Nine of the world’s largest banks, including BBVA, BNP Paribas, CIBC, and Standard Chartered, have come together to invest a combined $45 million into Carbonplace, a new platform focused on facilitating transactions in voluntary carbon credits. The platform is expected to go live later this year and will make it easier for the banks’ corporate customers to participate in zero-emission projects around the world. The funding will be used to increase employee headcount and upgrade the platform’s infrastructure.
Carbon credits are typically traded among corporate entities via commodity exchanges and then used to fund environmentally-conscious projects such as tree planting or providing cook stoves to developing nations. Carbonplace aims to make these transactions more transparent, secure, and accessible, helping to accelerate corporate climate action.
The $45 million investment from the nine banks is a significant commitment to Carbonplace’s mission and shows the willingness of these major financial institutions to invest in a more sustainable future. The platform is expected to become available to retail customers in the future and will hopefully make it easier for organizations of all sizes to reduce their carbon footprint.