British fintech giant Revolut, which offers cryptocurrency trading, has applied for a U.S. banking license from the Office of the Comptroller of the Currency (OCC), a key step in its bid to expand in the U.S. financial system.
If the license is approved, the London-based company will be able to operate like a traditional bank in the world’s largest economy. The company said it will have direct access to payment networks such as Fedwire and Automated Clearing House (ACH), systems that transfer trillions of dollars between banks each year.
A license could also open the door to financing products such as credit cards and personal loans. Revolut currently provides banking services in the US through its Kansas City-based partner Lead Bank. This arrangement allows us to offer accounts and payments without having to maintain our own charter.
The filing comes after Revolut scrapped plans to acquire a U.S. bank in January and instead obtained a de novo banking license that would allow banks to start up from scratch.
The day also comes a day after Kraken became the first crypto exchange to secure a “master account” with the Federal Reserve, giving the banking sector direct access to the central bank’s payments system.
Revolut, valued at about $75 billion, said the U.S. market is central to its goal of building a global digital bank. Charter approval marks one of the company’s biggest regulatory milestones outside Europe.
The crypto-friendly bank will receive a limited UK banking license in 2024 and holds banking licenses elsewhere. However, it does not function as a bank in every region.
