Revolut, a London-headquartered challenger bank, has officially launched a licensed bank in Lithuania, thus protecting its European customers’ interest.
The customer deposits in the new entity will be protected by the Lithuanian state company Deposit and Investment Insurance.
This came ahead of Brexit as Finance Magnates earlier reported that the mobile bank was planning to move its Central and Eastern Europe-based clients to the new European entity in Lithuania.
Revolut received a European banking license from the Bank of Lithuania and the European Central Bank (ECB) in 2018 and appointed Virgilijus Mirkės, a former SEB Bank and Scotiabank executive, as its chief executive officer the following year.
“Revolut has become a trusted household name in Lithuania. We have achieved this by solving our customers’ problems, treating them fairly, and being at the forefront of financial innovation. We are incredibly excited to take the next step in our mission to build a world-class bank for our customers in Lithuania,” Mirkės said in a statement.
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Around 300,000 customers of the banking platform can now deposit salaries and other funds in the new banking entity. It will also allow its customers to upgrade from e-money accounts to bank deposit accounts from their Revolut app.
The company is also planning to introduce lending services through consumer loans and credit cards in the coming months.
Revolut is also expected to bring its newly launched Revolut Junior accounts, targeted to children from 7-17 years to its European clients.
Creating a global presence
With a total of 10 million customers, Revolut is now eyeing for global expansion. Last March, it launched its services in the United States, enabling American clients to open up accounts. The company also has a presence in the Singapore and Australian markets.
Earlier this year, Revolut raised $500 million in a Series D funding round with a valuation of $5.5 billion, thus becoming UK’s most-valued fintech startup.