Having already bagged $500m in its Series D round in February, Revolut has now topped up its accounts with another $80m.
The UK challenger bank’s valuation will remain at $5.5bn. It will use the money to keep expanding its operations in Europe and to roll out new features in the US.
The neobank first went live in the US in March 2020, with its deposits being insured through a partnership with Metropolitan Commercial Bank.
The new capital influx comes from investor TSG Consumer Partners, which has previously backed companies like e-commerce fashion venture Revolve and health drink startup nuun.
CEO Nikolay Storonsky and CTO Vlad Yatsenko founded Revolut in 2015. Since then the challenger bank has become one of Europe’s most valuable FinTech companies.
Revolut is set up as a digital alternative to traditional banks. Through the app, customers can set up bank accounts, make payments, complete transactions, buy travel and medical insurance, buy cryptocurrencies and conduct a slew of other financial services.
And the number of services on its platform may be growing. Back in May, Storonsky mentioned that the neobank hoped to leverage the global Covid-19 crisis to add travel aggregators to its roster, taking advantage of how they may be struggling because of the pandemic.
Of course, the coronavirus crisis has also presented the neobank with several challenges.
Like several of its fellow European challenger banks such as Monzo, N26 and Starling Bank, Revolut quickly introduced remote working alternatives for its employees in order to keep the risk of spreading the contagion down.
However, these measures didn’t prevent rumours from spreading online that Revolut was going bust because of the virus. The neobank was quick to deny those rumours.
In its efforts to cut down costs, Revolut has also made several redundancies. These cuts did, however, result in allegations that the unicorn had broken employment law by how it made those redundancies, something that the company vehemently denied.
The accusers alleged that the bank had forced them to either accept a small severance package or to be fired for underperformance.
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