Tracker on PURE Carbon

Note: GenTwo is a platform provider for structured products. This information is intended for professional investors only.

What is this product?
 

A tracker certificate providing institutional investors with exposure to the performance of PURE Carbon - a portfolio of tokenised carbon certificates from in-boundary mitigation projects, held in digital custody. Delivered through a structured product, it removes the need for investors to directly acquire, manage, or settle carbon assets on-chain.
 

How does it work?
 

The product tracks the performance of PURE Carbon, comprising tokenised carbon certificates from in-boundary mitigation projects, held in digital custody by Archax Ltd, an FCA-regulated digital asset exchange and custodian, with the underlying mitigation recorded on the UK Carbon Registry.
Structured as a fixed-maturity instrument maturing on 20 February 2029, the product is privately placed and not exchange-listed, meaning it is accessible via direct subscription. Despite the digital nature of the underlying, the product trades and settles in fiat currency, while maintaining exposure to the performance of the underlying carbon certificates.
 

What is the underlying asset?
 

The underlying is PURE Carbon - a portfolio of verified carbon certificates from in-boundary mitigation projects, registered on the UK Carbon Registry, a standards-based system that certifies and tracks carbon units generated by environmental initiatives. Each carbon certificate represents a verified unit of carbon dioxide equivalent (CO₂e) avoided or removed from the atmosphere.

These carbon certificates are tokenised to enable secure digital custody and efficient transfer, while the underlying registry position is held in an insolvency-remote structure by Archax Ltd, an FCA-regulated custodian. This ensures institutional-grade security, transparency, and reporting without requiring investors to manage registry accounts or digital wallets directly.

High-quality, in-boundary carbon certificates have increasingly traded at premiums to lower-rated alternatives, while supply constraints for verifiable in-boundary mitigation projects are expected to persist over the product’s term. The use of regulated digital custody infrastructure helps address longstanding access barriers for institutional investors.

Who is behind it?
 

The certificate is issued by SHA256 Issuer SPC, an exempted company structured as a segregated portfolio company under Cayman Islands law, with this product ring-fenced within its own dedicated portfolio.

ISP Securities AG, Switzerland, acts as paying agent. Archax Ltd, an FCA-regulated digital asset exchange (FRN 838656), provides digital custody for the tokenised carbon credits and associated registry position. The underlying mitigation is recorded on the UK Carbon Registry.

GenTwo AG provides the securitisation infrastructure supporting the issuance of the tracker certificate.

What kind of instrument is this?
 

A tracker certificate is a structured product designed to replicate the performance of an underlying asset or portfolio. Investors gain economic exposure to the underlying without directly owning it, instead holding a claim against the issuer for returns at maturity or upon redemption.
 

How can I create my own product?

To learn more about GenTwo's securitization platform simply book a call.