Revolut Seeks $1B in New Funding at a $65B Valuation (2025 Update)

What’s Happening?

Revolut, the UK-based neobank, is in talks to raise $1 billion in a fresh funding round that could value the company at $65 billion. The new funding would come through a mix of newly issued shares and a sale of existing ones. U.S.–based Greenoaks is expected to lead the deal, and Abu Dhabi’s Mubadala sovereign fund may also take part (Financial Times).

This new valuation marks a 44% jump from last year’s secondary share sale that valued Revolut at $45 billion (TechCrunch). Revolut declined to comment, and terms are not finalized yet (Reuters).

Why It Matters

The company’s aim? Fuel its global expansion, especially in the U.S., where obtaining a full banking license remains tricky. To fast-track that, Revolut is exploring acquiring a U.S. lender—an easier route than applying directly for a charter (Financial Times).

Revolut in Numbers (2024 Highlights)

Revolut’s performance in 2024 was truly impressive:

• Revenue shot up 72% to $4.0 billion (£3.1 billion) (Revolut).
• Profit before tax rose 149% to $1.4 billion (£1.1 billion), netting $1.0 billion (£790 million) (Revolut).
• Active user base grew by nearly 15 million, reaching 52.5 million total (Revolut).
• Customer balances soared 66% to $38 billion; lending boomed 86% to $1.2 billion (Revolut).
• Subscriptions, wealth services, and FX—all surged year over year (Revolut).

This marks the fourth consecutive year of net profitability for the fintech giant, reinforcing investor confidence (Revolut).

How Does Revolut Work?

Revolut is a user-friendly mobile-first fintech that offers banking services without physical branches. Here’s how it delivers value:

1. Multi-Currency Accounts & Cards
   You can hold, convert, and spend across multiple currencies. Revolut supports domestic and international bank transfers, and users get debit cards for easy spending.
2. Trading & Investments
   You can invest in stocks, crypto, and other wealth products directly through the app. It’s a one-stop money-management hub.
3. Budgeting, Savings & Subscriptions
   Revolut offers smart savings tools, subscriptions with perks, and a loyalty program called RevPoints. One-third of its growth comes from paid tier adoption.
4. Lending & Interest Income
   The platform is stepping into lending—with mortgages in testing—and capitalizes on interest income from customer balances.
5. Global Reach via Licensing
   Revolut has banking or e-money licenses across markets like the UK, EU (via Lithuania), Mexico, India (PPI license), and others, enabling regulated services.
6. Innovative User Experience
   The slick, intuitive app, plus global access, encourages user engagement. Fraud protection, risk controls, and faster service add trust.

What This Funding Could Mean

• Speed up U.S. entry through acquisition instead of slow licensing.
• Fuel licensing in new markets including India, Israel, Brazil, Argentina—and beyond.
• Drive product innovation, from lending and mortgages to loyalty features and eSIMs.
• Boost investor confidence, especially after strong 2024 results and ongoing profitability.

In a Nutshell

Revolut is aiming to raise $1 billion at a $65 billion valuation in 2025, fueled by stellar growth, global expansion plans, and a strong financial footprint. Its model combines smart banking, investing, and lifestyle features—all wrapped in an app. And if you’re wondering “How does Revolut work?”, it’s all about simplicity, convenience, and launching new services around the world.

Would you like to explore user perspectives, compare it to other neobanks, or dive into what challenges lie ahead? Just say the word.