The hot foreign exchange app Revolut has ordinary users pledging millions to its equity crowdfunding campaign.
Just yesterday, the startup announced it raised a $10 million (£7.75 million) Series A funding round to facilitate the way people send and receive money globally. Of the £7.75 million, UK-based Revolut opened up £1 million for an equity crowdfunding round on Crowdcube.
“We want to give our customers the same opportunity as professional VCs get,” CEO Nikolay Storonsky told Bank Innovation. Less than two days later, 6,993 users have pledged more than $17 million (£13.8 million) as of this morning, he said. The pre-registration for the campaign ends July 18th, the company said in a blog post.
The Crowdcube campaign comes after a hugely successful series A round in which we raised £7M and were oversubscribed by leading VCs. To determine who gets to invest in the crowdfunding round, we are ranking users based on the number [of] Revolut contacts they have in their phone. Those with the most contacts will get priority access to the official bid page after the 7-day pre-registration period has ended.
The startup is now focused on product development, including the introduction of business accounts, Storonsky said. In addition, Revolut is already mapping out its expansion outside the U.K.: the U.S. and Australia are next.
Revolut supports 23 different currencies, matching the interbank rate. Users can send and receive money through the app, but can also order a MasterCard physical card to make payments in 90 countries.
The app, launched last year, already has over 200,000 customers, and $500 million in transactions under its belt. The company estimates 1,500 new customers sign up every day.
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