Key facts
- The European Central Bank has intensified scrutiny on Revolut's European operations.
- Revolut was ordered to fix deficiencies in its European product launch processes.
- Revolut's permission to release new products across the European Economic Area was temporarily suspended last summer.
- The ECB also mandated a third-party review of Revolut's risk, compliance, and legal functions for new European launches.
- Revolut's European arm faced restrictions on acquisitions and accepting new customers outside the continent.
The European Central Bank has intensified its oversight of Revolut's European operations, issuing orders to address deficiencies in its product launch processes. Last summer, the fintech's permission to release new products across the European Economic Area was temporarily suspended. The ECB also mandated a third-party review of Revolut's risk, compliance, and legal functions for new European launches. Furthermore, Revolut's European arm faced restrictions on acquisitions and accepting new customers outside the continent. A spokesperson for Revolut stated that the company is engaged in continuous dialogue with regulators and is committed to high standards of governance and risk management, having implemented improvements to its internal product launch processes. The digital bank secured its European specialised banking licence in 2018 and a full European banking licence in 2021. Despite these regulatory actions, Revolut has continued to expand its offerings, launching mortgages and teen accounts and opening a physical store in Barcelona. The company achieved a valuation of $75 billion and serves over 75 million customers globally, reportedly eyeing a $200 billion valuation for its IPO. Revolut also faced regulatory scrutiny in the UK for its UK banking licence application.