Oxygen
“Can a YC-backed neobank for gig-economy workers and SMBs relaunch its embedded finance platform after pausing its sponsor-bank-dependent deposit program?”
Founded2018
HQPrinceton, NJ, USA
Total raised$20M+
Latest roundSeries B (implied), 2023
IndustryFintech / Neobank
The story
Oxygen launched in 2018 as a YC-backed neobank targeting gig-economy workers and SMB entrepreneurs, using The Bancorp Bank as its sponsor bank for deposit accounts. After raising a $20M round and appointing a new CEO in 2023, the company pivoted away from active consumer banking; by March 2024, its banking services had been paused and The Bancorp Bank ended the deposit program. The current oxygen.us homepage indicates the company is pursuing 'new and exciting initiatives' under parent entity Vativis, signaling a potential relaunch or pivot rather than a full shutdown.
Product timeline
2018
Oxygen founded as a banking service and accepted into Y Combinator.· banking
2020
Launched as a neobank targeting mid-to-high income millennials, gig economy workers, SMBs, and entrepreneurs.· banking
2023
Raised $20M round from new and existing investors and appointed a new CEO.· pivot
2024
Paused banking services; The Bancorp Bank, N.A. ended the Oxygen Deposit Account program on March 29, 2024.· pivot
Regulated entities
Deposit program via sponsor bank
US
The Bancorp Bank, N.A. (sponsor)
The stack
Banking / BaaS
Open banking
Sponsor bank
Accounting gap: none