Fintech startup Revolut raises €7.75 million to enable zero-fee overseas transactions

Rage Review : British fintech startup Revolut has raised 7.75 million euros, or about 10,292,968 U.S. dollars, through venture capital firms. Revolut itself is an application linked to a prepaid Mastercard credit card, providing users with all the features of a Mastercard credit card, while allowing people to make deposits with bank accounts or credit cards, and not paying fees for overseas transactions. This can also help fintech companies affected by Brexit and safeguard their interests.

Translation: Nicole

British fintech startup Revolut has raised €7.75 million in funding from venture capital firms.

This is equivalent to approximately $10,292,968, of which $6.75 million came from six venture capital firms, including: Balderton Capital, Index Ventures, which raised $1 million in the company's stock crowdfunding campaign through Crowdcube, allowing users to share in the proceeds.

Revolut itself is an application that is linked to a prepaid Mastercard credit card, giving users all the features of a Mastercard credit card while allowing people to deposit with a bank account or credit card. Once installed, users can use it in more than 90 countries with 23 different currencies, just as if the user already has the currency of these countries, and there is no transaction fee when making transactions.

More than 200,000 users have signed up for Revolut, with an average of 1,500 new users every day. This is a very convenient service for tourists, especially after having experienced the high transaction fees of TransferWise, tourists will like to use this service when buying goods overseas. On the other hand, Revolut exchanges money at the bank exchange rate, which allows you to exchange money at the best bank rate and does not charge any fees.

Free transfers

At a time when banks and clearing houses charge expensive transaction fees for money transfers, Revolut even lets you send funds to other Revolut users for free, making Revolut stand out from other money transfer services.

According to Revolut CEO and founder Nikolay Storonsky, since Revolut does not charge fees when transferring money, they plan to generate revenue by selling financial products and services across borders on the app. Similarly, he also plans to add insurance, credit cards and VAT refund features, which are expected to be launched by the end of this year.

As the UK prepares to leave the EU, British companies are afraid that their interests on the European continent will be damaged. This is because once the UK leaves the EU, British fintech companies will have to reapply for EU financial licenses if they want to continue operating in the UK.