UK challenger bank Revolut has unveiled a new feature that empowers some of its users to invest in gold.
The neobank’s Premium and Metal account holders can now trade gold.
“Accessing gold using the money or cryptocurrency in your Revolut account is simple,” the company explained in a blog. “You tell us how much you’d like to spend, and we’ll tell you how much gold exposure you can access (based on the price per ounce at the time).
“You can also change your gold back into e-money or cryptocurrency through the same process, but in reverse. Bear in mind that the price of gold fluctuates throughout the day, meaning you could get more or less than you expect, whenever you make a transaction.”
The gold users buy will be held by a secure financial institution.
However, it warned users eager to jump on this opportunity that investing in gold does not come without some risks.
It explained that gold is not the same as e-money, meaning that it is not regulated in the UK by the Financial Conduct Authority. Moreover, the gold users buy will not be protected under the UK Electronic Money Regulations 2011, the Payment Service Regulations 2017 or the Financial Services Compensation Scheme.
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