WeWork founder reinvents himself with $ 70 million cryptocurrencies

WeWork founder reinvents himself with $ 70 million cryptocurrencies – Mail Bonus

Three years after being fired as CEO of WeWork, Adam Neumann has jumped on the bandwagon and raised $ 70 million in the first major round of funding for his climate technology company Flowcarbon.

The project aims to make carbon trading more accessible by putting carbon credits on the blockchain.

Neumann is an Israeli-American businessman and investor who is famous for his role in founding the workspace company WeWork in 2010, a company that was once proclaimed as the future of workspaces.

However, this all collapsed in 2019 when the company tried to enter the market, which instead lifted the lid on WeWork’s unprofitable business model and dubious leadership madness. The company went from being valued at $ 47 billion in private in August 2019 to talking about bankruptcy just six weeks later, as Neumann was pressured to resign as CEO.

Adam and his wife, Rebekah Neumann, have co-founded Flowcarbon with CEO Dana Gibber and CEO Caroline Klatt – both co-founders of Headliner Labs, a company that builds artificial intelligence-driven topics for major media brands. . Ilan Stern, co-founder of Flowcarbon, runs Neumann’s own family office.

According to Flowcarbon, a recent round of financing includes $ 32 million in financing from Silicon Valley investors Marc Andreessen and Ben Horowitz through their a16z cryptocurrency. Other investors are General Catalyst and Samsung Next.

Another $ 38 million was raised from the sale of Flowcarbon’s first carbon-based token, Goddess Nature Token (GNT).

The company describes itself as a pioneering climate technology company that works to build market infrastructure in the free carbon market (VCM). With the identification of carbon assets on the Celo blockchain, Flowcarbon wants to make the purchase, sale and trading of carbon units more accessible and efficient than the current carbon markets.

Carbon trading is a market-based system designed to reduce greenhouse gas emissions that contribute to global warming.

Carbon emissions companies can buy carbon credits to offset them from projects that remove or reduce greenhouse gases from the atmosphere, such as forestry projects.

Related: WEF 2022: Trust and clarity are lacking in discussions on carbon emissions and cryptocurrencies

However, Flowcarbon claims that the free carbon market is currently “inefficient, opaque and inaccessible,” with brokers and advisers charging up to 20 percent in fees, many behind-the-scenes deals and inconsistent carbon loan pricing depending on the buyer. .

Flowcarbon solution in the free carbon market is not unique. Other projects aimed at facilitating the purchase and sale of symbolic carbon credits are Toucan Protocol, JustCarbon and Likvidi.

Arianna Simpson, chief executive of a16z, said this was an obvious area that could benefit from blockchain technology.

“The carbon market is very opaque and we believe that the demand for counterbalances is rapidly exceeding the rate at which supply can be increased, especially for nature projects. Tokenization is an obvious solution. “