Funding by Revolut Helps Construct Fintech IP and Expertise in Australia


The pandemic catalysed a surge in startups the world over, with many believing they may attain the success that others earlier than them had achieved. One in every of these beacons of hope is London-based fintech, Revolut, a startup famous person that was based in 2015 and is now value $33billion. 

The corporate launched in Australia in mid-2019 as a part of its wider world growth technique. On this case research, the CEO of Revolut Australia, Matt Baxby describes Revolut’s journey down underneath, together with: 

  • why Revolut selected Australia as a pilot for worldwide growth
  • the rising fintech panorama and alternatives in Australia
  • how Austrade helped Revolut enter and launch in Australia.
Australia is a good studying floor for world fintechs

Revolut has constructed a monetary super-app that helps prospects handle a number of areas of private finance in a single place. By mid-2021, Revolut had gained 16 million prospects and had grow to be the UK’s Most worthy fintech. 

Baxby mentioned that client urge for food for digital know-how makes Australia an excellent place to pilot and develop a fintech enterprise. Moreover, he factors out that Australia’s regulatory surroundings could be very encouraging. It’s open to fintech innovation, he mentioned. 

“It took us 9 months to acquire an Australian Monetary Providers Licence (AFSL),” mentioned Baxby. “However through the software course of we had been permitted to make use of our UK eMoney licence as a part of a short lived licence exemption.”

The exemption enabled Revolut to beta check their product in Australia. It additionally enabled Revolut to construct and tweak options to satisfy the wants of our Australian customers earlier than the official launch.

“Australia has a well-known regulatory regime and top quality fintech expertise. This makes Australia a gorgeous marketplace for Revolut’s growth exterior of Europe.”

Austrade Revolut

COVID-19 has accelerated the shift in the direction of digital banking

The CEO observes that covid-19 has had a drastic influence on customers’ habits and behaviours. It has accelerated the shift in the direction of digital banking. He mentioned this pattern exists in Australia as a lot because it does elsewhere.

“An unsure financial surroundings has made individuals extra conscious of their monetary safety,” he mentioned. “As an offshoot, this has led to a spike in demand for progressive monetary merchandise equivalent to commodities and cryptocurrencies.

“This diversification is going on similtaneously a speedy digitisation of Australians’ lives,” he added. “This leads us to consider that Australians wish to handle monetary transactions in a single place.”

Austrade helps fintechs make contact with stakeholders and authorities companies

Since 2017, Austrade has performed a task in serving to Revolut to launch in Australia. Austrade advisers launched Revolut to key stakeholders within the Division of Treasury, the Australian Securities and Investments Fee (ASIC) and the Open Banking Evaluate, in addition to FinTech Australia. 

All these contacts proved helpful for the worldwide fintech because it scoped the native marketplace for entry. 

“Introductions made by Austrade have helped us to navigate the native regulatory and compliance environments,” mentioned Baxby. “This has been a key enabling issue for us. We needed to work by way of the pandemic to customize and construct Revolut for its last launch in Australia.”

Australia affords a thriving ecosystem for fintechs

Austrade additionally assisted Revolut by offering early insights into the Australian market in addition to holding them knowledgeable about out there authorities grants and programmes. These proved useful as Revolut took its preliminary steps into the Australian market. 

“We consider the resilience and development proven by fintechs in Australia throughout such difficult occasions highlights the maturity of the trade in Australia,” he mentioned. “In some ways, it’s testomony to the efforts of a supportive ecosystem. This bodes effectively for the way forward for fintech in Australia.”

Australia is a gateway to fintech markets in Asia-Pacific

Revolut now has a presence in over 35 nations and processes over 150 million transactions monthly. It’s at present constructing groups for main markets throughout the Asia-Pacific area.

“As our first foray exterior of Europe, Australia has been a key market – together with as a testing floor for informing our world growth technique,” mentioned Baxby. “Australia may function a gateway to markets within the area due to its location and financial ties.” 

Baxby mentioned that Revolut gained useful insights from localising its globally scalable product to satisfy Australia’s excessive regulatory requirements. Assembly excessive buyer expectations has additionally been instructive. He mentioned the launch expertise in Australia will probably show useful elsewhere.

“We’re inspired by the response we obtained to our preliminary public launch,” mentioned Baxby. “This provides us the boldness to make use of our Australian market entry method as a template for world development.”

Revolut is now trying to broaden its footprint within the area, together with launching operations in India, South Korea and the Philippines.

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