Revolut Crypto Bank Receives EU Banking License; Plans to Roll Out Traditional Financial Services
Companies always aspire for bigger things, this leads them to change and evolve. Thus “Pemberton's French Wine Coca,” a mix that had anti-anxiety and aphrodisiac qualities morphed into one of the most successful global brands, Coco-Cola. The European digital payments platform, Revolut seems to have taken a leaf out of the Coco-Cola playbook and has now taken steps towards being a full-fledged bank.
🥳 Today, we've had our application for a European banking licence approved. https://t.co/ho22TQbtfm
— Revolut (@RevolutApp) December 13, 2018
Who Is Revolut
The UK-based company was founded back in 2015 by Nikolay Storonsky and Vlad Yatsenko. It has been primarily focused on the purchasing, selling, and storing of crypto assets. Principally, its users trade in the main coins like Bitcoin, Ripple, Ethereum, amongst others. The small but successful enterprise has raised an impressive $336 million. This week it was announced that their request for a banking permit has been granted.
Banking Services Now Offered
On the 13th of December, a spokesperson for Revolut announced that the digital platform had received its license to conduct banking services, by the European central bank. This, they are confident, will open the doors for better access and smoother transactions between digital currencies whilst now being able to offer the usual banking services. To be able to offer the customary financial services to their customers bodes well for the business.
With the intention of doing things right, Revolut will initially do all this “behind the scenes”. The plan involves slowly metamorphosing into a full bank that will allow the customers to open current accounts as well as allow other traditional financial services. Adding to this, the spokesperson noted:
“If you choose to open a full current account with Revolut Bank in the future, any funds you deposit will be protected up to €100,000 under the European Deposit Insurance Scheme (EDIS).”
Tradition Options A Big Part Of The Plans
Understanding the importance of the normal services that banks offer,the Revolut team is focussed on providing them. They are especially keen on allowing access to overdraft facilities. As well as not having to worry about insufficient funds or negative balances, they are looking to offer their clients quick short term loans. The company revealed, “The competitive personal loans we plan to offer will help out when your budget can’t cover a bigger purchase when you want to book that long-overdue holiday, or for anything else that requires a small cash injection before your next payday.”
It is expected that the first foray into the banking sector will begin by the middle of next year, in Lithuania. After the initial phase, once they have smoothed out any major concerns and issues Revolut hopes to expand to other parts of Europe. With an in-house payment processor also on the cards, they are hoping that this can be used for quick transactions between the UK and the rest of Europe.
The entire testing and implementation of the project is expected to take up to 18 months. The company also hopes, once it has set up operations across Europe. to take the digital currency payment platform across the pond and offer the services in the U.S.
The success or failure of any plan hinges on the tenacity of its planners. A platform that has stuck it out and evolved in these trying times is certainly worth watching out for.