Revolut today said it had secured a French banking licence, as it looks to beef up its regulatory standards across Western Europe, its fastest-growing region. Europe’s most valuable tech firm said it had received approval for the licence from the French banking regulator, the ACPR, and the European Central Bank.
It follows Revolut being hit with restrictions last year from the European Central Bank across the EU over concerns about how it quickly approved new financial products.
Revolut, which is undergoing a secondary share sale reportedly valuing it at $115bn, already has a European banking licence, thanks to approval from authorities in Lithuania, allowing it to offer loans in France, Germany, and Spain. But it believes garnering an additional French banking licence is prudent, given it has around 30m customers in Western Europe and is expanding its products and services in the region. It also said that having an additional French banking licence will allow it to offer services tailored to local customers, such as loans.
Revolut, which is opening its new Western European HQ in Paris next year, plans to invest more than €1bn in Western Europe alongside hiring over 600 people.
Revolut said it will begin switching customers to the new licence, starting with France, with Germany, Ireland, Spain and other markets to follow.
Revolut, which also has a UK banking licence and has applied for a US banking licence, said the French banking licence “cements the foundation for Revolut to serve this base at the highest regulatory and operational standard”.
Nik Storonsky, founder and CEO of Revolut, commented: “France has become a leading financial hub, supported by a dynamic financial ecosystem and a robust regulatory framework. It is the ideal platform to accelerate Revolut's next phase of growth - bringing us one step closer to our ambition of becoming one of Europe's largest and most trusted banks."
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