R Europe (formerly Seedrs)’s Post

Revolut receives UK banking licence, but reasons to remain sceptical Read the full article: https://bit.ly/3WQ7zNv Revolut’s ‘restricted’ licence has been granted to an empty subsidiary. The current UK E-Money Institution (EMI) remains the entity serving, owning, and holding all nine million UK clients. Only after full authorisation can Revolut serve UK clients as a bank. The Prudential Regulation Authority (PRA) of the UK has agreed with Revolut to categorise the company as a ‘mobilisation stage’ candidate for a potential fully authorised UK banking licence. Revolut, founded on 1 July 2015, has 45 million users internationally and first applied for the UK banking licence in January 2021. Putting Revolut into mobilisation stage can be perceived as much an insult as an achievement. Nik Storonsky, Revolut; David Gyori, Banking Reports; Financial Conduct Authority; Financial Services Compensation Scheme TAB Global #revolut #ukbankinglicence #fintech #cryptoincome #compliancerequirements #mobilisationstage #emi #prudentialregulationauthority #financialconductauthority #financialservicescompensationscheme #itlegacy #bankinglicence #regulatoryhurdles #cryptoassets #digitalbanking #theasianbanker #tabglobal

US banking licence not on Revolut’s “immediate roadmap” but is long-term ambition, says Revolut’s US boss: Obtaining a US banking licence is not on Revolut’s “immediate roadmap” but becoming a US-licenced bank is its long-term ambition, according to the fintech’s US CEO. In a podcast interview, Siddhartha Jajodia, the US boss of the European fintech giant, revealed details of Revolut’s progress and plans in the US market, where he says it now has close to one million customers after over two years in the US market. In the US, Revolut submitted a draft application for a banking licence with the Federal Deposit Insurance Corporation (FDIC) in March 2021, the first step to applying for a full licence. However, it has yet to submit a formal application for an official US banking licence. Source: https://lnkd.in/eX39_T-K #banking #neobank #revolut #challengerbank #digitalbanking #bankingindustry #fintech #fintechindustry #financialtechnology #utureofbanking 

For anyone interested in what Revolut's banking licence approval means for consumers and the market, I covered it in last weeks edition of The Memo! https://lnkd.in/eDwM6G9a

In case you missed it, Revolut just achieved a huge milestone by finally receiving their UK banking license after a 3-year wait. Here are some points of reflection that have arisen from this occasion: ⚫ With a banking license, Revolut must now adhere to comprehensive risk management standards involving financial health monitoring and rigorous AML standards. ⚫ The bar has been raised for fintech firms as a result of this. There is now more pressure to develop robust risk management strategies that can withstand regulatory scrutiny, whilst safeguarding customer interests. ⚫ It’s also interesting to point out that perhaps there is increasing pressure on traditional banks because of fintech firms such as Revolut. Maybe this will compel the traditional banking sector to modernize its operations, embrace digital transformation, and offer more competitive services. Revolut’s milestone raises intriguing questions about the future of digital banking. As more fintech companies seek banking licenses, we might witness a blurring of lines between traditional banks and fintech firms. So, what will the banking landscape look like in a decade? 🏦 Read more here: https://lnkd.in/dsNs7EA9 #Fintech #Startup #Revolut

Revolut's recent acquisition of a UK banking license marks a pivotal moment in the fintech industry, highlighting the evolving regulatory landscape and the integration of fintech firms into mainstream financial systems. The three-year journey to secure this license involved rigorous scrutiny from the PRA and FCA, underscoring the high standards for operational risk management, capital adequacy, and governance structures required for such licenses. In APAC, Revolut operates in Australia, New Zealand, Singapore, and Japan, with notable growth in Australia and profitability in Singapore for two consecutive years. The UK banking license is expected to bolster Revolut's competitive position in both Europe and APAC, where regulatory credibility can enhance consumer trust and market share. It will be interesting to observe Revolut's performance over the next two years, particularly in leveraging its new status to expand services and capture a larger market share in these diverse and competitive regions. #fintech #digitalbanking https://lnkd.in/gDcuJpEe

Revolut profits soar as CEO remains hopeful of UK banking licence. 📈 Revolut has posted a record pre-tax profit of £438m off the back of a 95% surge in revenue as the British fintech’s chief executive remains confident in securing a UK banking licence. The group posted revenue of £1.8bn for the year ended 31 December 2023. The results, released on Tuesday, represent Revolut’s third successive year of profit. Revolut said its growth was partly down to its focus on income diversification. The company has long had the aim to create a ‘super app’ containing every financial service users might need. ➡️ https://lnkd.in/eFXGBuzQ 🔗 #fintech #profits #banking #diversity #financialservices #tax #UKtech

It’s exciting to see more large Fintechs entering into traditional banking after conquering the payments industry. This also means challenging and interesting times for regulators and supervisors to ensure a safe and sound banking system while adapting to new technologies and business models.

A big milestone! Revolut has been granted a UK banking licence with restrictions. Now the company enters the ‘mobilisation stage’ which will allow it to complete the work of building the best possible banking experience for its British customers 🙌 🇬🇧 Revolut serves 45 million customers worldwide, including 9+ million of customers in the UK 🇬🇧 Revolut strives to deliver faster, better, smarter products and services, and it announced today it has been granted a UK Banking licence 🇬🇧 This is an important step for Revolut, as it moves towards launching a full bank in the UK 🇬🇧 Revolut has now started the ‘authorisation with restrictions’ phase which allows it to complete the set-up of all changes that come with being a bank 🇬🇧 For existing UK customers, nothing changes at the moment More datails in global i.e. Financial Times 🌐 (vide link): https://lnkd.in/dM8WGhBA and in local media i.e. Puls Biznesu 🇵🇱 (vide link): https://lnkd.in/djx7Kkvj

The future of banking is now

Huge News coming out yesterday morning which I'm sure everybody has already seen! Revolut is now authorised with restrictions as a UK Bank 🚀 It really is an incredible time to be working at Revolut, since I joined over 17 months ago the growth of the company has been nothing short of incredible. The product evolution is a testament to the fantastic team working behind the scenes. The UK banking license really is the cherry on the cake 💪 . At Revolut, we serve 45 million customers worldwide, with 9+ million of our customers in the UK. As we strive to deliver faster, better, smarter products and services, we’re pleased to announce that today we’ve been authorised with restrictions as a UK Bank. This is an important step towards launching our bank to customers in the UK. ➕ What’s next for Revolut in the UK? We’ve now entered a “mobilisation” period, a common regulatory stage for many new banks. During this period, we’ll complete the setup of our banking processes before starting to operate as a bank in the UK. ➕ What does this mean for our UK customers? Until we complete our work building the best possible banking experience for our customers, we will continue operating as usual. Our current customers will be able to keep using their existing Revolut account as always, with no changes to any of our products. New customers can continue opening e-money accounts with us, as well. And of course, customers’ money will continue to be safeguarded in the same way they always have been with us. Stay tuned — as soon as our setup is complete and we’re ready to launch our UK bank, we’ll make sure to reach out to customers. We’ll then explain what the next steps in the process will be for existing Revolut accounts to become UK bank accounts. For more information and FAQs, please see our blog: https://lnkd.in/dM3KXqV6 We look forward to this next stage of our journey and would like to say a big thank you to all of our customers who continue to support Revolut. #financialservices #fintech #ukbank