reserve). Platform does not hold or custody credits—buyer transacts directly with Supply Partners through Patch's procurement workflow.
Tax Treatment
Reporting
Not Applicable
Carbon credit purchases for immediate retirement are procurement expenses, not investment transactions. No 1099 or investment-related tax reporting expected.
Income Character
Business Expense / Procurement
Credits purchased through Patch are retired immediately to support emissions offsetting claims. These are operational expenses for sustainability programs, not investments generating taxable income or capital gains.
Tax treatment depends on buyer's specific use case and jurisdiction. Consult tax advisor for treatment of carbon offset expenses in your operational structure.
Investor Fit
Institutional / Enterprise Buyers
Enterprises with ongoing carbon procurement needs benefit from Patch's API integration, workflow automation, and registry-linked retirement evidence. Platform designed for scalable offset programs embedded into products or operations. Best fit for organizations with in-house ESG teams capable of conducting independent due diligence on projects.
ESG / Climate SaaS Providers
SaaS platforms embedding carbon offsetting into customer workflows benefit from Patch's API infrastructure, automated retirement, and reporting exports. Platform enables product-level carbon neutrality claims with audit trail documentation. Requires technical integration capability.
Retail / Individual Investors
Platform not optimized for one-time or small-volume purchases. No public pricing creates friction for price-sensitive buyers. Mandatory custom quotes and enterprise-focused workflows create barriers for individual purchasers.
Investors Seeking Financial Returns
Patch is procurement infrastructure, not investment platform. Credits retired immediately upon purchase—no secondary market, resale mechanism, or price appreciation opportunity. Platform explicitly disclaims any financial return expectations. Unsuitable for investors seeking carbon price exposure or tradable assets.
Key Tradeoffs
API Automation vs. Project Due Diligence
Platform enables scalable procurement workflows but does not verify supplier-provided project data or ongoing quality. Buyers gain efficiency but assume responsibility for independent due diligence.
Curated Marketplace vs. Pricing Transparency
Patch reduces sourcing friction through curated project selection but provides no public pricing—all fees via custom quotes. Buyers trade market access convenience for pricing opacity.
Registry-Linked Retirement vs. Platform Liability
Retirement evidence tied to third-party registries provides audit trails, but Patch disclaims responsibility if credits later become controversial or invalidated. Buyers get documentation but limited platform recourse.
Who This Is Not For
Investors Seeking Financial Returns
Patch facilitates carbon credit procurement for emissions offsetting, not investment. Credits are retired immediately upon purchase—no secondary market, resale mechanism, or price appreciation opportunity. Platform explicitly disclaims any financial return expectations. Unsuitable for investors seeking carbon price exposure or tradable assets.
Price-Sensitive Individual Buyers
No public pricing available anywhere on site—all fees provided via custom quotes only. Platform designed for enterprise procurement programs with API integration, not individual one-time purchases. Pricing opacity and enterprise-focused workflows create barriers for small buyers.
Organizations Requiring Full Project Liability
Patch explicitly disclaims responsibility for project performance, permanence, actual climate impact, and supplier failures. Platform's contractual liability capped at $1,000 or 12-month fees—buyers assume full risk for credit quality and reversal events. Not suitable if your organization requires vendors carry proportional liability for project outcomes.
Organizations Unwilling to Accept Liability Caps
Contractual terms cap Patch's liability at $1,000 or 12-month fees and disclaim responsibility for project performance, permanence, actual climate impact, and supplier failures. Large buyers committing to multi-year credit purchases may find these caps unacceptable relative to potential losses if systematic issues arise. Not suitable if your organization requires vendors assume liability proportional to contract value.
AltStreet Perspective
Verdict
Patch is infrastructure—not investment. It eliminates price exposure and liquidity by design, positioning itself as procurement facilitator with minimal liability.
Positioning
Suitable for enterprises with ongoing procurement needs, especially those embedding offsets into products or workflows, but inappropriate for investors seeking financial returns or tradable assets. If you want carbon price exposure, you need instruments designed for holding/trading—not a retire-on-purchase procurement layer. Platform's value proposition is workflow efficiency and API scalability, not credit quality gatekeeping or permanence insurance. Best for buyers with: (1) in-house ESG teams capable of independent due diligence, (2) tolerance for risk allocation favoring platform, (3) ability to negotiate transparent pricing despite lack of public fee schedules.
"Patch optimizes carbon procurement and retirement workflows, not carbon price exposure—buyers gain efficiency but assume full project performance risk with limited platform recourse."
Next Steps
Request comprehensive pricing breakdown: Ask for (a) per-credit markup/spread above project developer price, (b) advisory or procurement fees, (c) minimum purchase volumes and volume discounts, (d) API/platform access fees, (e) how pricing differs for spot vs. forward credit purchases.
Clarify permanence and replacement terms: For nature-based projects, confirm (a) which reversal buffer mechanisms apply, (b) whether Patch or supplier contractually guarantees replacement credits if project fails or credit invalidated, (c) what monitoring occurs post-retirement to detect disputes.
Understand liability allocation: Review Terms of Service carefully—platform liability capped at $1,000 or 12-month fees; Patch disclaims responsibility for project performance, permanence, actual climate impact, and supplier failures. Confirm this risk allocation is acceptable given your purchase volumes.
Negotiate arbitration opt-out if possible: Terms include mandatory individual arbitration waiving class actions and jury trials. If committing to large multi-year purchases, attempt to negotiate bilateral dispute resolution or arbitration fee coverage as contract term.
Conduct independent supplier due diligence: Patch does not inspect or endorse credits. Before purchasing, independently verify: (a) project methodology and registry standing, (b) verification cadence and third-party audits, (c) supplier financial stability and fulfillment track record, (d) whether supplier carries errors & omissions insurance.
Related Resources
Explore Asset Class
Carbon & ClimateFrameworks
Similar Platform Reviews
- Cloverly
Supplier-side SaaS vs. buyer-side procurement.
🔍Review Evidence
Scrape Date
2025-12-18
Methodology
Firecrawl v1 API + Enhanced Legal Analysis
Scope
117 Pages (including legal documents)
Key Findings
- •Terms of Service analyzed: March 22, 2024 version (patch.io/terms-customers)
- •Liability cap confirmed: Greater of $1,000 or 12-month fees paid
- •Mandatory arbitration clause: AAA Commercial Rules, Northern California venue
- •Disclaimers identified: No inspection/endorsement of credits; no liability for project performance, permanence, or climate impact
- •Fulfillment timelines documented: 30 days for issued credits; 30 days post-issuance for pre-issued
- •No public pricing information available—all pricing via custom quotes
Primary Source Pages
- www.patch.io
- www.patch.io/terms-customers (full legal terms)
- www.patch.io/supplypartnerterms
- www.patch.io/how-it-works
- www.patch.io/platform
- www.patch.io/api
Comparable Platforms
- Cloverly
Supplier-side SaaS focus vs. buyer-side procurement marketplace.
Frequently Asked Questions
Does Patch guarantee the quality or permanence of carbon credits sold through its platform?
No. Patch's Terms of Service explicitly state the platform 'does not inspect or endorse any Credits' and disclaims all liability for project performance, permanence, and actual climate impact achieved. Buyers assume full risk for credit quality, reversal events, and supplier failures. Platform's contractual liability is capped at $1,000 or 12-month fees paid, whichever is greater.
What fees does Patch charge for carbon credit purchases?
Patch does not publicly disclose fee structures anywhere on its site. Terms reference 'Order Management Fee' and costs 'presented in Patch dashboard' but do not specify amounts. All pricing is provided via custom quotes only. Buyers should request detailed pricing breakdowns including: per-credit markup/spread, advisory fees, minimum purchase volumes, API/platform fees, and preferred project pricing differentials.
What happens if a carbon project fails to deliver credits or experiences a reversal event after I've purchased?
Patch acknowledges Supply Partners may 'inadvertently or intentionally provide inaccurate information,' 'be unable to create, transfer, or certify certain Credits,' or 'experience business disruptions' causing failures. If credit becomes unavailable, Patch will 'notify you and request you select alternative Credit or refund' but has 'no liability to you' for any losses. Terms do not clearly indicate whether Patch or suppliers provide contractual replacement guarantees for reversal events affecting nature-based projects.
Can I resell carbon credits purchased through Patch?
No. Credits are retired immediately upon purchase. Patch provides no secondary market, resale mechanism, or holding period. Platform is procurement infrastructure for emissions offsetting, not an investment vehicle for carbon price speculation. Terms prohibit account transfers without written permission and state Services are 'for your own use' with no resale to third parties.
What legal recourse do I have if there's a dispute with Patch or a supplier?
Terms include mandatory binding arbitration requiring: (1) disputes resolved individually under AAA Commercial Rules, (2) no class actions or representative proceedings, (3) waiver of jury trial, (4) venue in Northern California. Pre-arbitration notice required (60-day informal resolution). Arbitration fees governed by AAA Rules; platform does not guarantee fee coverage. For supplier disputes, terms state buyers should 'request Patch's assistance' but Patch has 'no obligations' and all recourse is with supplier, not platform.