Revolut to Stop Crypto Services to US Customers: Report

Von | 5. August 2023

• Revolut will end its crypto services to US customers starting September 2.
• The main reason behind this decision is the regulatory uncertainty in the US.
• This move could push investors and capital away from the US.

Revolut Terminating Crypto Services to US Customers

Revolut – a leading financial technology company that enables customers to buy and sell a variety of cryptocurrencies – will cease such options for its US users from September this year. The main reason behind this decision is the regulatory uncertainty in the world’s largest economy, as reported by Reuters. From September 2, American customers won’t be able to purchase cryptocurrencies, whereas selling and holding digital assets will be disabled from October 3.

Regulatory Uncertainty

The US watchdogs have failed to impose comprehensive rules on the domestic crypto sector, while the SEC has waged war on some industry behemoths, including Binance and Coinbase. Numerous well-known figures part of the crypto space argue that the lack of appropriate rules in the American digital asset industry could push investors and capital outside the US.

Effects of Suspension

This suspension of service could cause significant repercussions across many industries, as Revolut accounted for over 50% of all cryptocurrency purchases in 2020 according to data from CB Insights & Messari Crypto Research Desk. In addition, it would make it difficult for them to access certain services like debit cards or other financial products offered by Revolut if they are located outside of their home country.

Industry Reactions

The news was met with mixed reactions within the cryptocurrency community as some were concerned about how this might affect their investments while others welcomed it as an opportunity for more regulatory clarity and industry growth overall. Many individuals have criticized Revolut’s decision citing that this move only adds fuel to fire when it comes to fueling doubts among institutional investors who are already wary about investing in cryptos due to their volatile nature and uncertain regulatory environment around them.

Conclusion

In conclusion, Revolut’s suspension of crypto services is likely due to uncertain regulations which may lead investors out of America’s markets and create difficulties for those using their services abroad. The news has been met with both criticism and praise from within the industry but ultimately we can only wait until further details emerge regarding what exactly caused this sudden shift in policy towards American customers using cryptocurrencies through Revolut’s platform.