Revolut Unleashes New Crypto Push Despite Industry Turmoil

Revolut has announced a new push into crypto, with 22 new tokens available to buy and sell on its app, bringing the number it offers to 82.

The digital bank, which has 20 million customers, has launched the new investment options to customers in the UK and Europe. New tokens include ApeCoin and Sandbox metaverse assets.

Emil Urmanshin, who heads the bank’s crypto operation, described 2022 as “another big year for crypto”, adding that the 22 new tokens represented a “big boost” to the bank’s offering in space

It comes as large swathes of the crypto industry continue to suffer the effects of a brutal market crash in recent months. Companies across the sector have cut thousands of jobs, while major players such as lender Celsius and hedge fund Three Arrows Capital have gone bust.

READ Revolut expands into the Buy Now, Pay Later space

Meanwhile, retail investors, the target market for Revolut’s easy-to-access crypto trading feature, have been particularly hard hit. Bitcoin, the largest cryptocurrency, is trading around $23,000, down 51% since the start of the year, while others have fallen further.

The crash has been enough to prompt the Financial Conduct Authority, which has largely watched crypto from the sidelines for several years, to take action.

On August 1, the regulator released an update detailing policies to consider to protect retail investors, such as encouraging limits on individual bitcoin holdings and limiting how cryptocurrencies can be traded.

In July, Revolut sought to address the issue of investor protection by launching a selection of crypto education courses designed to help customers better understand the risks associated with investing, as well as how cryptocurrencies and blockchains actually work .

TO READ LSE boss: ‘It shouldn’t be easier to invest in crypto than capital markets’

The courses use videos and infographics to share lessons on the topics. Customers can earn £14 of the DOT crypto token, which is based on the Polkadot blockchain network that hosts the courses, for completing all the lessons.

Revolut is still seeking permanent FCA approval to offer crypto services in the UK and continues to operate on a temporary register.

Of the 273 crypto companies that initially applied for full registration with the regulator, 35 have been given the green light, but the rest ended up withdrawing their applications.

The firm’s head of global affairs, Deirdre Halligan, resigned in July. Halligan was responsible for overseeing its relationship with the FCA and all its licensing applications.

His departure came weeks after chief executive Nikolay Storonsky criticized the regulator for an application process he saw as “slower compared to expectations”.

To contact the author of this story with comments or news, email Alex Daniel


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About the Author: Chaz Cutler

My name is Chasity. I love to follow the stock market and financial news!