Nuri became the first German fintech company to file for bankruptcy on Tuesday, largely due to the downturn in the cryptocurrency market.
Nuri tried to save itself with a last round of funding, but failed to secure new investors or sell itself, and just hours ago declared bankruptcy.
In the wake of the coronavirus pandemic and under the weight of the economic and political uncertainty caused by the war in Ukraine in the markets, "the global startup system is under great pressure", the company says in its announcement and points to the recent negative developments especially in cryptocurrency market.
After the declaration of bankruptcy, the company is managed by a special administrator.
Nuri was founded in 2015 under the name Bitwala and was until recently one of the most important fintech companies in Germany, with around 500.000 customers.
According to the company, customers are risk-free as their funds – in fiat and cryptocurrency – are secured by Fintech Solaris Bank.
Source: KYPE