Published: Fri, April 21, 2017
Hi-Tech | By Ellis Neal

Smart Card Plastc Files For Bankruptcy

Smart Card Plastc Files For Bankruptcy

The smart card maker sent a message to backers (which now also graces the startup's homepage) announcing that it's "exploring options" for filing Chapter 7 and, more importantly, is shutting down all operations as of today.

Meantime, existing investors kept the company afloat, but it takes a lot more than keeping-afloat-money to actually get a product into production. It was heralded as the next big all-in-one payment card: It could hypothetically store the details of 20 different debit or credit cards, sported an E-ink screen, and dazzled many tech enthusiasts with its super slim 0.8 millimetre width.

We've reached out to CEO Ryan Marquis for comment, but I'm not really getting my hopes up.

Basically it sounds like the company's investors and potential investors made a decision to pull out which meant that they were left without sufficient funds, but ultimately it seems that they weren't able to keep themselves afloat and had to shut down.

According to Crunchbase and other public records, Plastc's venture backers invested $4.3 million (£3.3 million) in the company.

"Without the necessary capital to continue, all employees have been let go, which means that Customer Care and Social Media channels are unmanned or have been shut down", the company states. The principal investment group postponed, then eventually terminated its round of funding according to the company.

Plastc is just the latest contender in the "smart credit card" space to go out of business. It found another investor willing to sink $6.75 million into the venture, but it backed out at the last minute.

The support of our unbelievable backers has been incredible, which makes this announcement even harder. The company said that it is "disappointed and emotionally distraught, and while we know this is extremely disappointing for you" referring to the 80,000 hopeful who supported Plastc's vision and lost their financial investments, it "did everything (it) could to make Plastc Card a reality".

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