Revolut has announced a series of updates and product launches as the fintech seeks to diversify its revenue streams and establish itself as a super app.
On Tuesday, Revolut announced a partnership with trading platform CMC Markets and said that its customers would be able to buy and sell corporate and government bonds across Europe for the first time.
The offering, from Revolut’s Lithuania-based investment arm, will allow bond trading across European Economic Area markets with a minimum investment of €100 or $100. Fees will be fixed at 0.25 per cent per trade.
“With higher potential returns and diversification benefits, bonds offer a compelling alternative for investors seeking to build wealth and preserve capital,” said Rolandas Juteika, Revolut’s head of wealth and trading in Europe.
European bond issuance took the shortest time to surpass €1 trillion (£845bn) this year, as debt issuers capitalised on falling interest rate expectations.
Separately, CMC Markets announced it had entered into its first fintech partnership with Revolut, which it said would see the firms “connecting via multiple APIs”.
The partnership, which includes a user interface delivered via Revolut’s app and trading, pricing, account systems, execution, and clearing provided by CMC, could be a first step to offering stock market trading abilities.
Lord Peter Cruddas, CMC’s founder and chief executive, said Revolut customers would initially be offered foreign exchange, index, commodities, treasuries and equity contracts for difference.
Elsewhere, Revolut announced a “Revpoints” feature, which it called the first-ever pan-European debit loyalty card programme in the UK.
The offering allows customers to redeem points from everyday spending for rewards such as airline miles, travel discounts, accommodation, and experiences.
After making 150 eligible transactions, new users can earn 3,000 points, equivalent to 3,000 air miles or up to £60 in travel discounts.
Users are able to earn up to 10,000 bonus points by upgrading their plan and meeting spending thresholds within the first 90 days. Customers on Revolut’s Ultra plan who spend £2,500 a month could earn up to 30,000 points annually.
Since its trial launch last September, Revolut said users had earned 1bn points, 120m of which had been redeemed across seven European markets.
The product announcements are part of Revolut’s efforts to become a so-called super app and achieve more sustainable profitability.
Revolut sought to diversify its business model with an eSIM plan earlier this year, in addition to revenue streams like payments, subscriptions, foreign exchange, and crypto trading. It is also planning to monetise customer data through advertising partnerships.
Meanwhile, audit issues and other regulatory hurdles have meant Revolut still does not have a UK banking licence, more than three years after first applying. This could turbocharge growth in its home market.