> Perhaps they started hiring on the expectation of being able to raise money, but that seems unprofessional and disrespectful towards the candidates, no?
They were 100% doing this, and that's pretty much the base case for any VC-funded startup. If you believe this to be disrespectful than I advise you to stick with profitable/public employers.
If anything, appreciate that they didn't try to hire you in spite of their financial squeeze, then end up laying you off a few months later with minimal severance because they overran their runway.