Member Info for Sangijuelas1

MV use the UK subsidiary. And probably direct portfolio companies there.

And if MV have funds on deposit?

Quote from FT comments on SVB article
Our lead investors, one of the top 5 European VC funds measured by AUM & no. of unicorns in portfolio, just emailed every portfolio founder to withdraw all of their money from SVB, *now*.

It doesn't matter whether the technicalities hold - the panic has set in, and whoever runs slowest loses. This is the beginning of something much worse."
"

"

I would imagine JPM is not the lead

Sleepless nights at MV as well.
There goes the revolving credit facility.
I am out

https://fintechos.com/press-release/pwc-collaborates-with-fintechos/?utm_content=240940335&utm_medium=social&utm_source=twitter&hss_channel=tw-970677955134357505

By marginal I mean the UK stock market is rapidly turning into a backwater of the global economy.
The likes of Shell and others looking to move. No one wants to list here.

I really think UK markets are headed the way of the DAX. Capital is pouring out of London as its turning into a marginal market.

I think it is target young, upwardly mobile consumers.
Like its marketing deals with the Sidemen

That will be why they have a wait list for their new Ultra account, which is going to cost even more than the £12.99 Metal account.

Rather than Freetrade, which had to slash the cost of its accounts

Following on from Arvest Bank a couple of weeks ago another US deal with fast growing LA fintech
https://www.thoughtmachine.net/press-releases/hmbradley

Do you think if Revolut gets the UK banking license they will attract customers away from the incumbents as they have in Ireland?

ShearClass. I find it very strange that you would question Revolut's reputation by contrasting it with those paragons of virtue you mentioned.

https://www.theguardian.com/business/2021/nov/01/discredit-history-10-years-of-barclays-scandals

https://www.theguardian.com/business/2021/dec/13/natwest-fined-264m-after-admitting-breaching-anti-money-laundering-rules

The NatWest scandal saw them taking bin bags full of Scottish bank notes in Bradford as proceeds from the Glasgow heroin trade.

And then of course there was the RBS/NatWest Global Restructuring Group that literally stole small businesses from their owners with Project :Dash for Cash.

And then there's Lloyd's, which had to be bailed out to the tune of £20bn by the taxpayer and has had to set aside £790m to pay compensation for the HBOS Reading fraud.

So if you can find some comparable failings on the part of Revolut I am all ears

At the end of the day, do you think Draper Esprit were wrong to invest $16.5m in Revolut in 2018?

As they didn't participate in the Softbank raise. And they already reduced their position at the higher price.

This is a Molten Ventures chat so what is your specific criticism of their actions?

Not sure why you would want to compare Revolut to Monzo.
Monzo has 7m account holders while Revolut has 27m.
Revolut has far loftier ambitions than UK challenger bank Monzo, positioning itself as a super app for finances with a global reach. In addition to targeting immigrants to the US for remittance payments it has recently opened operations in Brazil, Mexico and India. It is currently growing fast with banking services in Ireland, Spain, Portugal and Romania.

It is not very helpful to keep analysing Revolut as if it was a bank. It can launch new products on it's platform far quicker than the incumbents, whether that is new payments options and spend management tools for business clients, pet insurance, BNPL and yes crypto.

Everyone knows the $33bn was excessive and fueled by the likes of Softbank.
Molten have applied a significant discount. Another holder wrote it down to $28bn last week but the discounts on the VC share market were down by 65%, although that is not exactly a very liquid market.

It's easy to rubbish companies but at least try to get a fuller understanding of the actual business before doing so.

And as for the fine upstanding folk at Barclays, Jes Staley says Hi

From the article
Barclays rival NatWest (NWG.L) was fined 265 million pounds ($321 million) in December 2021 for failing to prevent the laundering of nearly 400 million pounds, in the first criminal money laundering case by regulators against a British bank.

And of course Revolut are the only bank with issues with money laundering controls

https://www.reuters.com/business/finance/uk-regulator-probes-barclays-over-anti-money-laundering-systems-ft-2023-02-10/

Also BDO is not some small time mickey mouse audit firm.
They are the 5th biggest with global revenues of $12.8bn

https://www.reuters.com/world/uk/kpmgs-banking-audits-not-up-scratch-says-uk-watchdog-2021-07-23/

KPMG audit Barclays

The auditor issue relates to the IT system used to record revenue in 2021. BDO didn't want to rely on it.

Revolut are in the process of changing the system and say it will not be an issue for 2022 revenue reporting. They are projecting £850m for 22.

Incumbent banks have good customer friends in the media who are happy to come down hard on the likes of Revolut while overlooking the shortcomings of the likes of Barclays. They must be getting a bit nervous as Revolut say they are close to getting the UK banking license.

It's worth considering that a big part of the cost base of the incumbents is maintaining their creaky banking cores. This costs them hundreds of millions every year and it makes you wonder how any auditors can ever make sense of the patchwork of different products contained on different IT systems that has to be stitched together every year.

Revolut reported 25m customers a few months back. They are now saying 27m.

At revenue of $1bn and growing valuations over $10bn are more realistic. Revolut was subject to a valuation decrease of about 35% at the interims and MV didn't take part in the Softbank round.

BDO are having to act tough because the overall quality of their audits have been called into question. Much like the audit sector as a whole.
.