WhiteSight

Neobanks’ New Normal: Dissecting the Failures and Setbacks

Table of Contents

The emergence, growth, and profitability of neobanks have always been a topic of discourse in the fintech sector. At WhiteSight, we’ve implored this curiosity by exploring the many themes around the neobanking ‘neo’velty. Whether it be climbing the hierarchy of their investment galore, following their SuperApp quest, or highlighting the exponential momentum in the space, the new battleground of neobanks has always kept us wondering about what’s cooking behind the scenes.2021 was a prolific year for neobanks. Several of them raised massive rounds of funding, became unicorns and decacorns, and expanded their global footprints. 2022 is proving to be a really challenging year for the sector. Intense scrutiny of regulators, a challenging economic environment, diminished funding & valuations, and growing fraud incidents have resulted in a sink or swim moment for neobanks. In this blog, we aim to analyse some of the past failures and setbacks in the sector to draw lessons from. We look at these incidents through the lens of four main perspectives:Shutdown: Cessation of operational activities due to fleeting measures to develop a sustainable revenue stream, inability to raise further funding, and M&A fallouts.Country Exit: Departure due to rising economic uncertainties (Brexit, Pandemic, economic slowdowns) in the […]

This post is only available to members.

Already a subscriber? Log in to Access

Unlock this blog

Gain exclusive access to this blog alone.

Radar Subscription

Select a membership plan that resonates with your
goals and aspirations.

Not Ready to Subscribe?

Experience a taste of our expert research with a complimentary guest account.

We publish new research regularly. Subscribe to stay updated.
No spam. Only the best in class fintech analysis.



    Related Posts
    Infographic table showing crypto power plays and acquisitions in 2025, including acquirer, target, value, segment focus, and strategic rationale.
    Complimentary Research
    Table showing fintech companies, their license types, license status, regulators, geography, and license objectives as of April and March 2025.
    Complimentary Research
    Infographic showing the growth of digital payments in Saudi Arabia, including e-commerce (Mada Card), bill payments (SADAD), card payments (PoS), and instant payments (sarie) from 2022 to 2024.
    Complimentary Research
    Infographic overview showing different types of loans given by Nubank in Latin America, like FGTS Birthday Withdrawal Anticipation, Investment-backed Loans, and Payroll Loans for federal employees, retirees, armed forces, state and municipal employees, and private sector.
    Complimentary Research
    Infographic design showcasing business banking services in Brazil from Itaú, Nubank, Inter, and C6, highlighting offerings like accounts, cards, payments, and POS solutions.
    Complimentary Research
    Table comparing retail banking services in Brazil between incumbent bank Itau and digital banks Nubank, Inter, and C6 Bank, showing checkmarks for available services.
    Complimentary Research
    Select currency
    WS_Logo_-for-White-BG-01.png