Revolut scores European banking licence
Revolut has unveiled plans for full current accounts, consumer lending and commission-free stock trading, as the London-based fintech is granted a European banking licence.
While the licence has been secured, it will take between three and six months for Revolut to begin implementing their banking licence across Europe, initially concentrating on the United Kingdom, France and Poland.
Speaking to Malta Blockchain Wire, Dimitris Litsikakis, Country Manager for Revolut Greece, Cyprus and Malta commented “We’re incredibly excited to announce that our application for a European banking licence has been approved by the European Central Bank. As you can imagine, this is a pretty huge milestone for us.”
Litsikakis added, “This licence will help us towards our goal to build an account where you can manage every aspect of your financial life, with the best value and using the best available technologies.”
This year has seen Revolut go from strength to strength quite rapidly. During SiGMA, Litsikakis announced Revolut’s plans to expand beyond Europe, with operations in the United States, Canada, Singapore, Japan, Australia and New Zealand all expected to launch in early 2019. This up-and-coming global expansion will allow European Revolut users to receive local account details in all new markets, and even send money transfers to these markets both for free and instantly.
The new banking licence will allow its customers to start depositing their salaries, which will be protected up to €100,000 under the European Deposit Insurance Scheme. Revolut will also begin to work on offering overdrafts, personal and business loans at competitive rates to traditional high street lenders.
Nik Storonsky, Founder & CEO of Revolut, noted “With the banking licence now secured, commission-free stock trading progressing well and five new international markets at final stages of launch, we are living up to our reputation as the “Amazon of banking”. Our vision is simple: one app with tens of millions of users, where you can manage every aspect of your financial life with the best value and technology.”
Apart from launching in international markets and building a commission-free trading platform, one of the key focus areas for the company is to break into lending. Revolut plans to offer standard overdraft facilities as well as personal and business loans at competitive rates.
Litsikakis remarked, “Revolut remains the fastest growing fintech account in Malta, but that’s still not good enough. We’re not going to stop until Revolut is the most common card in the whole of Malta, and I’m confident we’ll get there once we begin to roll out full current accounts, consumer lending and commission-free stock trading across the country.”
Launched in 2015, Revolut is a digital alternative to the big banks by former Credit Suisse and Deutsche Bank investment bankers, Nik Storonsky and Vlad Yatsenko. While the fintech company initially drew in customers by letting them spend and transfer money abroad with the interbank exchange rate, it has since attracted over three million customers in Europe with its spending overviews, budgeting controls, savings features and cryptocurrency exchange.