London startup mobile bank Revolut Ltd. has secured $80 million in new funding at a $5.5 billion valuation as part of its Series D round that kicked off five months ago.
In February, Revolut raised $500 million in a round led by Menlo Park, California-based TCV, one of the largest growth equity firms. The new funding is an extension of that round to $580 million while the valuation remains the same, the company said.
Revolut is also backed by Index Ventures, the global venture capital firm with dual headquarters in San Francisco and London, and a half dozen others.
Founded in 2015, Revolut began by offering prepaid debit cards that allowed users to avoid foreign exchange fees while traveling abroad. Since then, the financial technology (FinTech) company has expanded its portfolio to also offer business banking.
Revolut is an app-based consumer bank account that allows customers to send and receive money and use built-in budgeting tools. The startup offers its digital banking features with a debit card that users can attach to their accounts, stock trading tools, cell phone and travel medical insurance, buy shares, donate to charities and save money. It boasts more than 12 million customers.
While Revolut has emerged as one of the biggest players in the crowded FinTech sector, it has yet to make a profit.
Last week, Revolut, which recently debuted in the U.S. with an app and debit card, expanded into cryptocurrency trading with Paxos Trust Co., the New York-based settlement platform.
Under the terms of the deal, Paxos handles the back-office details needed to make the cryptocurrency brokerage operate on Revolut’s platform, including compliance with state and federal regulations, while enabling Revolut to handle the customer-facing aspects of the relationship.
In June, Revolut added American Express to its open banking platform.
The feature allows customers in the United Kingdom to connect their American Express accounts to Revolut, allowing them to see their balances and transactions in a single app.
In May, Revolut said it will integrate its products with Clear Books, which offers accounting software for small businesses. The two firms said the pairing will enable customers to see transaction history, track whether invoices are paid or outstanding, record bills and expenses, and automatically create great financial reports.