Informational only
This page explains how carbon credits are sold. It is not financial, legal or tax advice.
Selling carbon credits depends on who you are and where the credits sit. A company holding unretired credits in a registry account can sell them much like any other traded commodity. Someone who bought credits to offset, or who was sold “carbon credits” by an investment firm, is usually in a very different position. This page covers both, plus how project owners bring new credits to market. It is part of our invest section.
Can you sell carbon credits you already bought?
It depends on whether they have been retired.
- Retired credits can’t be sold. Once credits are retired in a registry, they can’t be recirculated or resoldSource 1. If you bought credits to offset a flight or your business’s emissions, they were probably retired for you. Our page on carbon credit retirement explains what that means.
- Unretired credits can be sold if they sit in a registry account. On the Verra Registry, ownership can only be transferred between registry accounts, and credits can’t be traded as paper certificatesSource 2.
If you were sold carbon credits as an investment
If a firm sold you carbon credits as an investment, take care before you try to sell. The FCA says investors are usually called out of the blue, and that many have reported they can’t sell or trade their carbon creditsSource 10.
Before you try to sell
- Check the credits exist. Ask for the registry, the project ID and the serial numbers, and look them up. All VCU issuance and retirement records are public on the Verra RegistrySource 2. A paper certificate is not the credit itself.
- Beware of recovery offers. The FCA warns that fraudsters may contact you again with an offer to get your money back, or to buy your investment, if you pay a fee firstSource 10.
- No compensation scheme. Carbon credits aren’t regulated by the FCA, so the Financial Services Compensation Scheme and Financial Ombudsman Service don’t cover themSource 10. Report suspected fraud to the FCA and the police.
Our guide to carbon credit scams lists more warning signs.
How holders sell carbon credits
To sell credits you hold, you need a registry account, or a broker or platform that holds them for you. On the Verra Registry, any entity that wants to issue, retire or transfer credits must have an active account, and all applicants go through “Know-Your-Customer” background checksSource 3.
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| Route | How it works | Suits |
|---|---|---|
| Broker | A broker finds a buyer and negotiates the price and transfer | Holders without trading experience |
| Exchange or trading platform | You list credits on an order book, in an auction or in reply to a request for quotes | Holders with standard, well-known credit types |
| Marketplace or retailer | The platform buys or lists your credits and sells them on to end buyers | Project owners and holders with smaller volumes |
| Direct sale | You answer buyers’ requests for proposals or agree an offtake contract | Project developers with larger volumes |
Exchanges give sellers several ways in. Xpansiv’s CBL, for example, lets sellers trade on its order book, run auctions or answer requests for quotes, with standardised contracts availableSource 4.
Whichever route you use, keep a record of every transfer: the serial numbers, the date, the buyer’s account and the price. If you are unsure how a sale is taxed where you live, ask a qualified adviser.
What buyers will check
The price you get depends on what buyers think your credits are worth, and serious buyers check quality.
- The label. The ICVCM’s Core Carbon Principles set a quality threshold, and credits that meet it can carry the CCP labelSource 5. Some methodologies were rejected: in August 2024 the ICVCM decided that credits from eight current renewable energy methodologies would not receive itSource 6. Our guide to CCP labels explains how the label works.
- The project type. In Ecosystem Marketplace’s survey of 2024 deals, removal credits averaged $19.50 per tonne and reduction credits $4.05Source 7.
- The registry record. Buyers will want serial numbers and a clean issuance history. See carbon registries for how records work.
Our page on carbon credit ratings explains the independent ratings some buyers also look at.
How project owners bring credits to market
Step 1: Choose a standard and methodology
Pick a carbon standard, such as Verra or Gold Standard, and a methodology that fits the project.
Step 2: Validate and register the project
An independent auditor validates the project design before the standard registers it.
Step 3: Monitor and verify
Measure the reductions or removals, then have them verified by an independent auditor.
Step 4: Get credits issued
The standard reviews the verification and issues credits into your registry account.
Step 5: Sell spot or forward
Sell issued credits now, or agree to deliver future credits under a forward or offtake contract.
Verra, for example, issues credits only after the project’s validation and verification and its own review and approvalSource 2. Each credit represents one tonne of CO₂ equivalent reduced or removed by the projectSource 2.
Two rules matter when you sell. If you sell future credits, US guidance says sellers should clearly disclose when the reductions won’t occur for two years or longerSource 8. And the data behind your credits must be accurate. In 2024 the US CFTC brought its first fraud actions in the voluntary carbon market, against a developer that reported false information to obtain more credits than it was entitled toSource 9.
For the wider picture, see can you invest in carbon credits?. If you hold allowances rather than voluntary credits, EU ETS allowances explains how that market works.