ICE Benchmark Administration Launches the ICE Carbon Reference Entity Data Service

Rhea-AI Summary

Intercontinental Exchange (ICE) has launched the ICE Carbon Reference Entity Data Service (ICE CRED), aimed at optimizing carbon credit management throughout the trading lifecycle. ICE CRED aggregates and standardizes data from global registries, providing a unique identifier for carbon credits, thereby minimizing operational risks and costs associated with trading. This service complements the upcoming ISDA Verified Carbon Credit Transactions Definitions, enhancing transparency in carbon markets. It will be accessible via ICE’s digital platforms, further solidifying ICE's role in facilitating effective carbon trading.

Positive

• Launch of ICE CRED enhances carbon credit trading efficiency.
• Service standardizes and aggregates carbon credit data, reducing operational risks.
• Supports ISDA's Verified Carbon Credit Transactions Definitions, promoting market transparency.

Negative

• None.

LONDON--(BUSINESS WIRE)-- Intercontinental Exchange, Inc. (NYSE: ICE), a leading global provider of data, technology, and market infrastructure, today announced that ICE Benchmark Administration Limited (IBA) has launched the ICE Carbon Reference Entity Data Service (ICE CRED) to facilitate the management of carbon credits through the trade lifecycle.

Verified carbon credits are issued in respect of registered projects, and are typically recorded and held in registries which identify the number of carbon credits that are issued, retired, canceled or converted. ICE CRED normalises, standardises, aggregates and supplements carbon credit reference data from global registries and assigns a unique ICE Carbon Credit Reference Identifier (ICE CREF) to carbon credits for each project and vintage, providing a universal reference code to facilitate their use. ICE CRED is designed to help reduce operational risk and cost by giving buyers and sellers of carbon credits the enhanced reference data necessary to manage their carbon credit trading processes.

“For nascent financial markets to scale successfully, they must be underpinned by meaningful data standardisation, which helps to bring predictability and transparency to their operation,” said Clive de Ruig, President of ICE Benchmark Administration. “IBA designed ICE CRED to provide carbon credit markets with a reliable and rigorous reference data service that aims to significantly improve the practicalities of analysing, trading, risk-managing and valuing carbon credits.”

“Users of ICE CRED will benefit from IBA’s data management and reporting framework, as well as its long-standing experience and reputation for establishing robust governance and oversight functions,” continued Clive de Ruig. “IBA is applying similar rigour to ICE CRED to give the carbon credit market confidence in the information it depends upon to effectively manage trading operations.”

ICE CRED is designed to support the soon-to-be-published 2022 International Swaps and Derivatives Association’s (ISDA) Verified Carbon Credit Transactions Definitions, which outline terms for the secondary market trading of physically settled carbon credit spot, forward and option transactions. In addition, ICE CRED aims to support the actions set out by the International Organization for Securities Commissions (IOSCO) to contribute to sustainability disclosure standards benefitting issuers and investors, and to promote well-functioning carbon markets.

ICE CRED will be available from multiple access points in a digital standardised format via ICE’s SFTP server, ICE Chat and ICE’s web Report Center. For more information on how to access the service, please visit: https://theice.com/iba/ice-cred. To subscribe to ICE CRED, please contact iba@ice.com.

About ICE Benchmark Administration

ICE Benchmark Administration is authorized and regulated by the Financial Conduct Authority for the regulated activity of administering a benchmark, and is authorized as a benchmark administrator under the UK Benchmarks Regulation. Operating ICE CRED is not a regulated activity.

About Intercontinental Exchange

Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds and operates digital networks to connect people to opportunity. We provide financial technology and data services across major asset classes that offer our customers access to mission-critical workflow tools that increase transparency and operational efficiencies. We operate exchanges, including the New York Stock Exchange, and clearing houses that help people invest, raise capital and manage risk across multiple asset classes. Our comprehensive fixed income data services and execution capabilities provide information, analytics and platforms that help our customers capitalize on opportunities and operate more efficiently. At ICE Mortgage Technology, we are transforming and digitizing the U.S. residential mortgage process, from consumer engagement through loan registration. Together, we transform, streamline and automate industries to connect our customers to opportunity.

Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located here. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2021, as filed with the SEC on February 3, 2022.

Category: Exchanges

ICE- CORP
Source: Intercontinental Exchange

View source version on businesswire.com: https://www.businesswire.com/news/home/20221206005538/en/

ICE Media Contact:

Rebecca Mitchell

Rebecca.Mitchell@ice.com

+44 7951 057 351

ICE Investor Contact:

Katia Gonzalez

katia.gonzalez@ice.com

(678) 981-3882

Source: Intercontinental Exchange

FAQ

What is the purpose of the ICE Carbon Reference Entity Data Service (ICE CRED)?

ICE CRED aims to facilitate the management of carbon credits by providing standardized, aggregated data to reduce operational risks and costs in carbon trading.

When was the ICE Carbon Reference Entity Data Service launched?

ICE CRED was announced on the same day as the press release, with no specific launch date mentioned.

How does ICE CRED benefit carbon credit traders?

It offers enhanced reference data necessary for managing trading processes, thus improving trading efficiency and risk management.

What standards does ICE CRED support?

ICE CRED supports the ISDA's Verified Carbon Credit Transactions Definitions and aims to promote well-functioning carbon markets.

Where can I access the ICE CRED service?

ICE CRED can be accessed via ICE’s SFTP server, ICE Chat, and ICE’s web Report Center.