The Decentralized Climate Data Oracle

Abstract

Over thirty satellite constellations scan the Earth every day. NASA, ESA, NOAA, and JAXA produce petabytes of data on vegetation health, rainfall, soil carbon, fire risk, and land use change. This data could unlock trillions in climate finance. Carbon credits, parametric insurance, green bonds — all of it depends on reliable environmental data.

But almost none of this data reaches the applications that need it.

The voluntary carbon market, on track to grow from $2.5 billion to over $15 billion by 2035, still relies on manual field audits that cost $30–50 per hectare. Parametric insurance could protect the 97% of sub-Saharan African farmers who have no coverage, but it can’t scale without a trusted, decentralized way to get climate data into smart contracts. Prediction markets hit $63.5 billion in trading volume in 2025 and face the same problem: they need real-world data that no single party can game.

This is the oracle problem. For climate data, it’s still unsolved.

Shamba Network is a decentralized climate data oracle. It’s built on an open-source node SDK, packaged as a Docker container and deployed to the cloud. The network has three types of data providers: node operators who process satellite imagery, ground truthers who collect field data with a mobile app, and data validators who bring domain expertise to resolve edge cases. Delegated staking, rewards, and slashing keep everyone honest.

The team has spent four years testing this in the field. The oracle has powered parametric insurance for 3,000+ farmers across East Africa, delivered anticipatory cash transfers to drought-affected pastoralists with 75% lower transaction costs and 90% faster settlement, and helped smallholder communities issue their own carbon credits.

Shamba was named a CoinDesk Project to Watch, received grants from Chainlink and Gitcoin, graduated from the Outlier Ventures accelerator, and presented at COP28. Now the project is evolving from a centralized service into a fully decentralized protocol — owned and operated by its community, secured by staking, and governed by its participants.

1 The Problem

1.1 The climate data gap

Every day, satellites measure vegetation health, track rainfall, estimate soil carbon, detect wildfires, and classify land use. The data is free. It’s public. And it’s almost entirely unusable by the applications that need it.

Carbon credit markets need Monitoring, Reporting, and Verification (MRV) to prove that carbon has actually been sequestered. Today, that means sending auditors to physically inspect land — $30–50 per hectare, weeks or months of waiting, and completely out of reach for smallholder farmers with less than two hectares. The 1.5 billion smallholder farmers who produce 80% of the world’s food? Locked out of carbon markets.

Parametric insurance needs trusted data feeds to trigger automatic payouts when weather thresholds are crossed. But if one company controls the data pipeline, they control whether payouts happen.

1.2 The oracle problem

The blockchain oracle problem is well-documented. Smart contracts execute exactly as programmed, but they can’t access external data on their own. They need oracles to bridge the gap between the real world and the blockchain.

In 2022, DeFi protocols lost $403.2 million across 41 separate oracle manipulation incidents. By 2025, oracle-related losses had reached $8.8 billion. Every centralized data feed is a single point of failure.

1.3 The inclusion gap

Fifty million smallholder farmers in Africa cultivate 80% of the continent’s food on plots typically smaller than two hectares. Ninety-seven percent of them have no insurance. They face a combined financing gap exceeding $200 billion annually. Affordable agricultural insurance exists in only 4 of Africa’s 54 countries. Just 3% of the continent’s farmers have any form of crop insurance.

2 Why This Matters Now

Four trends are converging.

2.1 The carbon market is accelerating

The voluntary carbon market is valued at roughly $2.5 billion in 2025 and projected to reach $15 billion by 2035, with some analysts forecasting $47.5 billion. Over 62% of sustainability-focused enterprises are increasing their voluntary offset strategies. New integrity standards from the ICVCM are raising the bar for data quality.

2.2 Climate disasters are intensifying

The planet was hit by 58 billion-dollar weather disasters in 2024, causing $402 billion in damages. In 2025, there were 55, causing $277 billion. The LA wildfires alone exceeded $60 billion — a record for a single wildfire event.

2.3 Prediction markets have arrived

Prediction markets grew from $15.8 billion in trading volume in 2024 to $63.5 billion in 2025. These markets need manipulation-resistant data feeds. Climate events — droughts, floods, fire seasons, crop yields — are natural candidates.

2.4 DePIN is proving the model

Decentralized Physical Infrastructure Networks (DePIN) reached a combined market cap of $19.2 billion in 2025, up 270% year-over-year. The World Economic Forum projects DePIN will grow to $3.5 trillion by 2028. Projects like Helium, Grass, and Aethir have shown that decentralized networks of independent operators can deliver real infrastructure at scale using token incentives.

Shamba applies this model to climate data: a decentralized network of node operators, ground truthers, and data validators, all running open-source software, all incentivized by tokens, providing verified Earth observation data on-chain.

3 The Solution

3.1 What Shamba Network is

Shamba Network is a decentralized climate data oracle. It’s a permissionless network of three types of independent data providers who source, verify, and deliver Earth observation data to smart contracts.

At its core, it solves a simple problem: how do you get trusted climate data on-chain without trusting any single party? You trust the network.

3.2 Three data provider roles

3.3 How it works

3.4 Mission

Shamba Network exists to help land stewards — particularly smallholder farmers — by:

• Enabling them to create impact credits (carbon, eco, biodiversity)
• Making climate insurance parametric, automated, and affordable
• Opening access to climate finance, green bonds, and microloans
• Supporting regeneration of agricultural land through satellite-verified sustainable practices
• Making carbon removal and biodiversity protection measurable and monetizable

4 Architecture

4.1 System overview

4.2 Design principles

5 The Oracle Node SDK

5.1 Overview

The SDK is an open-source Docker container designed for cloud deployment. It contains everything needed to operate a node on the network and can be deployed within minutes on any supported cloud platform.

5.2 Capabilities

5.3 Cloud deployment

The SDK activates only when needed to serve data requests, so operators pay for compute time only when they’re actually working. Cloud deployment means nodes are always online. On-demand execution makes node operation affordable — climate data infrastructure for the world, not just for people who can afford dedicated servers.

5.4 The Shamba mobile app (ground truthing)

The mobile app handles field-level data collection that supplements and validates satellite data:

• Geotagged photo capture with automatic GPS
• Field measurement recording (crop height, soil conditions, tree counts, species identification)
• Structured data collection forms tailored to project types
• Automatic submission to the Ground Truth Aggregation Service
• Provider dashboard showing staking status, credibility score, and reward history

6 Consensus and Aggregation

6.1 Request flow

When an on-chain application needs climate data, it submits a request specifying the data type, geographic area, time period, statistical method, and verification level (which determines which aggregation layers activate).

6.2 Provider selection

The protocol randomly selects providers from each required layer. Random selection prevents collusion. No provider knows in advance whether they’ll be selected for a given request.

6.3 Independent data collection

Because every node accesses the same public satellite data and runs the same open-source computation, honest nodes should reach the same result. Discrepancies indicate either a bug (which the community can fix) or manipulation (which is punished through slashing).

6.4 Multi-layer aggregation

Not every request activates all three layers. A simple parametric insurance query may only need Layer 1. A carbon credit issuance may need all three. The verification level determines both cost and thoroughness.

6.5 Why this works for climate data

• Public and deterministic source data. Every node accesses the same NASA/ESA/NOAA/JAXA APIs.
• Reproducible computation. Same inputs + same open-source pipeline = same output.
• Well-defined tolerance boundaries. Small floating-point variations are normal; large deviations are attacks.
• Real-world ground truth. Satellite observations can be cross-validated against field measurements.
• Expert resolution. Data validators provide judgment when satellite data and ground truth conflict.

7 Tokenomics

7.1 The Shamba token

The network will have a native token. It does nine things, and five of those directly create buy pressure or reduce selling pressure.

7.2 Delegated staking and provider credibility

Because delegators share in both rewards and penalties, rational token holders will only stake with providers who have a good track record. Every provider has a public credibility score based on: successful requests served, accuracy rate, uptime/availability, and tenure. A public ranking dashboard shows all providers sorted by credibility.

7.3 Token distribution

The fee burn mechanism (2–5% of every data request) permanently removes tokens from circulation, offsetting emissions from provider rewards over time.

7.4 Economic security

The security model rests on a simple idea: honesty must always be more profitable than manipulation. To manipulate a data point, an attacker would need to control a majority of the randomly selected providers across multiple layers. As the network grows, this gets exponentially more expensive. All reports, rewards, slashing events, and credibility scores are recorded on-chain.

8 Governance

8.1 Progressive decentralization

At launch, core technical decisions are made by the founding team to ensure stability and security. Over time, governance authority transfers to the community.

8.2 Governance scope

Token holders vote on:

• Data sources: Adding or removing supported satellite APIs
• Protocol parameters: Slashing penalties, reward rates, staking requirements, consensus thresholds
• Protocol upgrades: Changes to smart contracts and the SDK
• Treasury allocation: Directing community funds toward grants, bounties, and public goods

8.3 Governance mechanism

9 Use Cases

The pipeline: report, validate, tokenize, monetize

10 Traction and Proof of Impact

Shamba has been operating as a centralized oracle since 2021. These are documented outcomes from live deployments, not projections.

Live pilot programs

11 Ecosystem and Partnerships

11.1 Web3 infrastructure

11.2 Climate finance & development

11.3 Carbon markets

11.4 International expansion

Atlantis DAO — MoU for pilot projects with farmers in rural India.

11.5 Investors and accelerators

• Outlier Ventures / Filecoin Base Camp — 12-week accelerator, selected from 300+ applicants
• Gitcoin Grants — Primary early-stage funding (GR13+, Alpha Round, DeSci Round)

12 Recognition and Media

12.1 Awards and recognition

• CoinDesk Projects to Watch 2023
• Chainlink Social Impact Grant recipient
• MIT Solve — Climate, Ecosystems + Housing challenge
• Gitcoin Impact Case Study
• Outlier Ventures / Filecoin Base Camp — selected from 300+ applicants
• BioCarbon dMRV Working Group — Kennedy Ng’ang’a is Co-Lead of Workstream 4

12.2 Conference appearances

12.3 Selected media coverage

13 Roadmap

13.1 What has been built (2021–2025)

13.2 Decentralized network development (2026–2028)

13.3 Post-launch vision

• Scale to 100+ node operators, a global ground truthing network, and a data validation corps
• Expand satellite coverage through community-contributed modules
• Enable climate prediction markets on Shamba data feeds
• Expand beyond East Africa to South Asia, Southeast Asia, and Latin America
• Launch an impact credit marketplace for tokenized carbon, eco, and biodiversity credits
• Integrate with major DeFi protocols for climate-linked financial products

14 Team

15 Open Source Commitment

15.1 What is open source

Every component of the protocol will be released under recognized open-source licenses (GNU GPL, MIT, or BSD):

• Oracle Node SDK (Docker container, data modules, computation pipelines, node tools)
• Shamba Mobile App (ground truthing data collection)
• Multi-layer aggregation contracts (node, ground truth, validation, master)
• Staking and delegated staking contracts
• Credibility scoring system
• Governance contracts
• Protocol management contracts
• All technical documentation, deployment guides, and specifications

15.2 Why open source matters

For a climate data oracle, open source isn’t optional. It’s a trust requirement. Anyone can inspect the computation pipeline. Bugs get found faster. The barrier to participation is knowledge, not permission. The protocol doesn’t depend on one company’s continued existence. And you can’t democratize access to climate data through proprietary software.

15.3 Existing open source work

• github.com/shamba-network
• Smart Contract Kit
• DIVA Middleware
• Documentation
• Sustained through Gitcoin public goods funding from day one

16 Conclusion

The world doesn’t lack climate data. It lacks a way to make that data trustworthy, accessible, and economically useful at a scale that reaches the communities who need it most.

Shamba has spent four years proving that satellite data can power parametric insurance, carbon credits, and anticipatory aid in the real world. Pastoralists in Laikipia, cattle herders in northern Kenya, smallholder farmers in Gatanga — real people benefiting from climate data delivered on-chain. Transaction costs cut by 75%, settlement times by 90%, insurance costs by 40%.

Now the project is taking the next step: making this infrastructure decentralized, permissionless, and community-owned. A network where economic incentives keep data accurate. Where governance is in the hands of the people who build and use it. Where every line of code is open.

The oracle problem for climate data is not just a technical problem. It’s a justice problem. The people most affected by climate change are the least served by climate data infrastructure. Shamba exists to change that — not through charity, but through a protocol that makes environmental stewardship economically rewarding.

If you believe climate data should be verifiable by anyone, controlled by no one, and accessible to everyone — join the network.

17 References

Academic and institutional

1. Bank for International Settlements, “The oracle problem and the future of DeFi,” BIS Bulletin No. 76, 2022. Link
2. Chainlink, “The Blockchain Oracle Problem,” Education Hub. Link
3. S&P Global, “Utility at a cost: Assessing the risks of blockchain oracles.” Link
4. MIT Solve, “Shamba Geospatial Data Oracle,” Climate, Ecosystems + Housing Challenge. Link

Market data

1. Carbon Credits, “Voluntary Carbon Market in 2026: Top Forecasts.” Link
2. Yale Climate Connections, “Earth was hit by 55 billion-dollar weather disasters in 2025.” Link
3. Yahoo Finance, “Prediction Markets Grew 4X to $63.5B in 2025.” Link
4. Stanford Social Innovation Review, “Climate Resilience: Improving the Smallholder Insurance Market in Africa.” Link
5. SCOR, “Bridging the protection gap for African smallholder farmers.” Link
6. BlockEden, “The Rise of DePIN.” Link

Shamba Network coverage

1. CoinDesk, “Shamba Network Sows the Future of Sustainable Agriculture in Africa,” April 2023. Link
2. TechCabal, “Kennedy Ng’ang’a’s blockchain of trust for Kenya’s smallholder farmers,” January 2023. Link
3. Chainlink Blog, “Shamba Receives Chainlink Grant to Bring Geospatial Climate Data On-Chain.” Link
4. Mercy Corps Ventures, “Pilot Insights: Anticipatory Action,” 2024. Link
5. InsurTech Digital, “Blockchain Insurance Tackles Kenya’s Climate Credit Crisis.” Link
6. Gitcoin Impact, “Case Study: Shamba Network.” Link
7. Outlier Ventures, “Shamba Network Portfolio.” Link
8. Regen Network, “Strategic ecocredits partnership with Shamba Network.” Link

Shamba Network publications

1. Shamba Network, “Shamba Integrates Chainlink Oracle Technology,” Medium, November 2022. Link
2. Shamba Network, “Empowering Conditional Donations on the Blockchain,” Medium, July 2023. Link
3. Shamba Network, “Partners with Mercy Corps Ventures, Fortune Credit, and Diva Technologies,” Medium, October 2023. Link