Revolut Seeks Australian Banking License

Digital bank Revolut is pursuing a banking license in Australia, aiming to challenge the country’s established financial institutions. The company is in discussions with the Australian Prudential Regulation Authority (APRA) to secure approval to accept customer deposits, according to Matt Baxby, Revolut’s head of operations in Australia.

“Our mission is to challenge the incumbent banks that rely on outdated business models and offer subpar user experiences,” Baxby told a parliamentary committee. He confirmed that Revolut is intent on filing an application to become a licensed bank in Australia.

Australia’s banking sector is currently dominated by four major institutions—Commonwealth Bank of Australia, Westpac Banking Corp, Australia and New Zealand Banking Group, and National Australia Bank—which control about 80% of the market. Revolut’s entry would mark a significant challenge to this dominance.

Revolut, which launched in Australia last year, has already attracted over 100,000 customers with services including pre-paid card payments, foreign exchange, and cryptocurrency trading. However, securing a banking license is crucial for the company’s expansion. Earlier this year, Revolut ceased operations in Canada after failing to obtain a banking license there, a system similar to Australia’s.

Following an $800 million investment led by SoftBank, Revolut’s valuation has surged to $33 billion, further fueling its global ambitions.