Carbon Link Officially Releases "OTC Hub," a Platform Exclusively for Carbon Credit Intermediaries

Carbon Link Inc. (Headquarters: Minato-ku, Tokyo; Representative Director: Daichi Masuyama), which operates the "Carbon Offset Desk" service for carbon credit buyers, has officially launched "OTC Hub," a platform for intermediaries engaged in over-the-counter (OTC) trading of J-Credits. OTC trading refers to direct transactions between buyers and sellers without going through an exchange.

The platform consolidates buy and sell orders scattered across the carbon credit market, other companies' trading boards, and public tenders into a single trading board, offering intermediaries a view of all trading opportunities free of charge.

Having surpassed ¥350 million in cumulative transaction value in carbon credit trading, this launch follows our buyer-focused service and aims to establish a foundational infrastructure for the supply and intermediary side.

What is "OTC Hub"?

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"OTC Hub" is a platform for intermediaries that aggregates the desired prices (indications) for buying and selling J-Credits in OTC transactions onto a single screen, allowing intermediaries to meet and trade. It comprehensively gathers buy and sell information previously dispersed across the carbon credit market, other companies' trading boards, public tenders, and internal management spreadsheets. Users can view details such as type, delivery period, vintage, origin, quantity, and unit price, categorized by methodologies like renewable energy, energy saving, forestry, and agriculture. Furthermore, intermediaries can submit buy/sell applications to our company stating, "I want to buy/sell at this price." Combined with leads received through our buyer services and related offerings, we handle everything from finding trading partners to matching, enabling intermediaries to connect with suitable counterparties without having to search extensively themselves. *This service is exclusively for intermediaries (providers) dealing in carbon credit transactions.

How OTC Hub Works: Not a "Replacement for Intermediaries," but a "Tool for Intermediaries"

OTC Hub involves our company acting as the counterparty to the transaction. Instead of replacing intermediaries' trading activities, it functions as a "tool" to increase their deal closure rates.

Protection of Client Touchpoints (Trading without revealing names to counterparties) Intermediaries can submit trading applications without disclosing the names or affiliations of their end clients to the trading partner. As our company does not disclose client identities to trading partners or other companies, transactions can proceed while preserving the intermediary's client relationships. (Note: Identities are kept confidential, and information is used only to the extent necessary for matching).

We Handle Matching to Execution This is not merely a display board for price indications. After receiving a trading application, our company handles the practical aspects of the transaction, from matching with a trading partner to facilitating the deal, to ensure its successful completion.

Monetization Through Spreads As compensation for this platform, our company generates revenue from the transaction spreads (profit margins). Therefore, we do not charge intermediaries any usage fees or brokerage commissions.

About Usage

We operate OTC Hub from a neutral standpoint, and it is available to any business engaged in carbon credit intermediation, regardless of affiliation (excluding non-intermediaries/providers). To use the service, you can begin by registering as a member via email authentication and undergoing a verification process to confirm your status as an intermediary. Registration is accepted through OTC Hub.

Message from the Representative

Daichi Masuyama, Representative Director and President, Carbon Link Inc.

"In my previous role as a cover dealer in the financial industry, I coordinated with exchanges worldwide, engaging in liquidity provision and risk management. I believe the experience I gained in dealing with price, liquidity, and risk is applicable to the carbon credit market. Against the backdrop of the full-scale implementation of the GX Emissions Trading System (GX-ETS), the demand for trading J-Credits, JCM, and emission allowances is expected to expand further. However, orders are still dispersed across multiple markets, leading to missed trading opportunities. I want to develop "OTC Hub" into a "hub airport" where dispersed buy and sell orders converge and connect with optimal partners. Our aim is not to replace the trading activities of intermediaries but to serve as a tool that maximizes their capabilities, ultimately becoming a nexus for over-the-counter carbon credit trading."

Company Overview

Carbon Link Inc., with its mission to "Connect Companies with the Future of Decarbonization," is a GX startup operating "Carbon Offset Desk," an instant settlement brokerage service for carbon credits and emission allowances. Leveraging the expertise of former financial dealers, our unique trading infrastructure supports companies in achieving reliable and swift decarbonization management. We will also continue to operate and provide AI solutions for real estate, such as "Kagoku AI," which was our founding business.

Company Name: Carbon Link Inc. (formerly: Kagoku Inc.)

Headquarters: 10th Floor, Sumitomo Fudosan Tokyo Mita South Tower, 3-5-27 Mita, Minato-ku, Tokyo, IF COMMUNE

Representative: Daichi Masuyama, Representative Director and President *Acquired "Decarbonization Management Advisor Basic" certification from the Ministry of the Environment.

Established: August 10, 2023

URL: https://carbonlink.co.jp/

Business Activities:

- "Carbon Offset Desk": J-Credit, JCM, and emission allowance purchase/offset support service

https://carbonlink.co.jp/carbon-offset

- "J-Credit Purchase Center": Direct J-Credit purchase service https://carbonlink.co.jp/kaitori

- "OTC Hub": J-Credit over-the-counter trading platform

https://carbonlink.co.jp/otc-hub

- "Carbon Link Research": Information media on carbon credits and decarbonization management

https://carbonlink.co.jp/media/