What Happened to Everledger?

The sun has set on Everledger, the Australian blockchain company renowned for tracking diamonds and other goods. The firm has entered voluntary administration after failing to secure new funding. Talk about an awkward silence at the investors’ table!

Layoffs and Liquidation: The Inside Scoop

On March 31, employees were handed layoff notices like they were party favors. By April 24, Vincents Chartered Accountants took the helm as administrators. Their first meeting with creditors was scheduled for May 8. However, I’m sure the meeting had a somber vibe, lacking the usual joyful chatter of a corporate mixer.

The Fork in the Road

The CEO, Leanne Kemp, shared that the decision was not taken lightly, describing it as a protective measure for shareholders. Apparently, the second tranche of funding vanished like socks in the dryer. Kemp noted, “There are external reasons and pressures on this investor,” suggesting it wasn’t just bad luck that led to this crisis.

Plans Gone Awry

Everledger was gearing up for its last investment round before expecting to turn a profit. Kemp insisted, “This is not a company that scaled too fast or took on venture capital and burnt it in 18 months.” But scaling is like baking a soufflé; it takes precise timing and conditions. And this soufflé, it seems, has collapsed.

Backed but Not Bounced

Everledger had big fish backing it—hello, Tencent and the Australian government! Even with a whopping $51.7 million in investment over the years, their venture into blockchain seems to have hit the rocks. It begs the question: can even well-funded startups navigate this unpredictable ocean?

The Changing tides of Blockchain

Despite Everledger’s misfortune, the blockchain revolution continues! Some companies are thriving. For instance, Hong Kong’s Global Shipping Business Network persists in building blockchain products. So, while one door closes, a window remains open for others. Maybe they’ll toss a life raft to Everledger?