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Neobank Oxygen Scores $17 Million in Series A

Neobank Oxygen Scores $17 Million in Series A

Digital banking platform Oxygen secured $17 million in new funding today. The Series A round featured participation from a sizable array of investors ranging from Runa Capital and Rucker Park, to fintech entrepreneurs like Plaid co-founder William Hockey and celebrity athletes like NFL wide receiver Larry Fitzgerald.

Added to the $7 million in seed funding the company picked up just over a year ago, this week’s investment takes Oxygen’s total capital to $24 million. In its announcement, the company noted that the financing will enable it to add talent, accelerate growth, and continue to develop its consumer and SMB banking solutions.

“This investment not only validates what we’ve built but also enables us to continue pursuing our vision of building financial tools that integrate seamlessly with the digital world of today and delight our customers,” Oxygen CEO Hussein Ahmed said. “We founded Oxygen because we wanted to provide financial services in the same way people interact with technology in their everyday lives.”

With an emphasis on both consumer and small business banking, Oxygen brands itself as the bank for “free thinkers, rebels, and entrepreneurs.” The challenger bank offers personal accounts with no monthly fees, cashback rewards, up to two-day early deposit, an Oxygen Visa debit card, and multiple virtual cards. Business customers benefit from these features also, as well as business management tools for making cash flow projections, integrating accounting solutions, creating LLCs, and mailing checks from the Oxygen app. Both personal and business accounts are FDIC-insured through Oxygen’s partnership with The Bancorp Bank.

Headquartered in San Francisco, California, Oxygen has gained more than 125,000 accounts and achieved revenue growth of more than 900x since launching at the beginning of last year. In May, the company announced a partnership with CPI Card Group to develop its own personal and small business debit cards. Tearsheet.co profiled Oxygen founder Ahmed in December.


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