In recent months, rival bank Revolut obtained a regulatory mandate to offer crypto services to its 17 million customers in Europe and announced that the bank has ambitions to expand its crypto workforce on the continent.
On September 1, Revolut notified its customers by email that from October 3, 2022, it would change its fee for “buying and selling cryptocurrency from 2.50% to 1.99% or €0.99, depending on which is higher.”
The drop in cryptocurrency trading prices represents a drop of 20.4%; Whether it is due to the volatility of the cryptocurrency market remains to be seen, despite the huge correction that occurred in 2022, the bank reported interest from customers in learning about cryptocurrencies.
In fact, Revolut announced in August that its crypto education platform had attracted around 1.5 million users a month after its launch. Learn & Earn students have used the platform from at least 32 countries around the world.
Japanese subsidiary of Revolut ordered to improve anti-money laundering measures
Elsewhere, outside of Europe, Revolut Technologies Japan, Inc. Ltd., the Japanese subsidiary of the London-based fintech company, was ordered to improve business on September 2 by the local finance office in Kanto, Japan.
The order came after the Financial Services Agency (FSA) conducted an on-site inspection of the company and found “serious problems” in the “company’s control environments for governance, management of external contractors, and money laundering and terrorist financing risk management.”
The regulator went on to say that the Japanese subsidiary of Revolut had failed to establish sufficient governance to provide remittance services in an accurate and consistent manner. In addition, the Japanese branch did not properly and consistently investigate core services, such as money transfer services, which it outsourced to its London-based parent company.
In addition, Revolut Japan has not implemented adequate AML/CFT risk management controls, lacks a robust transaction verification mechanism, and lacks guidelines for detecting suspicious transactions.
Revolut needs to address issues
Japanese regulator Revolut Japan has issued a series of business improvement directives to address the difficulties. The organization must create a structured environment to ensure adequate governance, legal compliance, oversight of external contractors, and risk management for money laundering and terrorist financing.
In addition, the Japanese company must submit a business improvement plan to the regulator by October 3, outlining the exact steps it will take in response to the request and implement them immediately upon submission.
Finally, the company was required to submit a quarterly report to the regulator on progress and implementation status until all material applications had been completed.
The Revolut post that cuts cryptocurrency trading fees by 20% as of October 2022 first appeared on Coinphony.