British financial technology company Revolut has announced support for new cryptocurrencies. Non-US users of the application will now be able to buy 0x Protocol tokens (ZRX), Tezos (XTZ), OMG Network (OMG), and EOS.
Although users can gain exposure to crypto assets through Revolut, their utility remains limited. The digital currencies bought through the application are still locked to the platform.
Revolut Users Demand Exposure to More Cryptocurrencies
European Revolut users can now buy four new digital currencies through the financial services application. Announced via a blog post on Thursday, the company will support the buying and selling of ZRX, XTZ, OMG, and EOS.
According to a report in Finance Magnates, the additions come as a response to customer demand. The new assets will join Bitcoin (BTC), Ether (ETH), Litecoin (LTC), Bitcoin Cash (BCH), XRP, and Stellar Lumens (XLM), which are already available on the application.
However, not all Revolut users can take exposure to such a wide variety of cryptocurrencies. While US users are still limited to just BTC and ETH, the firm is reportedly looking to expand its US offerings eventually.
The new additions come after a change in Revolut’s digital currency services earlier this year. Previously, only its Premium and Metal members could buy and sell crypto.
In April, the company extended the service to its standard tier members in Europe. However, it enforces a tiered fee structure, with Premium and Metal customers enjoying a 1% discount.
Revolut Still Doesn’t Support Cryptocurrency Self-Custody
Despite recent changes, the so-called neo-banking company still doesn’t support the use of non-custodial wallets. While Revolut users can buy and sell cryptocurrencies, they’re unable to withdraw them from the platform.
Similarly, Revolut users cannot make cryptocurrency payments via cards issued by the firm. These factors significantly limit the utility of any digital assets purchased through the application.
Revolut is among a handful of similar banking applications to offer limited digital asset services. The most recent and notable of their ranks is PayPal, which attracted criticism in October precisely for its custodial stranglehold.
Many cryptocurrency observers argue that services like PayPal and Revolut limit some of the most important features of digital assets.
Users holding cryptos on similar platforms cannot transfer them without first getting permission from the custodian. Similarly, confiscation in the event of a regulatory crackdown would be problematic.
US policymakers recently raised the crypto self-custody issue, causing widespread concern. Treasury Secretary, Steven Mnuchin, proposed regulations requiring exchanges to enforce know your customer (KYC) checks for those attempting to withdraw to non-custodial wallets.
Given the lack of clarity on the issue, it seems unlikely that Revolut or PayPal will be making dramatic changes to their crypto custody policies any time soon.