Fintechs like Revolut and Robinhood outpace crypto-native platforms as mainstream crypto trading gains momentum.
Revolut has posted a record-breaking $1.5 billion profit for 2024, marking the first time the UK-based neobank has crossed the billion-dollar threshold in annual earnings. A significant contributor to this milestone was its booming wealth division, which saw revenues soar by 298% to $674 million — largely fuelled by increased crypto trading activity.
The surge comes on the back of Revolut’s deepening push into digital assets, including the launch of Revolut X, a mobile crypto trading app that debuted in the UK last May. The company now plans to roll out the app in the US, directly targeting crypto incumbents like Coinbase and Kraken.
Fintechs Push Past Crypto-Only Platforms
Revolut’s success signals a broader trend: fintech companies are starting to outpace pure-play crypto platforms. Leveraging strong brand recognition, broader product offerings, and regulatory compliance, fintechs are carving out a significant share of the digital asset market.
Robinhood, for instance, reported a staggering 700% surge in crypto revenues in Q4 of 2024, pushing the US-based brokerage into annual profitability. Similarly, eToro has expanded its crypto offering, adding 29 new tokens to its trading platform this month.
Building Walletshare with Multi-Service Models
Unlike crypto-native exchanges, fintechs like Revolut offer crypto as part of a wider suite of financial services. This allows them to increase “walletshare” — the proportion of customer spending and investment they capture across multiple verticals, including banking, payments, and now crypto.
Revolut, which already holds a UK banking licence, is well-positioned to attract users looking for convenience and trust in a regulated environment. Analysts suggest that this integrated approach enables fintechs to build more durable revenue streams and long-term customer loyalty.
Crypto Trading Still Volatile but Profitable
Despite a recent dip in trading activity — with global crypto volumes falling by a third to $104 billion in the latest quarter — the spike seen in Q4 underscores crypto’s continued potential as a fee-generating engine for platforms.
Kraken, one of the top US crypto exchanges, is now countering the trend by diversifying its offerings. The firm recently announced plans to offer traditional stock and ETF trading, adding 11,000 equities to its roster. This move mirrors fintechs’ broader multi-asset strategy as the lines blur between traditional finance and crypto.
Outlook: Fintechs to Lead Crypto Evolution
As the crypto landscape matures, fintechs appear better equipped to capitalise on mainstream adoption. Their ability to blend compliance, user experience, and diversified financial products gives them a competitive edge over traditional crypto exchanges.
With Revolut and others scaling their crypto infrastructure and expanding geographically, 2025 could see fintechs dominate the digital asset ecosystem — not just as competitors, but as industry leaders.
