The camera, billed as "the world's smallest wearable camera" has become the latest technological hit on Kickstarter, the "crowd funding" website.
As well as a five megapixel digital camera, the device will feature a GPS chip to keep track of owners' locations and automatically log and organise pictures via a specially-created iPhone and Android app, The Telegraph reported.
Memoto claims the battery will last two days.
"Many fantastic and special moments become blurred together after a while and it feels like life just rushes by, too fast for us to grasp," said the Swedish start-up behind the project.
Memoto describes the project as "lifelogging" technology and plans to ship its first finished cameras in February next year.
"The camera and the app work together to give you pictures of every single moment of your life, complete with information on when you took it and where you were," said Memoto.
"The way this works is that the photos are organised into groups of "moments" on a timeline," said Memoto.
"On the timeline, you're presented with keyframes (about 30 per day) each representing one moment. You can tap a moment to relive it in a stop-motion like video of all the pictures in that moment," Memoto said.
"This enables you to not only browse your life the way you remember it, but to search for specific events of your life who was it that you met at that party or what did the sunset look like in Lapland in June?" Memoto added.