Singapore: Abaxx Technologies Inc announced that Climate Impact X (CIX), a global environmental markets exchange, has been approved as an eligible custodian for Abaxx Exchange's carbon futures contracts. Participants taking delivery under these contracts can now hold their credits with CIX, providing them an additional route to manage post-trade activity.

According to BERNAMA News Agency, Abaxx Exchange Chief Commercial Officer Joe Raia emphasized the need for market participants to have clearer ways to price carbon exposure before trading and more efficient methods to manage credits post-trade. Raia stated, "Abaxx carbon futures are designed to provide a transparent, exchange-traded price signal, and CIX's approval as an eligible custodian expands the post-trade choices available to participants taking delivery under those contracts."

Environmental markets remain fragmented, with carbon credits held across multiple registries, which creates operational complexity and added costs for companies moving assets between markets. The approval of CIX as a custodian allows clients to use its omnibus custodial service and multi-registry connectivity to hold, transfer, and retire credits delivered under Abaxx carbon futures alongside credits from their own spot market activities. This arrangement offers greater flexibility, enhances trading efficiency, and reduces the need to maintain multiple service provider accounts or relationships.

The arrangement was first utilized on July 1 to facilitate the transfer and delivery of 120 lots under Abaxx's CORSIA Phase One futures contract, with each lot representing 100 CORSIA Eligible Emissions Units (EEUs). It covers Abaxx's Jurisdictional REDD+ and CORSIA Phase One futures contracts and is part of CIX's ongoing efforts to build the market infrastructure needed to scale participation. CIX is currently connected to 12 registries, with plans for further expansion.