The company is in talks with the UK’s financial regulator on alleged failures that allowed money to be released from accounts that were flagged by the National Crime Agency as suspicious.
The Financial Conduct Authority oversees Revolut’s payments business at the moment and is engaging with the fintech with the support of the NCA. The failures occurred between July and August of 2023, according to the Financial Times.
As more than GBP 1.7 million was released from the flagged accounts, Revolut notified the FCA of the problem in recent weeks, claiming that only GBP 500,000 was released.
The UK-based global financial application Revolut announced multiple partnerships and launches in the last couple of months, covering several geographic areas across the globe.
In September 2023, the company announced the launch of its RevTags, a global payments service that was addressed to businesses, in a bit to disrupt SWIFT. Following this launch, business clients and partners were given the possibility to send and receive instant zero-fee cross-border payments in over 29 currencies within the Revolut network. This encompassed over 30 million retail customers and users, as well as multiple businesses around the world.
According to the press release published at the time, RevTags was launched in order to address a pain point that existed in the market. As nine out of ten UK businesses reportedly stated that cross-border payments represented the biggest challenge they were facing, the product was aimed to meet the needs, preferences, and demands of clients and customers. In addition, data from the research carried out by 72Point for Revolut Business indicated that the high costs and the lengthy processing time also represented factors that contributed to the overall situation.
Earlier in August 2023, Revolut announced its decision to discontinue its US crypto solutions due to regulatory uncertainty, which impacted 1% of global clients.
Revolut opted to discontinue all cryptocurrency services for its US user base, as it was set to collaborate with its banking partners in order to gradually deactivate access to cryptocurrencies on its platform. The announced date for the deactivation was the 2nd of September 2023. US customers who were involved in cryptocurrency activities at the moment received comprehensive details about the suspension through communication from Revolut in a destined email.
At the beginning of the same month, Revolut launched its Instant Card Transfers in Singapore, delivering secure, low-cost, and convenient remittances to local clients. Customers were enabled to safely send money to friends, family, or acquaintances in multiple countries worldwide, 24/7, by using their name and a 16-digital Mastercard or Visa card number.
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