E3 Capital has led a USD 6mn seed round for Carbon Value Exchange (Cavex) to bring its digital carbon financing platform to commercial viability. Also investing in the seed round is FSD Africa Investments (FSDAi) which has committed USD 3mn.
Cavex links carbon credit buyers to small producers of carbon credits across Africa. This includes farmers and small businesses and enables them to sell directly to corporate buyers. It aims to channel over USD 500mn in carbon financing to small-scale green projects by 2030.
E3 Capital invested through its second fund the E3 Low Carbon Economy Fund (E3 LCEF I). And it will support the company to launch a platform that utilises digital technologies to increase trust, equity, and transparency in the voluntary carbon markets.
About Cavex
The company remotely captures real time data on projects’ activities and calculates how much carbon is being displaced or removed as a result, meaning buyers will have complete transparency of the credits they are buying. And for sellers supports them with validation, issuance and brokerage.