Nasdaq-listed Datavault AI Inc. (Nasdaq: DVLT) has entered into a global strategic collaboration with carbon removal manufacturer Biochar Now to tokenise and distribute verified, insured carbon removal credits.
Under the agreement, Datavault AI will apply its patented tokenisation architecture—including US Patent No. 12,443,977—to convert Biochar Now’s carbon removal credits into digital assets. Datavault will oversee worldwide demand generation, buyer development, and marketing, while pursuing token listings across partner exchange platforms. Biochar Now will pay Datavault AI for its technology and integration services, though specific financial terms were not disclosed.
The partnership bridges physical carbon sequestration with digital asset infrastructure, addressing transparency and fraud risks within voluntary and compliance carbon markets. Biochar Now’s physical removal credits are third-party verified and backed by its proprietary Insured Carbon system, which operates via a captive insurance entity to guarantee credit validity and protect against double-counting or project failure.
Key technical, structural, and commercial components of the agreement include:
- Patented tokenisation framework: Leverages Datavault AI’s proprietary intellectual property to tokenise physical carbon removal units, establishing verifiable digital ownership and retirement records.
- Captive insurance protection: Replaces traditional registries with Biochar Now’s captive insurance structure, providing policy-backed guarantees for qualifying carbon credits.
- Information data exchange integration: Incorporates Biochar Now’s environmental data into Datavault AI’s Information Data Exchange (IDE), utilizing DataValue and DataScore analytics to track supply chain metrics.
- Licensee onboarding pipeline: Establishes a framework allowing third-party project developers using Biochar Now’s licensed production technology to onboard verified credits onto the Datavault platform.
- Western US expansion: Establishes initial evaluation of joint strategic infrastructure projects, including a facility development currently under discussion in the western United States.
Teri Gallo, Chief Operating Officer of Datavault AI, stated that the partnership commercialises the company’s IP portfolio by creating a secure digital distribution architecture for verified physical carbon assets.
James Gaspard, Founder and Chief Executive Officer of Biochar Now, added that pairing insurance-backed physical carbon removal with digital traceability sets a higher quality benchmark for global carbon buyers while providing a scalable distribution channel for technology licensees.