Singapore Carbon Exchange Climate Impact X Passes Transaction Milestones

Climate Impact X (CIX), a global marketplace, auctions house and exchange for trusted carbon credits, has crossed the 1 million tonne milestone in traded and cleared credits within its CIX Exchange offering.

Launched in June 2023, CIX Exchange is one of three core venues established by the company, after CIX Marketplace and CIX Auctions. Collectively, over two million tonnes of carbon credits have been transacted across CIX’s suite of solutions since the inception of its first venue in March 2022.

“Scaling carbon markets at the speed it needs remains challenging in the headwind of negative media coverage, and amid a slowing global economic outlook. The pace of demand recovery is slower than the market had hoped for, but we are encouraged to see a good depth of participation on our venues. This signals to us that our value proposition to enhance trust and transparency in the market is on the right track,” said Mikkel Larsen, Chief Executive Officer of CIX.

Total traded volume within the CIX Exchange offering comprises transactions that took place both on-screen as well as off-screen via CIX Clear, the clearing and settlement service for privately negotiated transactions.

To date, around 3.5 million tonnes of carbon credits have been bid and offered on CIX Nature X, the company’s first global standard contract series, equating to a daily average of 40,000 tonnes.

The average widest bid-offer spread on the contract series during the daily pricing session stands at around US$$0.30 per tonne, tightening to an average spread of around US$0.10 per tonne. As of 6 October 2023, 152 transactions totalling 252,000 tonnes of carbon credits had traded and cleared on the CIX’s curated Nature X benchmark contract alone.

Ongoing market uncertainties have reduced end-user demand, creating a knock-on effect on price and the value of the voluntary carbon market (VCM) as a whole. The benchmark assessment for Nature X, which trades under the contract code CNX, settled at US$5.36 per tonne on its first day of trade, before rising to a high of US$5.65 per tonne in July and falling to a monthly average of US$3.62 per tonne in September.

Despite the general slowdown in the VCM, retirements of CNX-eligible projects remain robust given a general flight to quality. CNX represents 11 of the most established and best-run REDD+ projects globally.

Headquartered in Singapore with offices in London, CIX is jointly owned by DBS Bank, Singapore Exchange (SGX Group), Standard Chartered, and Temasek’s decarbonisation investment platform company GenZero.