ivy is used to track carbon credits and supply chains through two main tools: One is Hedera Guardian, which digitizes and verifies carbon credit issuance from registries such as Verra and BCarbon, and the other is TrackTrace, a platform built by Hashgraph Group that records product origin, emissions, and compliance data for the European Union’s Digital Product Passport Regulation. Both tools run on Hedera’s public ledger, which uses a consensus method called a hashgraph instead of traditional blockchain structures. This allows businesses to record data that cannot be changed after the fact, while keeping transaction costs low and payments fast.
The result is a shared record of where carbon credits and physical products came from, who verified them, and what happened next. That record is open for anyone to see, and this is the core problem these tools are trying to solve.
Why do carbon markets need blockchain tracking?
A carbon credit represents one ton of greenhouse gases avoided or removed from the atmosphere. The problem is that credits have traditionally been tracked through spreadsheets, PDFs, and registry databases that don’t communicate with each other. This leaves the market exposed to double counting, where the same credits are sold or claimed multiple times, and inflated claims about how much carbon a project actually removed.
Hedera Guardian addresses this issue by serving as an open source governance layer for environmental asset data. It automates measurement, reporting and verification, a process known in the industry as MRV, and ties each digital carbon credit to a specific auditable methodology. According to Hedera, the Guardian ecosystem has built the world’s largest open-source library of digitized carbon methodologies.
Verra and Hedera Guardian integration
Verra, one of the largest carbon credit standards bodies, has announced a long-term collaboration with the Hedera Foundation to connect Hedera Guardian directly to the Verra Project Hub. Verra CEO Mandy Rambharos described the partnership as a step forward in the organization’s digitalization strategy, which aims to make project registration, verification, and credit issuance faster and more transparent.
This integration provides project developers with real-time access to methodology updates and allows reviewers to search and analyze submission data while maintaining proponent confidentiality.
How are real carbon registries using Hedera today?
Some registries and project developers have already migrated live carbon credit data to Hedera, rather than treating it as a pilot activity.
- B carbona nonprofit registry affiliated with Rice University’s Baker Institute for Public Policy, transferred more than 2 million issued carbon credits to Hedera in February 2026. Credits span methane reduction through well unplugging, soil carbon sequestration, forestry, and blue carbon projects. BCarbon CEO Eric Unverzagt said the move to Hedera combines scientific rigor with a digital infrastructure that supports auditable and tradable credits.
- dovacollaborated with Veterans Carbon Holdings to issue the first third-party verified soil sample carbon credits in Hedera, bringing $1.1 billion in assets to DOVU’s digital asset warehouse, $600 million of which was directed to American family farms in a nine-year agreement.
- Gold Standard and ATEC Global issued the first fully digital cookstove carbon credit in March 2026. It has been verified through a digital MRV process and is now publicly traceable on the Hedera Guardian ledger. The eCook Bangladesh project uses IoT-connected SIM cards on cookstoves to transmit real-time usage data, which will be audited by a third party before Gold Standard approves final publication. Wes Geisenberger, executive director of sustainability at Hashgraph, said digital MRV is expected to shorten publication timelines, which previously took up to two years with manual verification.
Notably, dMRV (digital monitoring, reporting, and verification) replaces manual paperwork with sensor data and automated audit trails. All credits issued in this way can be checked independently through tools such as the open-source Hedera Atlas dashboard, without having to trust a single central authority.
How does Hedera track its physical supply chain?
Carbon credits are one aspect of Hedera’s sustainability use case. The other is tracking physical goods as they move through manufacturing, shipping, and retail. In Europe, this is not just a nice-to-have feature, but a compliance issue.
The EU’s Ecodesign Regulation for Sustainable Products, known as ESPR, will come into force on July 18, 2024 and will require a digital product passport for products sold on the EU market, including imported products. The passport is typically accessed through a QR code and should contain data about the product’s origin, ingredients, sustainability credentials, and life cycle. Battery passport requirements will apply to electric vehicles and industrial batteries from February 18, 2027, and to textiles, clothing and steel products from July 2027.
TrackTrace and Digital Product Passport
Hashgraph Group built TrackTrace on top of Hedera specifically to help enterprises meet these requirements. The platform records supply chain data such as product quality, raw material origin, carbon emissions, and responsible sourcing information.
Each product or process is given a decentralized identifier, also known as a DID. This preserves relevant records and allows them to be verified by independent auditors without going through a central authority.
TrackTrace is built to work alongside, rather than replace, existing enterprise resource planning systems. Micha Roon, head of engineering at The Hashgraph Group, said the platform is designed with GDPR compliance built-in, allowing companies to share necessary compliance data without exposing sensitive intellectual property or personal information. This architecture also uses Hedera’s consensus algorithm to protect records from cross-border tampering.
TrackTrace also works with Merck’s M-Trust physical authentication technology, allowing companies to jointly verify a product’s origin, authenticity, quality, and operation. Thomas Endres, executive director of Merck’s M-Trust, pointed to the rise in fake certificates of origin in the cocoa market in 2026 in connection with the EU’s new deforestation regulations as one reason for the increased demand for this type of verification. TrackTrace targets industries where provenance is most important, including food, pharmaceuticals, electronics, luxury goods, and industrial components.
What other companies are involved in driving Hedera’s supply chain?
Hedera’s supply chain tools are backed by a governing council rather than a single company. Members related to sustainability and logistics operations include:
- FedEx joins Hedera Council to support digital infrastructure for global transportation
- Dell, Google, IBM and Deutsche Telekom participate in parliamentary governance
- PwC will provide regulatory compliance support for the rollout of TrackTrace’s digital product passport.
This is not the first time Hedera has been used for supply chain traceability. Medical Value Chain introduced a Hedera-linked drug tracking system in Bahrain in 2021, using Hedera consensus services to notarize records along with a permissioned blockchain layer. Previous implementations showed that the same traceability model applies outside of the carbon and ESG context, focusing on patient safety and reducing counterfeit medicines.
what actually happens
In summary, carbon and supply chain use cases rely on the same underlying pattern.
- Data is captured close to the source, whether it’s an IoT sensor on a cookstove or a scan in a factory.
- The data is time-stamped and recorded on Hedera’s public ledger. cannot be edited after the fact
- A third party, such as Earthood for carbon credits or PwC for product passports, validates the data against established methodologies and regulations.
- Verified records remain open for independent review by auditors, buyers, or regulators.
This differs from the old system where the Registrar and Customs kept the only copy of the records. In Hedera, the record itself is a shared reference point.
$HBAR Price snapshot
For readers tracking the network’s native tokens, $HBAR It was It is trading at around $0.071 As of early July 2026, Hedera’s market capitalization was nearly $3.12 billion, according to CoinGecko data.
$HBAR Tokenomics is used to pay transaction fees on the network, including fees generated by Guardian and TrackTrace activities. $HBAR How the tracking tools themselves work is separate.
conclusion
Hedera’s carbon credit tracking is performed through Hedera Guardian, which connects digital MRV data to registries such as Verra, BCarbon, and Gold Standard, giving each credit an auditable record from issuance to disposal. Its supply chain tracking is performed through TrackTrace. TrackTrace generates the origin, sourcing, and emissions data required for the EU’s digital product passport and links that data to corporate systems through decentralized identifiers.
Together, these tools provide registries, manufacturers, and regulators with a shared, tamper-resistant record rather than separate paper trails. This is a unique gap that both carbon markets and cross-border supply chains have struggled with.
- Press release by Vera: Vera and Hedera accelerate the digital transformation of carbon markets
- Hedera’s page: Sustainability use case
- Press release by Gold Standard: The first fully digital cookstove carbon credit issued by Gold Standard and ATEC Global
- Report by DLT Earth: BCarbon migrates Carbon Registry to Hedera to enable digital audit trail
- Report by Genfinity: Hedera February 2026 Summary: FedEx joins council, Davos leadership, carbon market grows to $1.1 billion
- Cointelegraph report: Hashgraph Group launches Hedera tool for EU digital product passports
- Report by Inside Ecology: Hashgraph Group announces launch of TrackTrace to comply with EU Digital Product Passport (DPP) regulation
- Report by Bitget News: Digital product identification platform goes live in the EU with Hedera
- Blog post by Hedera: Hedera Consensus Service and MVC Track-and-Trace platform now fully integrated for pharmaceutical supply chain compliance and finance
- Data by CoinGecko: Ivy ($HBAR) Price, Market Cap, News
