Toucan’s audit mechanism for its carbon credit tokenization platform ensures transparency and integrity. Carbon credits are tokenized via the Toucan Carbon Bridge, linked to registries like Verra or Gold Standard. Each credit is verified by third-party auditors (Validation and Verification Bodies) before tokenization, ensuring authenticity. Tokenized credits (TCO2 tokens) retain metadata, including project details and transaction history, recorded on a blockchain for immutable, public access. Smart contracts automate verification, reducing fraud and double-counting risks. Continuous monitoring and external security audits of smart contracts further enhance trust. Toucan’s collaboration with the World Economic Forum emphasizes transparent data trails, enabling stakeholders to audit projects from origin to retirement, fostering accountability in the voluntary carbon market.