Fintech giant Revolut is reportedly planning to enter the stablecoin market, according to multiple sources. The London-based company, which recently obtained a U.K. banking license and boasts a $45 billion valuation, is said to be well-advanced in developing its own stablecoin.
A Revolut spokesperson confirmed the company’s intention to expand its cryptocurrency offerings, emphasizing a compliance-first approach to establish a secure and accessible platform for the crypto community. “Crypto is a fundamental part of our vision for borderless banking,” the spokesperson stated. “We are committed to becoming the safest and most accessible provider of crypto asset services.”
The stablecoin sector, currently dominated by Tether’s USDT with a market cap of approximately $119 billion, has witnessed a surge of new entrants. Circle’s USDC holds the second position with a market cap about one-third the size of USDT. Last year, payments giant PayPal introduced its own stablecoin, followed by blockchain firm Ripple and BitGo’s recent announcement at Token2049 in Singapore.
These tokens, pegged to a real-world asset like government-issued debt, generate a steady stream of interest payments, making them highly profitable. Tether, for instance, reported first-half profits of $5.2 billion.
The growing trend towards stablecoin issuance may also be influenced by the upcoming regulatory framework in Europe, the Markets in Crypto Assets (MiCA).
Revolut has been offering cryptocurrency trading within its app for several years and launched a dedicated cryptocurrency exchange for experienced traders in May.
