British-based digital bank Revolut has applied for financial licenses in two European Union member states, Lithuania and Luxemburg, in the light of risks associated with Brexit. We’ve covered its progress in The Daily. Also in the rubric on Wednesday, Estonian startup introduces multi-currency wallet supporting BCH, Binance increases the market supply of its BNB coin, and BCEX is the latest exchange to list the new stablecoins in the space, GUSD and PAX.
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Revolut Applies for E-Money License in Luxembourg, Expects One from Lithuania
Revolut, the digital bank that’s been disrupting the traditional financial services sector in the UK and beyond since 2015, is now moving to hedge against risks such as those stemming from Brexit that could lead to London losing its leading role as a global financial center. The fast-growing fintech company, which already has around 2.8 million customers, has applied for an e-money license and plans to open an office in Luxembourg.
Nikolay Storonsky, the firm’s co-founder and chief executive, told the Financial Times the application process could take up to six months and Revolut’s management wants “to be on the safe side.” Despite the British government’s resolve to preserve the United Kingdom’s role as a financial and fintech hub, some of Storonsky’s colleagues have expressed fears that Brexit could undermine London’s attractiveness to investors and experts in the industry.
Revolut is obviously taking no chances, as it has already applied for a banking license in Lithuania too – expected to be granted by regulators in Vilnius as early as next month. Both steps fit into its plans for global expansion which this year includes the United States, Canada and the Russian Federation, where Nikolay Storonsky
