British fintech giant Revolut is looking to expand its presence in Israel and is in talks with the Bank of Israel to acquire a “lean bank” licence in the country, local media outlet Calcalist reported today (Tuesday). A “lean bank” licence is a limited banking licence that allows non-bank entities to receive deposits and provide credit.
Expansion Under a New Local CEO
The reported move came months after Revolut appointed Uri Nathan as the Chief Executive of its Israeli operations. He previously ran Pepper, a digital-only banking platform operated under Bank Leumi’s banking licence, as its CEO.
Revolut entered Israel in 2023 and received an identification code from the Bank of Israel. Now, the platform can onboard clients, offering them a current account and money transfer facilities within local banks. If it is approved as a “lean bank”, it can offer deposits with interest, just like a traditional bank, and also provide credit.
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However, Revolut is not the only platform seeking a new Israeli licence. Rapid, an Israeli fintech with operations only in overseas markets, is also eyeing entry into the country as a “thin bank” and is in talks with the central bank for a licence.
Challenger Bank to a Regular Bank
With a valuation of $45 billion, Revolut is the most valuable fintech in Europe. The platform ended 2024 with a global customer base of 52.5 million, a 38 per cent year-on-year increase. Total customer balances also rose 66 per cent to $38 billion.
The strength of the British platform is also shown by its 2024 revenue of $4 billion, a yearly increase of 72 per cent, and a pre-tax profit of $1.4 billion.
Revolut started as a challenger bank, but received a banking licence in the country after years of delay. It also obtained a banking licence in Mexico last year and already operates in the European Union with a Lithuanian banking licence. It is further seeking a banking licence in New Zealand.
FinanceMagnates.com recently reported that Revolut plans to invest more than €1 billion (US$1.1 billion) in France and apply for a French banking licence. The firm also aims to grow its user base in the country to 10 million by the end of next year and 20 million by 2030.
British fintech giant Revolut is looking to expand its presence in Israel and is in talks with the Bank of Israel to acquire a “lean bank” licence in the country, local media outlet Calcalist reported today (Tuesday). A “lean bank” licence is a limited banking licence that allows non-bank entities to receive deposits and provide credit.
Expansion Under a New Local CEO
The reported move came months after Revolut appointed Uri Nathan as the Chief Executive of its Israeli operations. He previously ran Pepper, a digital-only banking platform operated under Bank Leumi’s banking licence, as its CEO.
Revolut entered Israel in 2023 and received an identification code from the Bank of Israel. Now, the platform can onboard clients, offering them a current account and money transfer facilities within local banks. If it is approved as a “lean bank”, it can offer deposits with interest, just like a traditional bank, and also provide credit.
You may also like: Revolut and Wero – The Eurozone Wallet Wars Just Got Interesting
However, Revolut is not the only platform seeking a new Israeli licence. Rapid, an Israeli fintech with operations only in overseas markets, is also eyeing entry into the country as a “thin bank” and is in talks with the central bank for a licence.
Challenger Bank to a Regular Bank
With a valuation of $45 billion, Revolut is the most valuable fintech in Europe. The platform ended 2024 with a global customer base of 52.5 million, a 38 per cent year-on-year increase. Total customer balances also rose 66 per cent to $38 billion.
The strength of the British platform is also shown by its 2024 revenue of $4 billion, a yearly increase of 72 per cent, and a pre-tax profit of $1.4 billion.
Revolut started as a challenger bank, but received a banking licence in the country after years of delay. It also obtained a banking licence in Mexico last year and already operates in the European Union with a Lithuanian banking licence. It is further seeking a banking licence in New Zealand.
FinanceMagnates.com recently reported that Revolut plans to invest more than €1 billion (US$1.1 billion) in France and apply for a French banking licence. The firm also aims to grow its user base in the country to 10 million by the end of next year and 20 million by 2030.
This post is originally published on FINANCEMAGNATES.
