Revolut granted banking license for Europe

The UK-based startup with unicorn status, Revolut, received a European banking license, allowing the company to offer traditional services.

The fintech firm announced they were granted the license from the European Central Bank (ECB) on 13 December.

Revolut plans to implement its license in 2019, targeting markets such as Germany, France, Poland, and the UK, CNBC reported.

The license will enable the firm to offer services typically provided by traditional banks, such as current accounts, consumer and business lending, and overdrafts.

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The startup’s customers will also be able to deposit salaries into accounts, with the European Deposit Insurance Scheme covering up to €100,000 (US$113,500).

The firm’s first license was acquired through the Bank of Lithuania. It will take between three and six months to become operational.

According to the company’s CEO, Nick Storonsky, the license will not be the only one Revolut obtains, CNBC was informed.

The firm intends to apply for a UK banking license as well as its European one, due to the uncertainties surrounding the nation’s departure from the European Union (EU).

“If we feel a 'hard Brexit' happens, we'll definitely need to have a license here,” Storonsky told CNBC.