SINGAPORE, July 23, 2021 – Cyberdyne Tech Exchange (CTX) said today that its digital exchange will soon debut cross-border trading of its proprietary Carbon Neutrality Tokens (CNTs) to be backed by the carbon credits of China, the world’s largest carbon market. CTX has signed Memoranda of Understanding (MOU) with three Chinese entities to issue and facilitate the issuance of CNTs backed by carbon credits, green infrastructure and real estate projects and insurance products, packaged as Collective Investment Schemes under Singapore’s regulatory regime.
The three Chinese entities are CECEP Green Carbon Investment and Development Co, a subsidiary of China Energy Conservation and Environmental Protection Group (CECEP), China Jinmao Holdings’ subsidiary, Jinmao Capital, and China Taiping Insurance Singapore. CTX, backed by the US$2 billion Asia Green Fund, said its CNTs will pave the way for carbon credits to be transferred across international borders.
Dr Bai Bo, Co-founder and Executive Chairman of CTX, said: “We are excited with the responses we have been getting from prospective issuers since we unveiled CTX two months ago. They saw the innovation behind our CNT and how it can involve the international community in helping pollutive industries reduce their emissions in a sustainable manner. “We were able to engender trust at a time when the crypto market was going through uncertainties because CTX is regulated by the Monetary Authority of Singapore and built on the robust trading and market surveillance technologies of Nasdaq.”
With the carbon information tracked in the tokens, issuers and investors can have visibility of the carbon footprint (or lack thereof) of their production activities and investment portfolios.
This will help them to align their fundraising and investing activities with their commitment to promote sustainable business practices.
Dr Bai disclosed that CTX is also in talks with institutions in Europe and North America to
issue tokens on its exchange. “Chinese-backed tokens will initially be dominant because of the size of its carbon credits market but our ambition is to develop CTX into a global marketplace for green investing.”
CTX was recently licensed by the Monetary Authority of Singapore as a Recognised Market Operator. It also holds a Capital Market Services License but is exempted from the Payment Services Act.
CTX, through its wholly-owned subsidiary Cyberdyne Tech Services, will kick-off trading next month with bitcoin, which it expects will be a popular medium for settlement on its exchange. A direct exchange between bitcoin and fiat currencies is allowed on CTX, with each bitcoin carrying a carbon emission value.
Dr Bai, a Chinese American with a PhD in Physics and Financial Technology Option from MIT, co-founded CTX with Singaporean banker Gabriel Wong and Chinese tech entrepreneur Lily Hong. He is also chairman and founder of Asia Green Fund, one of Asia’s first impact private equity funds.