We propose novel Bitcoin-denominated derivatives contracts on carbon bonds. We consider afutures contract on carbon bonds where its price is expressed in terms of bitcoins. We putforward an option on a future contract of the former type. Governments can use them to hedgeclimate change and...

In this work we conduct a study on the calibration of futures contracts on temperature indices. We consider a continuous-time autoregressive dynamics for the deseasonalized temperatures and a pricing measure allowing for a simultaneous change of the level and speed of mean reversion in the risk...