Flowcarbon, a leading climate technology firm, has successfully raised a combined total of $70 million. The money came from venture capital investors and through the sale of its carbon-backed cryptocurrency. General Catalyst, Samsung Next, Invesco Private Capital, 166 2nd, Sam and Ashley Levinson, Kevin Turen, RSE Ventures, and Allegory Labs also participated in the investment round, which was led by a16z crypto. Fifth Wall, Box Group, and the Celo Foundation also participated.
Flowcarbon is on a mission to democratize the carbon market by making it more open and transparent. This will facilitate billions of dollars to go directly into initiatives that work to mitigate the effects of climate change.
Flowcarbon’s climate mission
The voluntary carbon market (VCM)’s opaque and fragmented market infrastructure has reduced the volume of carbon credits accessible to firms who utilize them to offset carbon emissions in recent years. Flowcarbon is building an first open standard for tokenizing real-time, verified carbon credits from projects throughout the world. The company hopes that this will channel billions of euros directly into climate-friendly initiatives. Notably, the Goddess Nature Token (GNT), the first carbon-backed token, provides buyers with the highest possible value and utility.
To ensure that the tokenization protocol is operates with environmental, financial, and structural integrity, Flowcarbon consulted with a wide range of players in the voluntary carbon market. Natural project credits issued during the past five years are the foundation of GNT’s financial stability. To ensure that corporate-quality credits reach as many people as possible, it keeps tabs on popular demand criteria. The tokens’ use cases include selling, using as collateral or redeeming for underlying assets.
Flowcarbon has made a number of noteworthy announcements, including its groundbreaking collaboration with the Centrifuge protocol. Celo and GNT will work together to give $10 million in GNT to offset Celo’s emissions. Ultimately, this approach will open up the financing markets for carbon project developers. In order to sell their carbon credits on the open market, project developers can use Flowcarbon’s protocol to bring them into the blockchain. As a result, buyers are able to buy live carbon credits from the projects themselves.
“The carbon market is extremely opaque and we believe demand for offsets is rapidly outpacing the speed at which supply can be increased, especially for nature-based projects,” said Arianna Simpson, General Partner at a16z crypto.