or setting up a system to short sell different projects.
I don’t think that short selling would work. Suppose a net-negative project has a 10% chance to end up being beneficial, in which case its certificates will be worth $1M (and otherwise the certificates will end up being worth $0). Therefore, the certificates are worth today $100K in expectation. If someone shorts the certificates as if they are worth less than that, they will lose money in expectation.
I don’t think that short selling would work. Suppose a net-negative project has a 10% chance to end up being beneficial, in which case its certificates will be worth $1M (and otherwise the certificates will end up being worth $0). Therefore, the certificates are worth today $100K in expectation. If someone shorts the certificates as if they are worth less than that, they will lose money in expectation.