ESG Oracle
Proprietary technology. The ESG Oracle scoring methodology, weighting model, redistribution logic, and source code are proprietary intellectual property of Untitled_ LuxPerpetua Technologies, Inc. API access is available to approved beta partners. Self-hosting requires a separate license agreement — apply via the beta access page.
The DPX ESG Oracle produces live E, S, G scores from 8 real-world institutional data sources. Those scores flow directly into settlement fees: a higher score means a lower fee. 100% of ESG fee revenue is redistributed to verified on-chain impact programs — making every DPX settlement a direct contributor to measurable environmental and social outcomes.
The Social (S) dimension includes human rights metrics (child labour, labour rights enforcement, safety from violence) and a gender equity sub-score (women in management, earnings parity, gender-responsive institutions) — making DPX the first stablecoin settlement rail with human rights and gender equity embedded directly in its fee structure.
Data Sources
Section titled “Data Sources”The oracle pulls from 8 institutional data sources across the three ESG dimensions:
Environmental (E)
Section titled “Environmental (E)”| Source | API | Metrics |
|---|---|---|
| World Bank | api.worldbank.org | CO2 emissions (metric tons per capita) — EN.ATM.CO2E.PC |
| Climate Monitor | climatemonitor.info/api | Live CO2 levels (ppm), CH4 levels (ppb) |
Social (S)
Section titled “Social (S)”| Source | API | Metrics |
|---|---|---|
| UN SDG API | unstats.un.org/SDGAPI | SDG 4.1.1 — education; SDG 3 — health |
| UN SDG API — Human Rights | unstats.un.org/SDGAPI | SDG 8.7.1 — child labour; SDG 16.1.3 — safety from violence; SDG 16.b.1 — non-discrimination; SDG 8.8.2 — labour rights compliance |
| UN SDG API — Gender Equity | unstats.un.org/SDGAPI | SDG 5.5.2 — women in management; SDG 5.c.1 — gender-responsive budgeting; SDG 8.5.1 — earnings parity |
Governance (G)
Section titled “Governance (G)”| Source | API | Metrics |
|---|---|---|
| IMF | dataservices.imf.org | Consumer Price Index (CPI) — economic stability proxy |
| OECD | sdmx.oecd.org | GDP data — economic governance indicator |
| SEC EDGAR | data.sec.gov | Corporate governance disclosures (XBRL company facts) |
Social Score Composition
Section titled “Social Score Composition”The Social (S) score is a proprietary weighted composite across four sub-dimensions, drawing on OHCHR Universal Periodic Review frameworks, WEF Gender Gap Index methodology, and UN SDG data standards:
| Sub-dimension | Source | What it captures |
|---|---|---|
| Human Rights | UN SDG 8.7, 16.1, 16.b | Child labour, safety from violence, non-discrimination, labour rights compliance |
| Education | UN SDG 4.1.1 | Long-run human capital development |
| Gender Equity | UN SDG 5.5, 5.c, 8.5 | Women in management, earnings parity, gender-responsive institutional frameworks |
| Health | UN SDG 3 | Population wellbeing baseline |
The weighting model is proprietary intellectual property. Full methodology documentation is available to approved institutional partners under NDA — apply via the beta access page.
Fee Component
Section titled “Fee Component”The ESG Oracle score directly determines the ESG fee component of each settlement. A higher score means a lower fee. The component ranges from 0.00% (score 100) to 0.50% (score 0). The on-chain contract, oracle, and API always apply the same calculation consistently.
The scoring methodology, sub-score weighting model, and fee calculation logic are proprietary intellectual property of Untitled_ LuxPerpetua Technologies, Inc. Full methodology documentation is available to approved institutional partners under NDA — apply via the beta access page.
ESG Redistribution Mechanism
Section titled “ESG Redistribution Mechanism”ESG fee revenue from bad actors is redistributed to a verified on-chain impact wallet. This is enforced by the ESGRedistribution contract — it is not discretionary.
A company qualifies as a bad actor when its weighted aggregate ESG score (across WorldBank, UN, ClimateMonitor, IMF, OECD, and SEC) falls at or below the redistribution threshold (40/100). At that point, fees generated by that company are redirected from the general fee pool to the impact wallet.
Industry Buckets
Section titled “Industry Buckets”The contract maps each company to an industry. When redistribution is triggered, fees route to the impact wallet tagged by industry for reporting purposes.
| Industry | Coverage |
|---|---|
| FossilFuels | Oil, gas, coal extraction |
| Energy | Renewable energy, utilities |
| Manufacturing | Industrials, chemicals, materials |
| Agriculture | Food, farming, fishing |
| Technology | Software, hardware, data centres, telecom |
| Finance | Banks, insurance, investment |
| Consumer | Retail, fashion, apparel |
| Healthcare | Pharma, medical devices, biotech |
| RealEstate | Property, construction, infrastructure |
| Transportation | Shipping, aviation, logistics |
How it works on-chain
Section titled “How it works on-chain”- Company’s ESG score is set per-provider by the oracle updater on
ESGOracle ESGRedistribution.aggregatedScore(company)computes the weighted average across all active providers- If score ≤ 40,
isBelowThreshold(company)returns true redistributeERC20(token, company, amount)routes fees to the impact wallet- A
RedistributionExecutedevent is emitted — auditable by any counterparty, regulator, or auditor
Impact wallet
Section titled “Impact wallet”All redistributed fees route through the ESGRedistribution contract on Base mainnet, which forwards them on-chain to the designated per-program destination wallets. Destination addresses can only be updated via setFundingAreas — callable by the contract owner only.
Impact at scale
Section titled “Impact at scale”| Annual Volume | Bad Actor Fee Pool (score 20) | Redirected |
|---|---|---|
| $100M | ~$200K | 100% to impact wallet |
| $1B | ~$2M | 100% to impact wallet |
| $5B | ~$10M | 100% to impact wallet |
Every redistribution is verifiable on-chain. Any agent, auditor, or regulator can independently confirm funds reached the impact wallet via Base Blockscout.
The Redistribution Loop — Settlement to Impact
Section titled “The Redistribution Loop — Settlement to Impact”Every DPX settlement carries an ESG score for its counterparty. That score determines the ESG fee component applied to the transaction. Once collected, 100% of ESG fee revenue is redistributed to verified on-chain impact programs — enforced by the ESGRedistribution contract and verifiable by any party on Base mainnet.
This is not a donation mechanism or a discretionary offset program. The redistribution is structural: it is encoded in the settlement contract, executed automatically at the time of settlement, and cannot be redirected by any administrative action short of a governance vote.
The flow
Section titled “The flow”Counterparty ESG score ↓ESG fee component calculated (0.00% – 0.50%) ↓Fee collected at settlement execution ↓ESGRedistribution contract routes 100% to impact wallet ↓Funds allocated to impact programs by categoryThe scoring, fee calculation, and redistribution all occur within the same settlement lifecycle. There is no batch reconciliation, no off-chain step, and no delay between fee collection and impact allocation.
Impact pool allocation
Section titled “Impact pool allocation”ESG fee revenue distributes across five verified impact categories:
| Category | Allocation | What it funds |
|---|---|---|
| Ocean Conservation | 30% | Marine ecosystem restoration, coral reef protection, plastic removal programs |
| Renewable Energy | 25% | Clean energy infrastructure in emerging markets, grid transition financing |
| Forest Preservation | 20% | REDD+ programs, indigenous land protection, reforestation |
| Climate Action | 15% | Policy-aligned climate programs, resilience infrastructure |
| Clean Water | 10% | Freshwater access, watershed protection, sanitation infrastructure |
These allocations are set via setFundingAreas on the ESGRedistribution contract. Updates require owner-level governance and emit an on-chain event.
Industry-specific routing
Section titled “Industry-specific routing”The redistribution mechanism maps each counterparty to an industry and uses that context to tag redistributed funds for reporting. The mapping creates a traceable link between the economic activity generating the fee and the environmental or social programs it funds:
| Industry | Primary impact alignment |
|---|---|
| Fossil Fuels | Ocean Conservation + Renewable Energy — transition finance logic |
| Manufacturing | Climate Action + Clean Water — industrial footprint mitigation |
| Agriculture | Forest Preservation + Clean Water — land and water system integrity |
| Consumer / Fashion | Ocean Conservation + Forest Preservation — materials supply chain |
| Technology | Renewable Energy + Clean Water — data centre transition and cooling footprint |
| Transportation | Ocean Conservation + Climate Action — shipping and aviation corridors |
| Finance | Climate Action — systemic exposure to physical and transition risk |
| Healthcare | Clean Water + Climate Action — climate-health nexus |
| Real Estate | Forest Preservation + Climate Action — land use and embodied carbon |
| Energy | Renewable Energy — reinvestment into clean energy buildout |
This mapping does not change the fee amount or the settlement outcome. It determines how redistributed funds are tagged in the impact wallet for downstream reporting, SFDR PAI attribution, and CSRD disclosure.
Verification
Section titled “Verification”Every redistribution emits a RedistributionExecuted event on Base mainnet:
event RedistributionExecuted( address indexed company, address indexed token, uint256 amount, uint8 industry)Any counterparty, regulator, or auditor can verify on-chain that funds reached the impact wallet at 0x4F3741252847E4F07730c4CEC3018b201Ac6ce87 via Base Blockscout.
ESG fee redistribution is enforced on-chain via the ESGRedistribution contract. Fees route to impact programs tagged by industry: Ocean Conservation (30%), Renewable Energy (25%), Forest Preservation (20%), Climate Action (15%), Clean Water (10%). Every redistribution event is verifiable on Base Blockscout.
AI Intelligence Layer
Section titled “AI Intelligence Layer”Proprietary technology. The AI synthesis methodology, qualitative signal sources, and inference infrastructure are proprietary intellectual property of Untitled_ LuxPerpetua Technologies, Inc.
The ESG Oracle includes an embedded AI intelligence layer that runs after scores are computed. It synthesises the quantitative E, S, G scores alongside live qualitative signals into a structured institutional briefing returned as an intelligence object on every oracle response.
What it produces:
| Output | Description |
|---|---|
reasoning | Plain-language explanation of the primary ESG signal drivers and material risk areas |
confidence | 0.0–1.0 reflecting data freshness, source coverage, and signal clarity |
alerts | Up to 3 ESG risk items material to institutional counterparties or regulators |
outlook | IMPROVING / STABLE / DETERIORATING / UNCERTAIN |
The AI layer draws on qualitative signals beyond the quantitative data sources — including real-time news events from global sources — to identify emerging ESG risks before they appear in institutional data feeds. The specific sources and synthesis methodology are proprietary.
If synthesis is unavailable, the oracle returns the full quantitative result and omits the intelligence field. The quantitative scores are always the authoritative input for fee calculations.
Adaptive Layer
Section titled “Adaptive Layer”Proprietary technology. The adaptive learning architecture, weight regression model, entity bootstrapping methodology, and policy execution logic are proprietary intellectual property of Untitled_ LuxPerpetua Technologies, Inc. This section describes what the layer does — not the underlying algorithms, weights, or thresholds.
The ESG Oracle includes a fully autonomous adaptive layer that continuously improves E/S/G score weighting, calibrates confidence, and bootstraps ESG profiles for new counterparties — running entirely on Cloudflare native infrastructure.
What it does:
- Logs every oracle run and resolves E/S/G predictions against actuals to score per-dimension accuracy
- Periodically re-weights the E/S/G components based on which have been most predictive
- Calibrates confidence scores against historical prediction outcomes
- Bootstraps a starting ESG profile for new counterparties by comparing them to similar known entities, rather than defaulting to an arbitrary score — so first-settlement pricing is informed by comparable actors instead of a cold start
- Executes on-chain fee updates (
ESGCompliance.setESGFee()) only after passing a multi-gate safety check, mirroring the Stability Oracle’s policy execution gates
Adaptive weight bounds:
Each E/S/G component has a hard minimum weight floor, and weights can only drift gradually week over week — both enforced by an immutable, non-overridable bounds object. Exact bound values are proprietary.
Adaptive status endpoint:
GET /api/adaptive/statusReturns current E/S/G adaptive weights, prediction count, and circuit breaker state.
Entity-Level Scoring
Section titled “Entity-Level Scoring”In addition to the global protocol oracle described above, the ESG Oracle offers entity-level scoring for individual counterparties, portfolios, and supply chains (lookup, batch, portfolio stress, velocity/trend, controversy screening, and watch subscriptions) as a separate product on the same esg.untitledfinancial.com base URL. Full endpoint reference: ESG Oracle API → Entity-Level Scoring.
Live Endpoint
Section titled “Live Endpoint”GET https://esg.untitledfinancial.com/esg-scoreReturns the current E, S, G scores, composite average, active fee rate, tier label, and AI intelligence synthesis. Use scores.average as the esgScore parameter in settlement quotes on the Stability Oracle.