How Whatnot’s founders turned 100 investor rejections into an $20 billion live-shopping rocket ship

Whatnot, a live-stream shopping app, has skyrocketed to an estimated $20 billion valuation, overcoming 100 investor rejections along the way. Co-founders Grant LaFontaine and Logan Head, inspired by their shared love for collectibles, launched the app in December 2019. After applying to join Y Combinator, they faced numerous challenges, including a nerve-wracking first livestream auction.

Despite selling out within just two and a half hours, the duo remained excited, having sold more Funko Pop figurines than they could have on eBay in a year.

As the Covid-19 pandemic struck, the stay-at-home order helped Whatnot grow exponentially. Since then, the platform has achieved a $20 billion valuation and added over 20 million new users, with one in eight relying on it as a full-time job. The founders aimed to target a passionate collector base by requiring sellers to appear on camera with their stock, preventing fraud and fostering customer service.

Inspired by the Chinese livestreamed auctions, Whatnot has brought this trend to America, specializing in trending items from rare clothing to sports memorabilia. The app has evolved from its collectibles niche to over 250 product categories, even helping small business owners expand their brands. With over 1 billion orders in the past month, Whatnot continues to redefine live-stream shopping in America.