German fintech Nuri files for insolvency amid market downturn

Quick Take

  • Nuri cites the Terra/Luna collapse and Celsius’ bankruptcy filing as reasons behind the insolvency

  • The company assures users can still access funds through its app.

German fintech firm Nuri, formerly known as Bitwala, filed for insolvency at a Berlin court on Tuesday.  

The company filed for insolvency to “stay ahead of a lasting strain on the liquidity of [the] business,” Nuri wrote in a blog post. While citing macroeconomic issues caused by the pandemic and Russia's invasion to Ukraine as factors leading to the decision, the firm mentioned the Terra/Luna collapse and crypto lending firm Celsius’ insolvency as reasons behind the filing. 

Celsius suspending withdrawals had affected the company and its bitcoin interest product, Nuri said in June. 

The insolvency proceedings will not affect users’ funds, Nuri assured, thanks to the firm's partnership with Solarisbank, another Germany-based fintech firm. Users can still access their deposits of euro, bitcoin, ether and Nuri Pot investments through the app. 

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy