And the CFDA x eBay Circular Fashion Fund Winner Is: Refiberd

Scaling AI Innovation to Accelerate Circular Fashion

Last month, the CFDA x eBay Circular Fashion Fund spotlighted the bold ideas reshaping fashion’s future—and awarded its top global prize to Refiberd. This U.S.-based startup stood out among finalists from the U.K., Germany, and Australia for its AI-powered textile recycling technology. Backed by a $300,000 investment from eBay Ventures, Refiberd’s win is a testament to the momentum building for circular fashion systems that keep valuable materials in circulation and out of landfills. Refiberd’s Co-founder and CEO, Sarika Bajaj, was named Circular Fashion Innovator of the Year for leading the development of technology that uses hyperspectral imaging and artificial intelligence to accurately identify fabric composition. By addressing one of the biggest barriers to textile-to-textile recycling—complex fibre blends and widespread mislabeling—Refiberd’s high-speed solution unlocks the potential for efficient, cost-effective sorting at scale. 

“This funding will accelerate our impact and help build a future where circular fashion is the norm—not the exception.”— Sarika Bajaj, Refiberd Co-founder & CEO

Canopy’s Role: Scaling Change Through Strategic Support

Throughout the Circular Fashion Fund process, Canopy was invited by CFDA to mentor Refiberd as they prepared for the global pitch stage. From refining messaging to navigating the complexities of scaling in the fashion sector, the collaboration was an opportunity to share insights from years of working with brands and innovators advancing low-carbon, circular, and forest-friendly solutions.

Joshua Katcher, Canopy North America Hub Strategist and circularity advocate, was at the event:

“Refiberd represents the kind of breakthrough innovation the fashion world needs right now,” said Katcher. “It’s been an honour to support their rise and to see an idea with so much promise turn into a solution with real impact.”

Turning Waste Into New Value

Every year, the fashion industry generates more than 92 million tonnes of textile waste — much of which ends up in landfills or incinerators due to the lack of scalable systems to accurately identify and sort materials. That’s not only a waste of valuable fibres, it’s a missed opportunity to ease pressure on the world’s forests.

Textiles like rayon and viscose are currently mostly made from forest-derived fibres, often sourced from Ancient and Endangered Forests. Without circular infrastructure in place to turn discarded clothing and production scraps into new fibres, there is a continued demand for these forest-based materials.

Innovative technologies — like those developed by Refiberd and other solution providers — bring much-needed speed and precision to fibre sorting, making it possible to recover usable materials at scale and reduce reliance on high-impact forest inputs.

This isn’t just about recycling — it’s about redesigning the system to value resources, extend product lifecycles, and keep both textiles and trees out of the waste stream.

What’s Next

The momentum generated through the CFDA x eBay Circular Fashion Fund is part of a larger shift — a growing ecosystem of innovators, brands, and changemakers working to reshape fashion’s relationship with the planet. Scaling circular, low-carbon, and forest-friendly solutions takes more than a great idea; it takes collaboration, aligned values, and the collective will to reimagine supply chains from the ground up.

At Canopy, we’re proud to walk alongside a diverse group of solution providers who are redefining what’s possible — from recycled textile inputs to agricultural residues and other Next Gen materials. Their breakthroughs are helping accelerate a transition to systems that work in harmony with nature, rather than at its expense.

Refiberd’s win is one step forward in a much larger movement — one powered by shared vision and deep collaboration. We look forward to continuing to support and connect the people, ideas, and innovations that are making circular fashion a reality.

Watch ‘Ebay x CFDA Circular Fashion Fund Final supported by Vogue Business — Sizzle reel → https://youtu.be/Dpm_czi7Eaw 

Learn more about Canopy’s Next Gen Solutions → https://canopyplanet.org/next-generation-solutions