The compliance and voluntary carbon markets under the Kyoto Protocol of 1997 were designed to reduce global greenhouse gas emissions by providing flexible, cost-effective mechanisms for countries and businesses to meet their targets. The compliance carbon market included mechanisms like emissions trading, the Clean Development Mechanism (CDM), and Joint Implementation (JI), which allowed countries to trade carbon credits and invest in emissions reduction projects. The voluntary carbon market enabled companies and individuals to purchase carbon credits to offset their emissions outside the...