Plastiq Files For Bankruptcy As Fintech Troubles Mount

5/26/23, 5:00 pm: The fourth paragraph of this story has been updated with new information obtained after publication.

As the venture capital funding market remains depressed and interest rates hover at 15-year highs, more fintech startups are going through dramatic upheavals. This month alone, two venture-backed fintech startups have announced new owners and one has shut down completely. On Wednesday, a fourth struggling fintech, Plastiq, filed for bankruptcy protection, and a bargain-price acquisition is in the works. Three of those four–Plastiq and recently sold Rize and Ribbon–appeared on Forbes‘ February 2023 list of 25 struggling fintechs that were likely to be acquired or shut down.