Myceen: From forest fungi to carbon-negative construction 

Published on June 18, 2025
 

In a world racing toward decarbonization, where architecture, art, and climate solutions rarely meet, one Estonian startup dares to ask: Can mushrooms build the future? 

Founded in Tallinn, Myceen is not your average cleantech company. At its core lies mycelium — the root-like structure of fungi — which Myceen transforms into high-performance, carbon-negative materials.
From designer lamps and acoustic panels to insulation-grade building blocks, Myceen’s products are grown, not manufactured. They are biodegradable, beautiful, and born from waste.
 

 

From Design Objects to Carbon-Negative Construction 

Myceen’s early creations were deceptively simple: sculptural plinths, organic lighting fixtures, and sound-absorbing wall tiles. But behind the art was deep science. The company combines agricultural and forestry waste with mycelium to create a growing medium, which — at just 25°C — produces dense, durable, and fire-resistant materials. 

These products are now shipped to over 15 countries, from Singapore to the United States. As interest grew, so did Myceen’s ambition: to build sustainable structures, not just objects. 

 

A Creative Breakthrough: Creative Business Cup 

In 2022, Myceen's turning point came at the Creative Business Cup (CBC):

  • They won Creative Business Cup Estonia 

  • Claimed the BRUNO Design Award, Estonia’s highest design honor 

  • And at the CBC Global Finals in Copenhagen, they placed in the Top 5 worldwide 

  • Most notably, they were named the event’s "Most Investable Startup" 

CBC provided more than trophies — it offered global exposure, mentorship through the Creative Business Academy, and access to an investor network that valued both creativity and climate action. 

 

A Mycelium House? Yes, Really. 

In November 2024, Myceen launched its most daring project yet: the PAKK Pavilion in Tallinn, Estonia — an experimental micro-house insulated entirely with mycelium. Designed in collaboration with Pattern Building and sLender modular facades, this structure is one of the first in the world to compare mushroom-based insulation with traditional mineral wool. 

The results? Striking. 

  • Thermal insulation on par with standard materials 

  • 75% sound absorption for high frequencies 

  • Fully compostable, non-toxic and mold-resistant 

  • Net-negative carbon footprint 

 

Myceen Funding Journey

To bring its vision to life, Myceen secured €2 million in public grants from: 

  • Enterprise Estonia (EAS) 

  • EIT Climate-KIC 

  • Horizon Europe 

  • Beamline Accelerator 

  • The Estonian Ministry of Climate 

  • SoTecIn Factory (EU program) 

  • The German Ministry of Culture 

In 2024, the startup launched a seed round targeting €1–1.5 million to build a pilot factory, automate production, and begin industrial-scale delivery. Investors, including the Japanese impact fund Mistletoe, took notice. 

Their timing is impeccable. The EU aims to renovate 35 million buildings by 2030, and Myceen’s insulation is a certified contender in that race. 

 

From Northern Forests to the Global Stage 

Myceen has since showcased its work at: 

  • The Tallinn Architecture Biennale 

  • Urban Brilliance at H22 in Helsingborg 

  • Exhibitions in Milan, London, and Berlin 

And now, with backing from SoTecIn Factory and EU innovation programs, they’re preparing to go mainstream. 

 

 

It’s a vision that began with mushrooms—and is now rooted in a global movement for change.