Exclusive: Lucy Guo, the 29-year-old Self-Made Millionaire, Secures $40 Million Series A Funding for Creator Economy Venture, Passes

Lucy Guo, already renowned as a self-made millionaire and co-founder of the unicorn company Scale AI, has now revealed an exclusive update to ImpactWealth: her latest endeavor, Passes, has successfully secured a significant $40 million Series A funding round. This venture marks Guo’s foray into the creator economy, aiming to revolutionize how content creators monetize their platforms.

Passes, which initially garnered $9 million in seed funding back in 2022, has now attracted major investors, led by San Francisco-based Bond, spearheaded by Kleiner Perkins alumni Mary Meeker and Mood Rowghani.

This latest round also saw participation from prominent figures in the tech and media industries, including Skims co-founders Emma and Jens Grede, as well as Crossbeam Ventures, the brainchild of Creative Arts Agency co-founder and former Disney president Michael Ovitz.

So, what exactly is Passes, and why has it captured the attention of Silicon Valley’s elite?

Empowering Content Creators

Passes serves as a social platform designed to empower content creators by providing them with diverse revenue streams directly from their audiences. With Passes, influencers with at least 100,000 followers across various social platforms can offer exclusive content to paying subscribers, engage with fans through messaging and live streaming, host one-on-one calls, and receive tips.

“I believe creators are small businesses, and it’s Passes’ goal to turn them into large businesses,” Guo explained to Fortune.

Traditionally, social media influencers rely on brand deals for income, leading to inconsistent earnings dictated by the whims of companies and platforms. Passes aims to provide creators with more stable and diversified income streams, offering features like screenshot-blocking technology and automated sales messages to enhance their monetization efforts. Guo also plans to integrate AI technology into the platform to further streamline sales processes.

From Pokémon Cards to Tech Entrepreneurship

Guo’s journey into entrepreneurship began in elementary school when she sold Pokémon cards to friends and taught herself how to code. After stints as a product designer at Snapchat and Quora, she co-founded Scale AI in 2016, a company now valued at $7.3 billion. Following her departure from Scale AI in 2018, Guo ventured into venture capital with Backend Ventures, making early-stage investments in several unicorns.

Despite her success in the tech and investment spheres, Guo’s focus has shifted to growing Passes, which currently supports 900 creators and 500,000 fans. Notable users on the platform include America’s Got Talent runner-up Anna DeGuzman, workout influencer Alysia Magen, and relationships therapist Jeff Guenther. Guo revealed that Passes’ top 10 creators are on track to earn over $1 million this year, with the platform generating revenue through a combination of transaction fees and a percentage cut.

Addressing Creator Frustrations

The rise of platforms like Passes comes amidst growing frustrations among creators with major social media platforms. Instagram and TikTok have attempted to address these concerns with features like monetary gifts and creator funds, but many creators find these initiatives insufficient. Passes aims to provide a more sustainable and lucrative alternative for content creators seeking greater control over their monetization strategies.

As the creator economy continues to evolve, ventures like Passes are poised to reshape the landscape, offering creators newfound opportunities for financial independence and creative autonomy. With Lucy Guo at the helm, Passes is poised to make a significant impact on the future of content creation and monetization.

Lucy Guo Biography