Oxygen Shifts Focus from Banking to Health in New Strategy

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San Francisco-based digital banking platform Oxygen has announced a temporary suspension of its banking services as it redirects its attention towards health-focused solutions.

In a statement on the company’s website, Oxygen stated that it has initiated the account closure process on March 8th, with customers being informed that their accounts will be closed by March 29th.

Customers will retain access to their accounts until March 29th, and any remaining balance will be returned via check by The Bancorp Bank, N.A. within 45 days.Additionally, deposits into Oxygen accounts will no longer be accepted after March 16th, and all services related to Oxygen Savings Accounts will cease by March 21st. Oxygen emphasized that this pause in banking services is temporary.

David Rafalovsky, appointed CEO at Oxygen last year, mentioned that amidst rapid industry changes, there’s an opportunity to redefine their role and deliver greater value to customers. Oxygen intends to focus efforts on creating a product line integrating health with financial solutions.

Founded in 2017 and launched three years later, Oxygen initially focused on providing banking services for consumers and small businesses. These services included current and savings accounts, money transfers, and cashback rewards.

In February 2023, the company secured $20 million in Series B funding from investors such as Y Combinator, Rucker Park, and Possible Ventures.