Core Viewpoint - Guangdong Province has introduced a systematic judicial guarantee policy for carbon emission quota pledge financing, marking a significant step in promoting a unified carbon financial market [1][4]. Group 1: Policy Development - The document titled "Opinions on Promoting Carbon Emission Quota Pledge Financing to Support Green Financial Development" outlines 13 specific regulations [1]. - It is the first provincial-level policy in China to clarify that carbon emission quotas are legitimate pledge assets and introduces a "dual registration" model for confirming carbon asset ownership [1][5]. Group 2: Market Activity - Guangdong is the most active regional pilot carbon market in China, with a cumulative transaction of 230.85 million tons of carbon emission quotas and a total transaction amount of 6.701 billion yuan as of July 2025 [2]. - However, the cumulative carbon quota pledge financing in Guangdong has only reached 31 cases, with a total of 5.6997 million tons pledged and a financing amount of 93.5281 million yuan [2]. Group 3: Challenges and Solutions - The legal status of carbon emission quotas as collateral is not clearly defined, leading to concerns among financial institutions regarding the handling of defaults [3][4]. - The new policy addresses these concerns by establishing a clear legal basis for carbon quota pledge contracts and outlining a default handling process [4][5]. Group 4: Financial Innovation - The policy encourages financial institutions to explore diverse financing scenarios, including annual pre-allocated quota pledge financing and carbon asset securitization products [5]. - It also introduces a mechanism for prioritizing the rights of pledge holders in case of default, thereby alleviating banks' concerns about lending [5].