Cryptocurrency-friendly trading neobank Revolut is winding down its crypto services in the United States due to ongoing regulatory uncertainty. Following the announcement of a partial delisting of certain digital assets from its platform, Revolut has now made the decision to suspend all crypto services for U.S. users. According to a statement to Cointelegraph on August 4, the online bank, in collaboration with its U.S. banking partner, will work towards suspending access to cryptocurrencies through its platform starting September 2. By October 3, Revolut will completely shut down its crypto services, thus disabling U.S. customers from buying, selling, or holding any cryptocurrencies.
A spokesperson for Revolut emphasized that this decision will only impact approximately 1% of the company’s global crypto customers. Furthermore, they stressed that Revolut will continue to operate its non-crypto business in the United States. The spokesperson acknowledged the disappointment this may cause and stated that the decision was not taken lightly.
Revolut will be communicating the details of the suspension to its crypto customers in the U.S. through email. The statement noted that their dedicated support team is available via the in-app chat to address any concerns or questions that U.S. customers may have.
In late June, Revolut US announced the delisting of certain cryptocurrencies, including ADA (from Cardano), MATIC (from Polygon), and SOL (from Solana). The company originally planned to proceed with these delistings in September. As of late July, Revolut supported approximately 30 cryptocurrencies in the United States.
Revolut’s move to suspend its crypto services in the U.S. is not an isolated incident. Other major crypto services have been facing challenges in serving their customers in the country as well. For example, Crypto.com, a prominent global crypto exchange, announced the suspension of services to institutional clients in the U.S. in mid-June.
The regulatory landscape surrounding cryptocurrencies in the United States remains uncertain, which has led to companies like Revolut and Crypto.com making difficult decisions to navigate the evolving environment. As the crypto industry continues to mature, regulatory clarity will be crucial for fostering a stable and thriving ecosystem.
It is important to note that Revolut’s decision to wind down its crypto services does not reflect a lack of belief in the potential of cryptocurrencies. Rather, it is a strategic response to regulatory uncertainties and the need to ensure compliance with evolving laws and regulations. As the industry progresses, it is expected that clearer guidelines and regulatory frameworks will be established to provide more certainty for businesses operating in the crypto space.
Ultimately, Revolut’s focus on its non-crypto business in the U.S. demonstrates a commitment to continue serving its customers through alternative means. While the suspension of crypto services may disappoint some users, Revolut remains dedicated to providing a seamless and compliant banking experience. As the regulatory landscape evolves, it will be interesting to see how companies like Revolut adapt and innovate within the crypto industry.