Carbon credits are an attractive target for all forms of deception because they're modeled on an institution that has a couple of hundred years worth of bullet-proofing but do not themselves use the same, battle-tested institutions.<p>For example, if I tell you "I've got here a number which represents a one millionth part ownership in a company in a country you've never been to -- will you pay me $600 for it?", as insane as that might sound it is actually pretty routine.  You can trust that paying me $600 will effect the transfer for the number, that the number does indeed represent a one millionth part ownership in a company, and that the company actually exists.  This is guaranteed by an interlocking web of regulations, trusted relationships, and whatnot which is one of the wonders of the modern era.<p>By comparison, carbon credits are, well, is magic a strong word?  With stock you're paying for partial ownership in something which doesn't exist but is convenient to think about for illustrative purposes.  With carbon credits you're paying for partial ownership in something which might have existed but didn't, and potential-but-<i>crucially</i>-not-actual existence is convenient to think about for illustrative purposes.<p>My private suspicion is that carbon credits probably involve outright fraud on a scale that would shame Communist agricultural ministers.