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Guy Dickinson’s BetaCarbon to press go on Australian Carbon Credit Unit trading for retail holders

BetaCarbon is set to launch on Monday in what will be the first foray into carbon market trading aimed at non-institutional traders.

Guy Dickinson, founder and CEO of BetaCarbon, which is set to launch into carbon market trading aimed at non-institutional traders. Picture: Britta Campion
Guy Dickinson, founder and CEO of BetaCarbon, which is set to launch into carbon market trading aimed at non-institutional traders. Picture: Britta Campion

Former high flying HSBC banker Guy Dickinson is set to press go on the launch of his carbon credit trading platform BetaCarbon on Monday, opening access to thousands and lowering minimum trades from $100,000 to as little as $1.

The launch takes BetaCarbon from a closed beta to open access, offering 1300 people on its waitlist the chance to openly trade in Australian Carbon Credit Units.

Mr Dickinson said he expected huge demand for the digital carbon exchange, which has already seen $3.9m worth of ACCUs traded in its testing period.

BetaCarbon, which has attracted backers including former regulator Daniel Crennan, creates digital tokens tied to Australian carbon credit units that are issued when green generation projects capture or cut emissions.

Mr Dickinson said the platform offered companies and individuals their first chance to openly trade in ACCUs and mitigate their potential climate impact. “Our customer base is effectively everyone,” he said.

The trading platform is banking on a growing push by businesses and consumers to offset their carbon emissions.

Mr Dickinson said by opening up trading in ACCUs, he hoped to further boost the push for emissions-offsetting projects.

“The price of the carbon credit unit has gone from $19 a year ago, it went up to close to $59 and then after the government changes went back to $30-35 mark,” Mr Dickinson said.

“What we’ve seen during that period of price appreciation is a huge spike in new projects being registered to come online.”

BetaCarbon buys a basket of different ACCUs, then mints and sells the tokens on the exchange.

Customers can then trade the units.

“From a price making perspective we’re providing a better service than people would usually get through the institutional market,” Mr Dickinson said.

BetaCarbon, the brainchild of Mr Dickinson and his son Jules, has minted tokens covering 93,000 tonnes of carbon drawing from 32 emissions reductions projects ranging from landfill gas, native forest regeneration, and indigenous savanna burning.

The company makes its money on the trades with an embedded fee in the token prices.

Mr Dickinson said BetaCarbon was looking to grow on the back of its launch, with plans to launch an investor roadshow seeking to raise $3m in further runway for the business. This was after it raised $3m in 2021.

He said the money raised would be aimed at helping scale BetaCarbon’s invest and offset products.

This has already seen BetaCarbon sign deals with brands, allowing them to pass on to customers carbon offsets.

“There’s a need for lots of brands to step into the environmental space,” Mr Dickinson said.

BetaCarbon is also looking at moving into New Zealand, with Mr Dickinson noting the Canadian and North American carbon trading markets also presented clear opportunities for the company.

Mr Crennan, former deputy chair of ASIC, has been a key backer for the company running BetaCarbon’s engagement with the Australian and New Zealand governments and regulators via his firm Credi Consulting.

Mr Crennan told The Australian BetaCarbon offered an opportunity for the financial system to intersect with carbon emissions regulatory frameworks.

“The ACCU system, which is more or less consistent with carbon credit systems, was designed some time ago and designed seemingly for a small group of participants and industries that were obligated to participate in the decarbonisation system; In other words large scale miners and polluters,” he said. “If we are as a nation and a citizenry of this nation going to participate directly with decarbonisation it has to be carefully regulated.”

David Ross
David RossJournalist

David Ross is a Sydney-based journalist at The Australian. He previously worked at the European Parliament and as a freelance journalist, writing for many publications including Myanmar Business Today where he was an Australian correspondent. He has a Masters in Journalism from The University of Melbourne.

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Original URL: https://www.theaustralian.com.au/business/markets/guy-dickinsons-betacarbon-to-press-go-on-australian-carbon-credit-unit-trading-for-retail-holders/news-story/8a5185d954ec8fe8b18a54ec638a0191