Germany’s Gen Z neobank Ruuky files for insolvency
German Gen Z-focused neobank Ruuky, formerly Pockid, has announced it has filed for insolvency after failing to raise additional funding.
Writing on LinkedIn, the firm says that due to “challenging times” and despite its best efforts, “we were unable to overcome the market dynamics to raise additional funding”.
Ruuky says the decision to file for insolvency “was not taken lightly” and has assured customers that all their funds are secured and its app is still “fully accessible”.
The neobank was founded in 2020 in Hamburg by Jes Hennig (CEO), Max Schwarz (chief marketing officer), Timo Steffens (chief financial officer) and Deepankar Jha (chief technology officer).
It had raised a total of $4.5 million from three investors: Cavalry Ventures and Vorwerk Ventures most recently, and early-stage accelerator NCA at pre-seed level.
CEO Hennig writes on LinkedIn: “I still strongly believe in Ruuky and our vision, though this is one of the toughest and saddest moments of my professional career.
“We keep the daily business running and we remain committed to finding a way forward and exploring every possible option to keep the dream of Ruuky alive.”
The firm offered a “social interactive banking experience” with a virtual and physical Mastercard debit card designed to help those around the age of 18 get to grips with current account fundamentals.
The news comes just months after fellow German neobank Nuri filed for insolvency due to “significant macroeconomic headwinds and the cooling down of public and private capital markets” putting a strain on the firm’s liquidity.