Karma changes some explore encounters and unlocks different titles. There's also a leaderboard for both positive and negative karma.

There's also page for Karma FAQ if you want to know more.

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What Kit said, and from the encounters you can also get different items or gain different things. There is a barbary maned lion encounter and if you have bad karma you can intimidate him for impression I believe (I don’t remember if it was or wasnt impression sorry.) but if you have good karma you can choose the option to be nice to him and he will give you a hippo carcass.

Also you can get the encounter with good karma where it says something along the lines of “This land is peaceful and respects you” while with bad karma it says something like “You walk by admiring the death grip you hold on his land”

There are also different achievements, like for my side I didnt care which karma i had so I eventually got the “Good or Evil” achievement.

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