WeWork Founder’s Crypto Startup Returns Investors After No Token: Report
FlowCarbon, a blockchain-based carbon credit platform founded by former WeWork CEO Adam Neumann, is reportedly returning money to investors after its once-rumored “Goddess Nature Token” (GNT) failed to launch.
Some refunds have been issued “in the coming weeks,” Forbes reported on Sept. 11 as investors — such as tech-focused venture capital firm Andreessen Horowitz — waited more than a year for a launch that never happened.
Flowcarbon told investors that market conditions and opposition to carbon records were the main reasons for the refund.
Flowcarbon does not appear to have publicly disclosed the money, but a Flowcarbon spokesperson told Forbes: “It is understood that since last year we have continued to issue refunds to GNT buyers due to industry delays, with standard and customary terms to grow Flowcarbon as a leader in carbon finance.”
Although Flowcarbon has yet to launch a GNT token, it appears to be actively involved in the climate industry. Source: Fluocarbon/Ex
The refund process is said to include asking part of GNT buyers to sign a claim against Flowcarbon and its affiliates, in addition to some confidentiality clauses.
GNT is supported 1:1 by carbon credits – certificates that large companies often buy to offset carbon emissions.
These credits represent a metric ton of carbon dioxide removed or prevented from entering the atmosphere.
A carbon credit token would theoretically make it accessible to more investors to participate in the carbon market – however, few industry players have been able to make significant progress.
High-profile VCs backed Newman's climate company
Newman's company received $70 million in Series A funding in May 2022 from tech-focused venture capital firm Andreessen Horowitz, General Catalyst and Samsung NEXT, according to Crunchbase data.
At least $38 million of the round was raised through Flowcarbon's token sale, although it's unclear if retail investors were included in that total.
Related: UAE researchers launch blockchain carbon trading platform at COP28
Energy and environment-related tokens have a market value of $186 million, according to CoinGecko.
Top 5 energy brands by market value. Source: CoinGecko
Powerledger's POWR and Energy Web's EWT tokens are worth $176 million, or 94% of that market.
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