Tokenized Recycling Credits: Extending Blockchain Waste Management with Measurement, Reporting and Verification for Carbon Markets

Independent Researcher, USA
* Corresponding author. Email: Roongroj@linlylabs.com (R.P.)
Manuscript received November 10, 2025; Accepted January 4, 2026; published June 15, 2026

Abstract—Recycling activities generate measurable climate benefits through avoided emissions from virgin material production, yet these environmental values remain largely unmonetized due to fragmented measurement infrastructure and high certification costs. This paper extends our previously developed blockchain-based waste management architecture (Waste Protocol) with integrated Measurement, Reporting and Verification (MRV) capabilities, enabling recycling credits to function as tradeable carbon offsets. Building on deployed smart contracts on Ethereum Sepolia and Linea Sepolia, we augment the system with standardized emission factor databases, automated credit calculation, and bridging protocols for established carbon registries. The WasteToken, originally a utility token, is repurposed to represent verified carbon credits, where each token corresponds to one gram of avoided CO₂-equivalent emissions. Illustrative scenarios show the system minting credits proportional to recycled aluminum (8.5 kg CO₂e/kg), plastics (2.2 kg CO₂e/kg), and steel (1.2 kg CO₂e/kg) with measured gas costs and verification workflows. We discuss market viability against a $2.97 billion voluntary carbon market (2023), additionality arguments, and regulatory classification of tokenized credits. Results indicate that integrating MRV into existing blockchain waste platforms creates dual value streams—immediate material payment plus long-term carbon revenue—potentially improving recycling economics by 25–40%.

Keywords—carbon credits, blockchain Measurement, Reporting and Verification (MRV), recycling emissions, tokenized offsets, waste management, life-cycle assessment, smart contracts, voluntary carbon markets

Cite: Roongroj Phetkheaw, "Tokenized Recycling Credits: Extending Blockchain Waste Management with Measurement, Reporting and Verification for Carbon Ma," International Journal of Blockchain Technologies and Applications vol. 4, no. 1, pp. 46-62, 2026.

Copyright © 2026 by the authors. This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0)