The Application of RWA Tokenization in Carbon Credit Assets

Abstract

Under the goal of global carbon neutrality, the carbon market faces challenges such as insufficient liquidity, low transparency, and uneven credit quality. Blockchain and RWA tokenization provide an innovative path to solve these problems. This paper uses multiple case studies to find that tokenization can significantly improve the liquidity, price discovery efficiency and traceability of carbon assets, but it also brings new risks at the technical, financial and regulatory levels. It provides theoretical basis and practical guidance for policy makers to design “regulatory technology” programs, financial institutions to develop green financial products, and blockchain project parties to design compliance agreements.