Revolut UAE payment license now followed by crypto one

Revolut maybe offering not only payment services but also crypto ones sooner than expected. It is not a surprise to see UK based Revolut applying and receiving an in-principle approval for crypto broker dealer license, crypto exchange license, and a crypto management and investment license from Dubai’s Virtual Asset Regulatory Authority, weeks after receiving its Stored Value Facilities (SVF) license and Retail Payment Services (Category II) license from the Central Bank of the United Arab Emirates (CBUAE) representing its expansion within the Middle East.

A Stored Value Facilities (SVF) License from the UAE Central Bank (CBUAE) authorizes Revolut to operate a system where customers pay money or transfer value to the issuer in exchange for stored value that can be used to make payments for goods and services. This license regulates businesses that offer digital wallets, prepaid cards, and similar electronic payment systems to ensure financial stability and consumer protection within the UAE, while a retail payment services (RPS) license authorizes a company to operate as a Payment Service Provider (PSP) in the UAE, offering services like payment aggregation and merchant acquiring to businesses.

Combining both licenses, Revolut would be able to channel crypto trading into its payment offering using AED stablecoins.

Revolut had already showcased its interest in entering the crypto space in the UAE, through its recruitment process. In January it was seeking to hire a Crypto Technology Manager.

This comes as more banks in the UAE seek to include crypto services in their offering, whether Zand Bank, Liv Bank from Emirates NBD, FAB Bank, and even RAK Bank.

The competition and integration of digital fintech players, crypto, and traditional banking is increasing, signaling that crypto will go mainstream soon.

Just yesterday, Revolut was chosen to test EU’s digital Euro. It could be used for online payments, in-store payments or peer-to-peer payments. It is intended as a European alternative to electronic payment systems, most of which are operated by US companies such as Mastercard and Visa. Employers could also pay their staff in digital euros.