Youth-focused neobanking startup Muvin has shut down its operations, resulting in layoffs for its entire team. The closure, confirmed around February 2024, was a direct consequence of a Reserve Bank of India (RBI) directive in June 2023 that prohibited UPI services in co-branding arrangements for entities without a Prepaid Payment Instrument (PPI) license. This regulatory change forced Muvin, which catered to teens and young adults with prepaid cards and an app, to discontinue its core services. The fintech startup, which had raised $3 million in a pre-Series A round in early 2022, found itself unable to operate its business model and reportedly faced challenges in securing further funding, leading to the complete wind-down of the company.
