Flowcarbon, the blockchain startup founded by former WeWork head Adam Neumann, has quietly begun refunding investors, according to Forbes.
Flowcarbon focuses on creating a carbon credit market using distributed ledger technology. Most of these instruments are sold through brokers or the issuers themselves. Many critics argue that the process is complex and opaque.
The startup is developing a platform that allows the burning of Goddess Nature Token (GNT) to offset CO2 emissions.
The launch of GNT was initially planned for late June 2022, but in July, the company’s CEO, Dana Gibber, announced a delay due to unfavorable market conditions.
According to Forbes sources, the reason for the investment refunds was again attributed to market conditions and resistance from carbon registries.
The refund process reportedly included a request for GNT buyers to sign a waiver of claims against Flowcarbon and its affiliates, in addition to certain confidentiality terms.
“It is well known that since last year we have been offering refunds to retail buyers of GNT due to industry delays, on standard and customary terms, as we continue to develop Flowcarbon as a leader in carbon finance,” a startup representative told the publication.
In May 2022, Flowcarbon raised $70 million from Andreessen Horowitz, General Catalyst, Samsung Next, Invesco Private Capital, and other investors.