Carbon Market Infrastructure

Definition ∞ Carbon market infrastructure comprises the systems and technologies facilitating the trading of carbon credits. This includes digital registries, trading platforms, and verification mechanisms that enable the issuance, transfer, and retirement of carbon allowances or offsets. Blockchain technology is increasingly being applied to this infrastructure to enhance transparency and traceability. The goal is to establish efficient markets for environmental commodities.
Context ∞ Current discussions address the standardization and integrity of carbon credits, particularly with the rise of on-chain carbon markets. A key debate involves ensuring the authenticity and non-double-counting of digital carbon assets. Future progress anticipates greater integration of blockchain for verifiable offsetting and improved market liquidity.