JPMorgan eliminates carbon fraud with tokenization pilot
JPMorgan aims to clean up carbon credit system with okens
According to Bloomberg, JPMorgan’s blockchain division, Kinexys, has partnered with S&P Global Commodity Insights, EcoRegistry, and the ICR (International Carbon Registry) for a pilot program to tokenize carbon credits.
One carbon credit equals one ton of CO₂ removed from the atmosphere or avoided through projects like reforestation or renewable energy.
In this test, carbon credits stored in traditional “paper” registries are converted into blockchain tokens, exploring whether distributed ledgers can reduce fraud and double counting — long-standing issues in the carbon market.
JPMorgan's strategic climate push
This pilot is part of JPMorgan’s broader climate finance strategy. Weeks before the Kinexys initiative, JPMorgan signed a 13-year deal with Canadian carbon-capture firm CarbonCure (CO₂80) to remove 450,000 metric tons of CO₂ at under $200 per ton.
If successful, the tokenization initiative could bring accountability and scalability to a market projected to exceed $2 trillion by 2030.
As we wrote, JPMorgan analysts predict stablecoin yields growth up to 50%
