All termsRWA Asset ClassesWorth knowing
Carbon Credits
A carbon credit is a tradable unit representing a specified quantity of greenhouse gas emissions reduced, removed or otherwise accounted for under a particular carbon market or standard. Carbon credits can be represented and transferred using blockchain based infrastructure.
Why it matters to you
Tokenization may improve the tracking and transfer of carbon credits, but the value of the token ultimately depends on the quality and validity of the credit it represents. Investors and buyers need to understand the underlying standard, verification process, project quality and whether the credit has already been used or retired.
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