I've long admired how technology can bridge gaps in traditional industries, and Blackbird Labs is a stellar example. Founded by Ben Leventhal, a serial entrepreneur known for Resy and Eater, Blackbird is taking a bold leap into the restaurant tech space. With $50 million in fresh funding, the startup is positioning itself as a game-changer in loyalty and payment systems—powered by blockchain.
A New Spin on Loyalty: Meet the Blackbird Club
What excites me most about Blackbird is its plan to launch the Blackbird Club, a cross-restaurant points service that could redefine customer engagement. Imagine earning and redeeming points across a wide network of eateries—that’s exactly what they’re building. With over 1,000 restaurants already on board, including hotspots in New York, San Francisco, and even Charleston, the momentum is real.
Why Charleston, you might ask? According to Leventhal, it's a surprisingly vibrant food scene and an ideal test market—much like how Meta used New Zealand in its rollout strategies.
Strategic Investors and Blackbird’s Growth Plan
This Series B round was led by Spark Capital, with continued backing from Coinbase Ventures, Amex Ventures, and Andreessen Horowitz (a16z). That’s a powerhouse lineup of strategic investors. It’s no surprise, given Leventhal’s track record and the promising direction of Blackbird’s technology.
To date, the startup has raised $85 million, and while its valuation hasn't been disclosed, PitchBook estimated it at around $124 million during its Series A in 2023.
What stands out is how Amex Ventures and Coinbase aren’t just financial backers—they’re strategic allies. Amex, for instance, previously acquired Resy, another of Leventhal’s ventures. And with Blackbird's Flynet service built on Coinbase’s BASE blockchain, the integration potential is huge.
Flynet: Blockchain at the Heart of Restaurant Payments
Let me break it down. Blackbird’s Flynet is a layer-three blockchain protocol that allows diners to pay at the table using an app. Users can also redeem loyalty points seamlessly—cutting friction in the transaction process.
I’ve heard skepticism about whether blockchain is even necessary in restaurant tech. Leventhal himself admits that it’s not essential—but strategic. Just like Visa’s early networks, Blackbird is using blockchain to enable transparency and user-owned data models. Over time, this could empower both customers and restaurants.
Giving Power Back to Restaurants and Diners
One reason I’m rooting for Blackbird is because of its long-term mission: democratizing the value chain in hospitality. Today, restaurants are forced to give up significant margins—sometimes up to 30%—to third-party platforms. That’s simply unsustainable, especially when average profit margins have dropped below 5%.
By building a system where both restaurants and diners own their data and have equity, Blackbird is realigning incentives in a more equitable way. According to a16z’s Arianna Simpson, this ownership model is only possible through blockchain.
Saving 3–4% on Processing Fees—Instant ROI
Another practical benefit? Blackbird claims it's already saving restaurants 3–4% in payment processing costs. That’s significant when you're operating on razor-thin margins. For small restaurant owners, every percentage point counts—and this kind of cost-efficiency could be a lifeline.
Why I Think This Matters for the Future of Dining
Even though social media has turned food into a global obsession, the restaurant industry is hurting. Changing consumer habits, rising costs, and shrinking profits are creating a perfect storm. Yet I see companies like Blackbird turning crisis into opportunity.
With a product that’s both innovative and practical, Blackbird is building a network that benefits the people who matter most—restaurant owners and loyal diners.
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