Catenaa, Tuesday, July 08, 2025-JPMorgan blockchain unit Kinexys is piloting a new application aimed at tokenizing carbon credits in collaboration with S&P Global Commodity Insights, EcoRegistry and the International Carbon Registry.
The initiative seeks to build a single, interoperable ecosystem to address transparency and fragmentation issues in the carbon credit market.
The testing phase will focus on how the application handles account setup, project management and credit lifecycle tracking.
EcoRegistry and ICR have already tested the tool on their platforms, while S&P Global is expected to follow soon on its registry-as-a-service system.
The partners will evaluate the system’s compatibility and technical connectivity as they assess the application’s broader use case.
Carbon credits are tradable instruments allowing companies to offset greenhouse gas emissions. They are typically generated through verified projects such as reforestation, renewable energy or carbon capture. The blockchain-based approach aims to enhance data integrity and trust in how these credits are issued, tracked and exchanged.
Alastair Northway, a senior executive with JPMorgan Payments, said the move could advance the creation of a globally trusted carbon trading system.
The Kinexys project is part of a wider trend by JPMorgan to modernize environmental finance through distributed ledger technology.
Kinexys is also preparing to launch its first public blockchain product, a stablecoin-like digital deposit token called JPMD, expected to operate on Coinbase’s Base network.
The pilot highlights the financial sector’s growing interest in combining blockchain with environmental sustainability tools.
