Revolut Wins Cyprus SEC's Approval; To Set Up Crypto-Asset Hub For European Customers

British financial technology company Revolut has been greenlit by the Cyprus Securities and Exchange Commission (CYSEC) to expand crypto offerings across the European Economic Area (EEA), according to a report.

Revolut received the first crypto authorization from the Cyprus regulator and aims to form a new European crypto-asset hub so that it can feasibly provide crypto services to its 17 million customers in Europe, altfi reported.

"In establishing a hub for our crypto operations in the EU, we recognise that CYSEC has in-depth knowledge of crypto and its efforts to be a leader in crypto regulation," a spokesperson for Revolut told altfi.

The report also stated that the neobanking platform-come "super app" is also pursuing a similar approval in the U.K. from the Financial Conduct Authority (FCA), adding that the 20 million U.K. customers of Revolut will continue to be served by the fintech firm's U.K. corporate entity.

"We welcome the EU-wide regulation and wholeheartedly embrace the European Parliament's clear intention to support innovation whilst requiring strong customer protection measures to prevent any type of market abuse," the Revolut spokesperson added.

Interestingly, Cyprus has become the home of many crypto firms and Revolut will be regulated in a similar fashion as Crypto.com, Bitpanda, eToro and CMC markets that operate in the island country.

Revolut confirmed that it chose Cyprus after an "in-depth survey of all EU countries," revealing that it went for CYSEC due to its "sophisticated and robust regulatory regime, as well as the strength of the existing crypto industry in Cyprus."

The fintech firm has recently been hiring employees for its crypto operations and also introduced options to invest in cryptocurrency and stocks as well. According to a report from Bloomberg, cryptocurrencies account for 5%-10% of Revolut's revenue globally and as a result, the firm has tripled its crypto headcount since July 2021.

Furthermore, Revolut is also currently advertising for 13 crypto-focused roles, including in compliance and financial crime prevention.