Durable Carbon Dioxide Removal Credits – Emerging as an Asset Class

It’s not up to me to determine if or when a company should buy CDR credits, but one thing is clear: There are several good reasons for doing so. As more and more companies commit to net zero, demand for high-quality CDR credits is rising while supply remains scarce. Early movers can secure multi-year agreements at better prices, build internal capabilities, and be compliance-ready as policy frameworks advance. That’s not just climate leadership; it’s a competitive advantage.

We can show companies what solutions are available. Just as we assist them when it comes to index questions or regulatory issues, we can also advise them on reliable, traceable, and certified CDR credits. It’s about creating awareness of upcoming regulations and highlighting business opportunities.

We believe that CDR credits will one day become a tradable asset class. This isn’t something we can do alone. Carbonfuture is a specialist in end-to-end digital infrastructure in this market and has the necessary expertise: The company identifies suppliers that remove carbon dioxide, ensures verification, and operates the world’s largest platform for issuing trusted high-quality credits for durable CDR. With Carbonfuture as a strategic partner, we can provide our clients with expert advice and support them in their handling of CDR credits.

To begin with: Demand. Companies need to commit to net zero and acknowledge their need to balance unavoidable emissions. Second: Supply. We need enough high-quality technology suppliers who verifiably and permanently remove carbon dioxide. That can happen in a number of different ways. And third: Infrastructure – a reliable, centralized marketplace that transparently connects both sides.

Today, trading of CDR credits takes place through direct brokerage in bilateral negotiations and over-the-counter. If supply and demand grow, the next step is a transparent marketplace with fair pricing and reliable data, price feeds, and maybe even indices. That’s what defines an asset class: standardization, liquidity, and data transparency.

We’re not there yet, but that’s our vision and one reason why we invested in Carbonfuture. In three to five years there could be a market in which suppliers sell their CDR credits and companies buy them. We could then also have them on our platform as tradable assets – similar to how we have done it with bonds or cryptocurrencies in the form of exchange-traded products.

ESG is more than a buzzword. Whoever embraces ESG is following not a political trend, but a business imperative. The backlash is loud, but does not alter the fact that ESG criteria have become an integral part of capital markets for investors, companies, and regulators. The challenge lies not in whether ESG will survive, but in how to put it into practice effectively and credibly.

For businesses, this means less label and more substance. For investors, it means focusing on robust data, transparent governance, and long-term impact. And for everyone involved, it means having the courage to conceive sustainability not as a PR campaign, but as an economic reality.

To begin with, it’s about assuming responsibility as a company and doing our part. Sustainability is a key component of our strategy, and the reduction of CO₂ emissions is a part of that. We reduce where possible, but there are residual emissions. We balance these with CDR credits – purchased via a multi-year agreement with Carbonfuture. At the same time, this is a form of learning by doing: We have invested in Carbonfuture and want to test their solutions ourselves.

It’s not up to me to evaluate political objectives. But what makes me optimistic is that we know how to build trusted markets. Stock exchange operators like SIX have always provided the infrastructure that turns emerging ideas into investable asset classes.

If we get this right for CDR credits, companies will receive a clear path to achieve net zero, and suppliers will be rewarded fairly for their contribution. Consequently, I am confident that CDR credits will not just bring us closer to our climate goals, but will also evolve into a recognized and credible asset class.