In two lines: Revolut turned everyday money chores into a clean, phone-first routine — then scaled the same experience across countries while the legal “plumbing” adapts in the background. As of 13 Sep 2025, it’s profitable, multi-geography, and still not a traditional bank in its UK home market — by design.
What is Revolut, really?
One app that tries to be your daily money tool: pay with a card, send cash to friends, split bills, exchange currency when you travel, set budgets, and — where allowed — save, invest, or accept payments as a small business. You open it to pay; you stay for the extras.
What’s the big idea?
Same front end, different back end.
Revolut keeps the surface simple for you, while the legal setup underneath changes by country. In some places it operates as a bank (with deposit insurance). In others it’s an e-money institution or works with partners (balances are safeguarded, which is not the same as deposit insurance). The buttons look the same; the protections differ and are explained in-app.
Why do people choose it?
- It’s practical. Freeze a card, see fees, set limits, send or request money, and move on with your day.
- It’s transparent. Start free; upgrade to higher limits or perks (insurance, lounges, premium cards). The ladder is clear.
- It travels well. Competitive FX, instant virtual cards, and local accounts in multiple currencies make it a go-to when you cross borders — and a habit you keep at home.
- It’s one login for many jobs. Fewer apps, fewer passwords, less friction.
What did Revolut do differently from a traditional bank?
Banks expand country by country, getting a full licence first, then rolling out a standard product set.
Revolut expanded feature by feature: ship what’s allowed under lighter permissions, prove demand, then add deeper “bank” features where a licence unlocks real benefits — like deposit insurance and credit. Think of it as sequencing: product first, licence where it matters most.
How does the business make money if so much feels free?
Three engines work together:
- Subscriptions — paid tiers for higher limits and perks create steady, predictable revenue.
- Payments — small slices from card payments and merchant acquiring add up at scale.
- Interest & credit (where licensed) — deposits and lending add margin in banked markets; elsewhere, the model leans more on subscriptions and payments.
Diversifying across these engines makes Revolut less dependent on any single fee.
“Are they a bank or not?”
Both — depending on where you live.
Across much of the EEA, Revolut operates as a bank (deposits are insured up to €100,000 per depositor under Lithuania’s scheme, according to legal disclosures). In the UK, it holds a licence with restrictions and has been in mobilisation; until the bank goes live locally, UK customers use e-money accounts (safeguarded, not FSCS-insured). In Mexico, regulators have granted a full local bank authorisation.
Your move: check the protections screen in the app — it spells out whether your money is insured or safeguarded, and by whom.
Why did this approach work now?
- Phones became “money devices.” Tap-to-pay, instant notifications, and virtual cards made daily money actions native to mobile.
- Rules matured. Many countries created clear frameworks for e-money, open banking, and digital onboarding. That let Revolut start light and go deeper later.
What’s the catch?
- Clarity matters. Because permissions differ by market, Revolut must be explicit about “who gets what” — limits, fees, insurance. Read those screens, especially when you travel or switch plans.
- Speed vs. control. Shipping fast brings scrutiny. Revolut contains risk by putting banking, trading, and crypto in separate regulated boxes — which can mean features roll out at different times in different places.
- Trust is local. Some people won’t switch from their main bank until they see local deposit insurance. That’s reasonable.
How they did it — the simple playbook
- Win daily habits with a clean, helpful app.
- Separate UX from permissions so you can scale before every licence arrives.
- Add licences where they unlock value (insurance, credit, local rails).
- Keep revenue diversified so no single fee defines the business.
- Explain protections plainly so users know how their money is covered.
By the Numbers
- £3.1B revenue — 2024 — according to the annual report.
- £790M net profit — 2024 — according to company reporting.
- 60M+ customers — as of 13 Sep 2025 — according to company statements.
Minimal figures by design; more detail lives in our licences deep-dive.
What this means for you
- As a user: start free; upgrade only if the perks fit your life. When you travel or relocate, check the protections screen to see whether your balance is insured or safeguarded in that country.
- As a small business: one brand for spending, getting paid, and reporting can save time (and tabs).
- As a product builder: consider Revolut’s order of operations — product first, then licences that unlock trust and margin.
Want the licence-sequencing blueprint behind this story? Read our case study Revolut: Super-app vs. Licences — How Far Can You Scale Without a Home-Country Bank?
Freshness note: facts in this piece reflect public disclosures and regulator notices as of 13 Sep 2025.
This article is for informational purposes only and does not constitute investment advice.