Northern Trust, a provider of wealth management, asset servicing, and banking solutions, has launched The Northern Trust Carbon Ecosystem.
This innovative platform utilises blockchain technology to facilitate the digital acquisition of carbon credits by institutional buyers from prominent project developers.
The inception of this product responds to the escalating demand for credible, transparent mechanisms in the Voluntary Carbon Market. It aims to provide a streamlined and secure process for managing the lifecycle of carbon credits.
Northern Trust has long been at the forefront of financial innovation. Their latest venture, Northern Trust Matrix Zenith, underscores their commitment to integrating cutting-edge technologies with traditional financial services. This platform not only supports digital assets but also aligns with traditional asset servicing, ensuring a seamless integration for institutional clients.
The Northern Trust Carbon Ecosystem simplifies the complex process of buying, transferring, and retiring carbon credits. Institutional buyers can now directly purchase digital carbon credits from developers and retire them against their emissions, all within a secure and transparent environment supported by blockchain technology.
Beyond simplifying transactions, the ecosystem also involves key stakeholders and project developers like Water Recovery Systems IP Limited and CUT Carbon Distributed Technologies AG, facilitating a range of transactions aimed at reducing global carbon footprints.
Additional benefits of the Northern Trust Carbon Ecosystem include automated transaction capabilities and enhanced security protocols, ensuring that each transaction is not only efficient but also aligned with global sustainability goals.
Northern Trust Asset Servicing president, Pete Cherecwich, said: “The Northern Trust Carbon Ecosystem supports the growing interest in the Voluntary Carbon Market by providing a digital lifecycle management capability for voluntary carbon credits. The seamless and secure settlement experience is designed to give project developers and institutional buyers confidence in their carbon credit transactions, with Northern Trust as the custodian.”
Northern Trust global head of Digital Assets and Financial Markets, Justin Chapman, said: “The Northern Trust Carbon Ecosystem is just one example of the current and future planned applications of Northern Trust Matrix Zenith – the latest milestone in our asset servicing innovation journey. It supports key digital asset lifecycle events from asset creation, trading, pricing, and custody to reporting. Leveraging blockchain technology, Northern Trust Matrix Zenith integrates with our core traditional asset servicing infrastructure to support digital and traditional assets side-by-side.”
Pete Cherecwich added: “Northern Trust Matrix Zenith is an asset- and market-agnostic platform that allows us to support our clients’ digital asset strategies. This gives us flexibility to drive our focused developments in tandem with our broader collaborations with clients and industry stakeholders, helping us explore new opportunities while evolving with the rapidly changing marketplace.”
Keep up with all the latest FinTech news here
Copyright © 2024 FinTech Global
