Freiburg, Germany-based Carbonfuture, a digital MRV platform and marketplace for high-quality carbon removal credits, announced that it has raised €5.5M in a fresh round of funding.
The investment was led by existing investors Carbon Removal Partners, Übermorgen Ventures, and WiVenture.
The round also saw participation from tech4good venture capital fund, 4impact capital, and Sustainable Future Ventures.
Carbonfuture says it will use the funds to grow its presence with a focus on the US market, in order to meet the growing demand of customers.
This will be done by expanding the variety of carbon removal technologies that its platform supports and by opening up its platform services to more ecosystem partners.
The market for carbon removal credits is rising as businesses cut their greenhouse gas emissions but realize that their internal efforts alone won’t be enough to meet their climate goals.
By 2030, it is anticipated that the market for carbon credits would be worth $50B.
However, this expansion may be threatened by low-quality credits that fail to live up to their promises of additionality or durability.
This is where Carbonfuture has stepped in to make a difference.
Founded in 2020 and currently led by CEO Hannes Junginger-Gestrich, Carbonfuture is a platform and vetted marketplace for companies who are serious about removing carbon from the atmosphere.
Carbonfuture claims to have established the world’s leading MRV (monitoring, reporting, verification) system for carbon removal.
The startup enables a “high-quality” credit market to scale rapidly while delivering environmental benefits. Its platform integrates carbon tracking, third-party credit standards, and financing tools across carbon removal technologies, to ensure credit quality for buyers and sellers.
Carbonfuture’s clients include some of the largest carbon removal buyers in the world, including Microsoft, SwissRe, Klarna, and South Pole.
The company operates globally with offices in Freiburg, Germany, and San Francisco, US.
Read more on Tech Gist Africa:
Germany’s Knowunity books €10 million
HTGF rolls out €400 million to back early-stage startups in Germany