Step 1 - Emission Calculation for Each Garment 

At the outset, Closet employs a meticulous system that calculates the carbon emissions associated with the production of each garment. This system, powered by Xofia's technology, assesses every element from sourcing raw materials to the manufacturing processes. Advanced algorithms and data analytics ensure accurate estimates.

Step 2 - Transport and Wear Emission Calculation

The next layer of calculation involves determining the carbon emissions from transporting the garment from the factory to the store or directly to the consumer. Additionally, Closet's system estimates the emissions from the wear and eventual deterioration of each clothing item, taking into account the product's lifecycle.

Step 3 - Carbon Credit Acquisition and Smart Contracts

Once the total carbon footprint for each item is determined, the Xofia platform facilitates the purchase of the corresponding carbon credits. These credits are acquired from projects registered under the United Nations Carbon Offset Platform. 

To handle the minute offsets associated with each sale, smart contracts are used. These contracts, inherent to the blockchain, split large carbon credits into smaller units. This ensures that even the smallest purchase on Closet's eCommerce can be offset accurately.

Step 4 - Blockchain Transparency and Verification

The true beauty of utilizing blockchain in this process is its inherent transparency. Each step, from the emission calculation to the acquisition of carbon credits, is recorded on an immutable ledger. This ensures full transparency for Closet's customers, allowing them to verify the offset of their purchase. 

Furthermore, these processes are verified by Verra and audited by Bureau Veritas, adding another layer of trust to the system. By leveraging Xofia's technology and blockchain's transparency, Closet not only provides customers with a tangible way to mitigate their carbon footprint but also elevates the standards of environmental responsibility in the fashion industry.