Africa Web3 Startup Mara Burned Through $15.9 Million In 2022

In a report by Tech Cabal, African Web3 startup Mara reportedly lost $15.9 million in 2022 according to financial records.

Details

According to audited financial statements obtained by Tech Cabal, Mara spent $9.1 million on salaries, bonuses, and allowances. The company had a total of 130 employees according to an internal source in the company.

Digging Deeper

Mara had raised $23 million from Alameda Research, the trading arm of FTX, Coinbase Ventures, and 100 other investors in May 2022.

By the end of 2022, the company had $5 million left in its account. Mara tried to raise new funding in 2023 in the range of $2 – $3 million but was not successful.

Burning Through Cash At A Rapid Clip

Mara directors reportedly earned a combined $2.6 million. Out of the five C-suite executives (except the CEO), three earned $170,000 each, a fourth earned $120,000 while another earned $600,000 annually.

The company also hired away employees from Apple and Yellow Card but sources say those hires failed to deliver.

Pivot To “Jara”

Mara CEO Chineyere Nnadi reportedly registered a new crypto company called Jara, replacing Mara due to its poor reception. The CEO reportedly personally invested $700,000 of his personal funds into the new entity.

Zoom Out

In September 2022, the startup was announced as the official sponsor of Ghana’s National Football team. Mara reportedly invested $1 million as its sponsor.

The company was also the main sponsor of the Ghana Women’s Premier League for that year.

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