Revolut has been granted cryptoasset authorisation in Cyprus, allowing the UK-based fintech to provide additional regulated crypto services to its 17 million European customers as it continues to seek a crypto licence in its home country.
The new regulatory approval in Cyprus, first reported by AltFi, will help the company form its European cryptoasset hub. As a member state of the European Union, Revolut’s Cypriot authorisation will fall under the EU-wide cryptoasset regulatory framework.
A spokesperson for Revolut said: “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.”
Revolut said it has become the first company granted cryptoasset authorisation by the Cyprus Securities and Exchange Commission (CYSEC).
“This new entity will allow Revolut to continue to offer its EEA-based customers exposure to an ever-growing list of crypto-assets, other crypto features, and enables us to launch new cryptoasset products throughout the entire European Union.”
The EU approved its landmark regulatory framework for cryptoassets in July, marking the first major institutional legal structure specifically for the governing of cryptoassets.
The UK has no such regulatory system. However, Britain’s Financial Conduct Authority (FCA) still has limited jurisdiction over crypto under anti-money laundering laws.
Revolut was granted temporary approval to trade cryptoassets in the UK along with 11 other firms in March. Despite its efforts, the fintech unicorn has not been given full regulatory approval in the UK and remains the only firm still on the temporary register.