The British neobank Revolut received permission from the Cyprus Securities and Exchange Commission (CySEC) to provide cryptocurrency services in the country.
Revolut plans to create a crypto hub in Cyprus that will allow the company to offer additional services to 17 million European customers, in accordance with the rules that the EU is preparing to impose on the industry. Previously, Revolut received similar approvals from regulators in Spain and Singapore.
These licenses will allow the company to expand its sales in a number of jurisdictions. The platform will continue to serve its UK users, who make up the bulk of its customer base, through a UK registered legal entity.
The representative of the company said that neobank welcomes the intention of the European Parliament to support innovation, while ensuring reliable protection of customers and preventing abuse in the market. Revolut opted for Cyprus due to the complex and robust regulatory regime.
“By establishing a hub for our cryptocurrency operations in the EU, we recognize that CySEC has in-depth knowledge of cryptocurrencies and aims to be a leader in industry regulation,” a Revolut spokesperson said.
CySEC has already issued licenses to several major crypto companies such as Crypto.com, Etoro and Bitpanda. Earlier it became known that the government of Cyprus is developing a regulatory framework for the regulation of blockchain and cryptocurrencies, which will contribute to the development of innovation in the country.