Revolut Cryptocurrency Review (2020)

Revolut Cryptocurrency Feature
  • Ease of Use
  • Beginner Friendly
  • Speed
  • Fees
  • Functionality
3.6

Summary

Revolut makes buying and selling cryptocurrency fast, easy, and simple.

However, there is a BIG downside. You can’t send any cryptocurrency you purchase on Revolut outside of their platform. That sucks. This is just a way for people to speculate on cryptocurrency prices (but not actually use them).

I would 100% NOT recommend Revolut’s cryptocurrency exchange. Check out the link below for better (and cheaper) alternatives.

In December 2017, Revolut rolled out a feature which allows you to buy, sell, and hold cryptocurrency from within their mobile app.

There’s no doubt: Revolut is a fast, simple, and easy way to buy, sell, and hold cryptocurrencies. But I do not recommend Revolut’s crypto exchange.

Want to know why? Read my full Revolut cryptocurrency review to find out more.

Note: This post refers to Revolut’s in-app cryptocurrency exchange, not the popular process detailed here

How Does Revolut’s Crypto Feature Work?

Revolut has made it fast, simple, and easy to buy and sell cryptocurrency inside their app.

Check out this quick video to see how it works.

This type of intuitive process is exactly what the market needs to onboard newcomers and usher wider adoption.

Supported Cryptocurrencies

You can currently buy, sell, and hold the following cryptocurrencies on Revolut:

  • Bitcoin (BTC)
  • Litecoin (LTC)
  • Ethereum (ETH)
  • Bitcoin Cash (BCH)
  • Ripple (XRP)
Will Revolut support forked cryptocurrencies?

It’ll be decided on a case-by-case basis.

I wouldn’t hold out much hope, as I imagine that it’s largely dependent on whether their partner exchange (Bitstamp) supports them.

Supported Countries

Revolut’s in-app cryptocurrency exchange is available to all users who are residents in the following countries:

  • United Kingdom
  • Australia
  • Canada
  • Singapore
  • Switzerland
  • United States
  • European Economic Area (EEA)
What countries does the EEA include?

  • Austria
  • Belgium
  • Bulgaria
  • Croatia
  • Republic of Cyprus
  • Czech Republic
  • Denmark
  • Estonia
  • Finland
  • France
  • Germany
  • Greece
  • Hungary
  • Iceland
  • Ireland
  • Italy
  • Latvia
  • Liechtenstein
  • Lithuania
  • Luxembourg
  • Malta
  • Netherlands
  • Norway
  • Poland
  • Portugal
  • Romania
  • Slovakia
  • Slovenia
  • Spain
  • Sweden

Cryptocurrency Fees

Revolut’s cryptocurrency prices are calculated using the volume-weighted average price (VWAP).

Translated into plain English, this means that the price is weighted in favour of the price that has seen the most volume in a defined time period. This is all based on price data from Bitstamp, who is Revolut’s cryptocurrency exchange partner.

Using the VWAP means that short-lived price movements are not reflected in cryptocurrency prices. If you’re intending to trade, even casually, then this is awful.

Revolut adds a 2.5% markup to the VWAP price “to account for volatility” – which seems like a poor excuse. If you’re a Premium or Metal Revolut user (which both require a paid subscription), then this fee is reduced to 1.5%.

But wait, there’s more! If you’re a standard user and exchange more than £1000 worth of any currency using Revolut, you’ll be categorised as a “high-frequency” customer. If you fall into that category, you’ll then be charged an additional 0.5% in fees when you buy or sell cryptocurrency using Revolut.

You’ll be charged no other fees besides this. However, this isn’t the cheapest way to buy cryptocurrency in the UK. Find out about the cheapest and easiest alternative ways to buy Bitcoin (BTC) and other cryptocurrencies in the UK.

How does Revolut calculate rates for non-traded pairs? (e.g. BTC/PLN)

Bitstamp doesn’t support many fiat currencies – just EUR and USD.

Because of this, Revolut handles all the necessary currency conversion behind the scenes. This is all handled at the interbank rate during normal working hours. They’ll add an extra 0.5% markup to major currencies outside of normal working hours and on weekends.

Cryptocurrency Wallets

Revolut doesn’t support individual cryptocurrency wallets. Instead, your cryptocurrencies are stored in a ‘pooled’ virtual account. Your balance is recorded on their internal ledger.

You also can’t send (or receive) cryptocurrencies outside of Revolut.

This means you:

  • Are locked into the buy/sell price they dictate.
  • Can’t take control of your cryptocurrency.
  • Can’t actually use your cryptocurrency (this is just a speculation vehicle).
Can I spend cryptocurrency stored on Revolut?

Although posts like this have popped up on Reddit, you cannot pay in cryptocurrency when using your Revolut card.

Here’s what happens: If the only funds in your Revolut wallet are cryptocurrency (e.g. Bitcoin) and you buy a coffee at Starbucks, Revolut will automatically exchange the cryptocurrency back into the local currency and then send that over to Starbucks to pay for your coffee. (Source)

However, Revolut is removing this functionality from the 27th July 2020. This means that if you only have cryptocurrency in your Revolut account and attempt to make a purchase, it will be declined.

And it gets better!

Funds received by us in relation to cryptocurrency transactions will not be safeguarded (as is the case for fiat currency transactions pursuant to our obligations under the UK Electronic Money Regulations 2011). Any cryptocurrency we hold for you is not covered by the Financial Services Compensation Scheme. (Source)

So if your funds are lost or stolen, you’ll have no legal recourse for compensation! Great stuff.

Using Revolut is just like leaving your funds on any other cryptocurrency exchange. You shouldn’t do this, as cryptocurrency exchanges have been hacked in the past. Hell, it happens every year!

Summary: Revolut’s Crypto Exchange Sucks

Runaway from this bullshit. Get real Bitcoin (BTC).

Let’s not walk circles around this. Revolut’s in-app cryptocurrency exchange sucks.

It’s telling that Revolut frames their in-app cryptocurrency offering as Cryptocurrency Exposure. It’s just a vehicle for you to speculate on cryptocurrency prices. Nothing more.

It might be an easy on-ramp for your initial purchase – something which motivates you to find out more about Bitcoin (BTC) and other cryptocurrencies. But I’m not convinced by that. There are real cryptocurrency exchanges that are just as easy to setup and use (e.g. Coinbase or Wirex).

I would NOT recommend Revolut’s cryptocurrency exchange in its current state.

(Much) Better Alternatives

I’ve reviewed about a dozen of the best ways to buy Bitcoin (BTC) in the UK and ranked the best ways to buy Bitcoin (BTC) in the UK in this short and sweet list.

But if you’re looking for the easiest way to buy your first Bitcoin (BTC)? Check out Coinbase.

When you signup to Coinbase through this link, you’ll receive a $10 (approx. £8) bonus (paid in BTC) when you buy more than $100 (approx. £80) of Bitcoin (BTC).

For the absolute best way to buy Bitcoin (BTC) in the UK though, check out this popular post.

Anything to add?

What do you think of Revolut’s in-app cryptocurrency exchange? Or do you have a question about it?

Let me know in the comments section below!

Extra: Walkthrough

If you’re interested in seeing buy bitcoin on Revolut looks like, check out this album.

6 thoughts on “Revolut Cryptocurrency Review (2020)”

  1. Hi,

    I made an account on Coinbase from the link you provided and I uploaded my ID but it requires me to send a document that has my address. Do you know if I can avoid this? I don’t have any documents with my current address that are in my name and it would be a shame to not be able to use this platform

    Reply
    • Hey!

      You can’t avoid this on Coinbase. You’re also going to find it difficult to find anywhere that doesn’t require ID and address verification, as KYC rules force anywhere that buys/sells to collect this information.

      If you’re just looking to buy a little, then Solidi and Bittylicious do allow small purchases with little, if any, verification.

      Hope that helps a little. Let me know how you get on with this!

      Reply
  2. Do Revolut have any plans to improve on there current cryptocurrency options?
    As you’ve stated you can merely purchase it within the App but do you know if they plan to improve on any of the areas you have highlighted as flaws?

    I have purchased a modest amount of Ether & LTC via Revolut as I am quite new to this space, however I am now going to set myself up on coinbase based off of the information you have provided.

    Reply
    • Hi Chris,

      I haven’t heard anything about them changing this, but it could be in the pipeline.

      If you want something easy, then Coinbase is an excellent entry point for a beginner. If you do use this, consider sending money in via a bank transfer as it’s cheaper than using a debit card (1.5% vs 4%).

      Stay safe!

      Reply
  3. My card was compromised and wanted to dispute some transactions. A real bank will help out the customer at any time but Revolut finds always a way NOT to help out the customer,I have been with them in touch every single day waiting in chats for hours and charge back team contacts me with some Terms and conditions that they cannot help me. So my money was lost. The transactions were Not 3d secured so a real bank would help me out to get back my money . I personally worked with chargebacks and the bank will always help out the customer but Revolut is obviously not a bank and they are not helpful and also greedy. I don’t recommend at all I’m sorry.

    Reply
    • Thanks for the comment, Alex.

      If you’re from the UK, then I’d recommend you escalate to the Financial Ombudsman after exhausting all communications with Revolut (incl. submitting an official complaint to Revolut and letting them know you’re intending to escalate if there’s not a resolution). I found some more details here.

      I’ve been through a similar situation with PayPal. It sucks. Record everything, go through the motions, and hopefully, it resolves in your favour.

      Best of luck and thanks for sharing 🙂

      Reply

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