Whatnot, a popular livestream shopping platform where users can sell trading cards, comic books, sneakers and other collectibles via live video, recently raised $265 million. It was acquired through a Series E funding round and brings the company’s overall valuation to around $4.97 billion. This major investment marks the rapid growth of the livestream shopping sector in the US.
Importance of new investments
This funding round is an important milestone for Whatnot. According to investors, this platform has the potential to further capture the market through innovation in collectible and specialty items. The new capital will help the company enter new segments such as artwork, golf products and vinyl records.
In addition, Whatnot is developing new tools for sellers, which will simplify inventory and order management. It aims to provide effective solutions for sellers to expand their business.
Expansion Plan
Whatnot will soon start operations in Australia and plans to enter other European markets by the end of the year. The platform currently operates in the US, UK, Canada, France, Germany, Austria, Netherlands and Belgium.
Continuity of establishment and development
Whatnot was founded in 2019 under the leadership of Grant LaFontaine and Logan Head. It was originally designed to sell collectible items, such as sports trading cards, comic books, and action figures. Over time, the platform added products including apparel, electronics and live plants.
Unique features
One of the interesting features of Whatnot is the “sudden death” auction, where the last bidder wins the lot. Sellers can offer time-limited discounts on products through the recently launched Flash Sale. Countdown clocks during live streams create urgency among shoppers.
In 2024, the platform introduced a new rewards system, which allows shoppers to claim rewards after completing certain tasks. It enhances the connection between buyer and seller.
Employee and share buyback initiatives
In addition to raising money, Whatnot is going to launch a tender offer to buy up to $72 million of shares. Through this initiative the company will financially support its 600 full-time employees. A stock buyback process often signals that a company is financially strong and has future plans for employees.
Role of investors
Led by Avra, DST Global and Greycroft, the round included Andreessen Horowitz (a16z), CapitalG, BOND, Durable Capital Partners and Y Combinator. To date, Whatnot has raised approximately $746 million.
financial achievement
Whatnot reported that their annual gross merchandise value (GMV) of live streaming sales recently exceeded $3 billion. This represents a significant increase from last year’s GMV of $2 billion.
This investment and expansion plan will further strengthen Whatnot’s leadership position in the market. Whatnot is emerging as a favorite platform for collectors in this new era of livestream shopping.
