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Effective monitoring of wetlands plays a pivotal role in comprehending and managing these ecologically vital ecosystems. This study assesses the potential of C-band synthetic aperture radar (SAR) imagery in compact polarization (CP) mode, utilizing the RADARSAT Constellation Mission (RCM), for wetland characterization. We introduce the compact-polarimetric signature (CPS) as a novel descriptor to delineate wetlands, including bog, fen, and marsh classes. In addition, we propose an alternative decomposition technique ( $\mu -\chi $ ) to segment the total power into three components: odd-bounce scattering $(P_{s})$ , double-bounce scattering $(P_{d})$ , and random scattering $(P_{v})$ . For our evaluation, we selected a test site in New Brunswick, Canada, and acquired a series of RCM datasets covering this region. The time-series CPS plots yield valuable insights, elucidating the scattering mechanisms of different wetland classes. Notably, these plots reveal that during the active season, characterized by changing vegetation structures, the scattered waves exhibit variations, leading to changes in received power and the purity parameter ( $\mu $ ). Furthermore, the observed variations in the proposed power components demonstrate a significant discriminatory capacity among wetlands. The $P_{s}$ , $P_{d}$ , and $P_{v}$ components effectively distinguish bog, fen, and marsh classes, respectively, capturing the unique characteristics of each wetland type. These findings carry considerable potential for advancing wetland characterization through the RCM CP-SAR mission. The improved discriminative ability among different wetland classes is a valuable contribution to the broader field of wetland ecology and management. This advancement potentially empowers precise wetland classification, facilitating well-informed decision-making in wetland preservation and resource allocation. The applications of these findings extend to ecosystem monitoring, environmental impact assessments, and the long-term evaluation of wetland health. Eventually, this contributes to developing more effective wetland conservation and management strategies.