Revolut Could See License Application Denied, But Crypto Offerings Unaffected

Revolut’s internal IT systems were identified in March as being insufficient in assuring revenue streams from different areas of its business, including crypto trading


Veja/Shutterstock, modified by Blockworks


Britain’s most valuable fintech company, Revolut, faces a significant setback as the Bank of England reportedly prepares to reject its application for a banking license. 

It follows a review of the company’s internal IT systems which were found to be insufficient in assuring revenue streams from different areas of its business including crypto trading revenues, its accounting firm BDO said last month.

After a two-year campaign, the Prudential Regulation Authority (PRA), responsible for licensing, informed the government of its intention to deny Revolut’s application. The decision also comes amid concerns over Revolut’s balance sheet and a qualified audit opinion on overdue accounts, local media The Telegraph reported Thursday. 

PRA has instructed Revolut to produce a set of accounts with an audit opinion and simplify its share structure before the license could be granted. The regulator had previously informed the UK government of its plans to issue a notice to Revolut in March.

To date, no warning notice has yet been issued, but backroom discussions are now underway in an attempt to salvage the license application, per the report.

In any case, a denial of its banking license is only expected to affect its offerings of mortgages and loans to UK customers, while its crypto services are expected to remain unaffected.

In March, BDO, one of the UK’s top accounting firms, said it was unable to fully verify £477 million ($591 million) of Revolut’s revenues for 2021 due to internal system deficiencies. This amount represents over two-thirds of Revolut’s total revenues of £636 million ($789 million) for the year.

Revolut, which provides neobanking services, recently doubled down on its crypto offerings, including furthering its push with staking rewards to customers across the UK and Europe.

The fintech unicorn, which has raised $1.8 billion over 19 rounds and is valued at roughly $33 billion, first began offering crypto in 2017 by allowing users to acquire bitcoin, ether and litecoin.

Get the day’s top crypto news and insights delivered to your email every evening. Subscribe to Blockworks’ free newsletter now.

Want alpha sent directly to your inbox? Get degen trade ideas, governance updates, token performance, can’t-miss tweets and more from Blockworks Research’s Daily Debrief.

Can’t wait? Get our news the fastest way possible. Join us on Telegram and follow us on Google News.


upcoming event

MON - WED, MARCH 18 - 20, 2024

Digital Asset Summit (DAS) is returning March 2024. This year’s event will be held in our nation’s capital, where industry leaders, policymakers, and institutional experts will come together to discuss the latest developments and challenges in the ever-evolving world of cryptocurrency. […]

upcoming event

MON - WED, SEPT. 11 - 13, 2023

2022 was a meme.Skeptics danced, believers believed.Eventually, newcomers turned away, drained of liquidity and hope.Now, the tide is shifting and it’s time to rebuild. Permissionless II is the brainchild of Blockworks and Bankless. It’s not just a conference, but a call […]

recent research

Curve's Stablecoin and Lending Market


AMMs are at the root of everything elegant and useful in DeFi.That's why Curve put LLAMMA at the center of its lending protocol.



Criminal behavior will get you to the bottom of this list


As markets teeter with uncertainty, both gold bugs and bitcoin aficionados are perking up, spurred by murmurs of a potential change in policy


OKX has also filed to become a Digital Asset Service Provider in France, which could take up to six months, according to the company


Several firms have sought to launch leveraged bitcoin futures products, and one such company intends to launch its proposed ETF on June 13


While the rest of the crypto world is focusing on frivolous non-issues, Brazil is where developers could actually make a difference


Following community backlash, Metaplex promptly back-pedaled from initial plans, removing some, but not all of the proposed fees