Payment provider Revolut has raised $66 million in Series B funding. The money will be used to add support for bitcoin and other cryptocurrencies – something that could occur as early as next week.
The UK-based payment provider was founded two years ago by former Credit Suisse trader Nikolay Storonsky. The platform was built to compete with bank-issued credit and debit cards by offering multiple currencies and fee-free international service. Today, people across the UK rely on Revolut as a replacement for traditional banking services.
Starting as soon as next week, Bloomberg will allow its users to hold, exchange, spend, and transfer virtual currencies like bitcoin, Litecoin, and Ethereum for free.
In an interview with Bloomberg, Storonsky described how, “Adding cryptocurrencies and the ability to buy and sell them is a big step forward for a financial organization.”
“Big banks are looking at us and seeing what we’re doing, for future things they want to add to their product pipeline, but they’re very slow”, added Storonsky.
The $66 million in funding is the largest investment round thus far for the company. In March, Revolut secured $22 million in funding from a variety of sources, including reported sources like the “King of Mining”, Ian Hannam, and infamous UK dealbreaker Matthew Greenburgh.
Revolut plans to use the money to add bitcoin and other cryptocurrencies while also expanding into new marketplaces. In the future, Revolut plans to expand to New York and Singapore.
How Does Revolut Work?
Revolut initially launched as a mobile app letting users send and receive money in multiple currencies. Over time, the company has added a growing number of financial services. Today, many people compare it to a regular bank account in terms of features.
Most recently, for example, Revolut introduced a credit feature for UK users and business accounts. In addition to adding cryptocurrencies, Revolut plans to add stocks and bonds in the future. Soon, you’ll be able to purchase travel insurance through the app.
Some people find it hard to see where Revolut is heading, as the company is adding so many different products and services at once. Clearly, the company doesn’t want to restrict itself to any one marketplace.
Revolut describes its banking services as “beyond banking” and claims to be “the only account for your global lifestyle”. Here are some of the key features that have made Revolut popular:
- Mobile Support: Revolut is available for iOS and Android
- Spend Without Fees: Spending is always free with the RevolutCard, and you’ll always get the real exchange rate with no transaction fees.
- Transfer Money Globally: You can save up to 6% by sending money abroad with Revolut. You can transfer 23 currencies to any bank, business, or friend with the real exchange rate.
- Get Paid Back: You can send and request money instantly for rent, dinner, holiday expenses, and more.
- Track your Expenses: Revolut will categorize your purchases to show you exactly how much you’re spending, on what items, and where. It’s like Mint and other spending tracking apps – and it’s a feature that many mobile banking apps sadly don’t have.
- High Security: You can block and unblock your RevolutCard with a single tap. You can also turn online, ATM and contactless payments on and off instantly. That means better security and control over your account.
- Customer Support: Revolut has an in-app chat system available where you can easily get in touch with the company’s customer service.
- Instant Current Account: You can open a free UK account in 3 minutes without a proof of address or credit check required. Other countries will be supported in the near future.
- Real Exchange Rates: Banks always add fees and markup the exchange rate whenever you spend or transfer money abroad. Revolut takes a different approach. You can see their real exchange rates online at any time at Revolut.com.
Revolut launched in July 2015. The company was founded by Vlad Yatsenko (CTO) and Nikolay Storonsky (CEO). Prior to launching Revolut, Yatsenko had 10 years of experience building financial systems at tier one investment banks, while Storonsky was a trader with Credit Suisse “where he experienced first-hand the astronomical fees applied to foreign exchange transactions.”
Revolut claims to have over 718,000 customers. To date, they’ve processed over 30,000,000 transaction with a total value of $3.33 billion.
Revolut is a mobile banking platform that aims to replicate the services provided by your bank – just in a cheaper, more convenient way. Revolut doesn’t charge fees for spending, nor does it charge excessive fees and markups on exchange rates. It’s a straightforward, easy-to-use payment platform that is available for customers throughout the UK.
Thanks to the company’s recent $66 million investment, Revolut will expand into Bitcoin, Litecoin, Ethereum, and other cryptocurrencies as early as next week. This will make it easier than ever for cryptocurrency users to spend their money in the real world while minimizing transaction fees. Watch for Revolut to expand to New York, Singapore, and other countries in the future.