Revolut valued at $115 billion as fintech giant challenges Europe's traditional banks

British financial technology company Revolut has reached a valuation of $115 billion, becoming Europe's most valuable startup and surpassing traditional banking giants such as Barclays and Societe Generale in private-market valuation.

According to Reuters, Revolut completed a new funding round on Wednesday, confirming its $115 billion valuation. The company declined to disclose how much capital it raised in the latest round.

Founded just over a decade ago as a fintech platform offering cheaper foreign exchange services, Revolut has grown into a major challenger to established players in the global banking industry.

Global expansion strategy

Revolut CEO Nik Storonsky has emphasized his ambition to turn the company into a truly global financial institution, expanding into markets ranging from Mexico to Australia.

In recent weeks, the company has announced several new regulatory licences. Its goal is to become one of the few banks with a retail presence spanning much of the world.

Revolut reported pre-tax profit of £1.7 billion (approximately $2.2 billion) in 2025. By comparison, Barclays recorded £9 billion in pre-tax profit over the same period.

Nevertheless, analysts see Revolut's rapid expansion as a growing competitive threat to traditional banks.

Cihan Duran, a director at S&P Global Ratings, said European banking executives increasingly view Revolut as one of their biggest competitors because of its aggressive marketing and rapid growth.

Significant challenges remain

Despite its $115 billion valuation, Revolut still faces a number of challenges.

One of the main issues is that its revenue per customer remains significantly lower than that of established banks. In addition, its lending business is still relatively small compared with major banking institutions.

The company says it generates revenue through a diversified business model, offering a range of financial products and services rather than relying primarily on lending.

Revolut is also expected to face intense competition in the US market, where its banking operations are not yet fully established.

Konstantin Sidorov, head of the London Technology Club, said the United States could offer significant growth opportunities for Revolut but remains one of the world's most competitive markets.

The company has also faced reputational challenges. In Lithuania, Revolut was fined over shortcomings in its anti-money laundering controls. The company said the investigation had not identified confirmed cases of money laundering and that it had taken steps to address the deficiencies.

In September, Revolut accidentally sent customer data to hackers posing as government investigators. The company said its systems and customer funds were not affected by the incident.

Customer base reaches 80 million

One of the clearest indicators of Revolut's rapid growth is the expansion of its customer base.

According to the company's website, Revolut has 80 million customers worldwide. This compares with 84 million customers at JPMorgan and 41 million at HSBC.

In Ireland, Revolut says approximately 80% of the adult population has a Revolut account.

However, questions remain over how many customers use Revolut as their primary bank account rather than simply as an additional financial service.

The company declined to disclose the latest number of customers using Revolut as their primary account in 2025, but said the figure had increased by 45% compared with the previous year.

This metric is particularly important to investors. The ability to turn Revolut from an app used mainly for everyday payments and currency exchange into a primary banking provider could play a decisive role in its future growth.

A new challenger to traditional banks

Revolut's $115 billion valuation highlights the growing influence of technology companies in the financial sector. However, a higher private-market valuation does not mean the company has already surpassed traditional banks in terms of profitability.

Its future success will depend on its ability to sustain global expansion, attract customers to its core banking services, grow its lending business and address concerns over customer trust.

Revolut is no longer simply a fintech startup. It is emerging as a major financial player with the potential to reshape competition across Europe's banking sector.