Morning Brief 7.27.20: Revolut picks up investment to feed expansion

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The information you need to start your day, from PaymentsSource and around the web:

Topping up

Fintech Revolut has raised $80 million from TSG Consumer Partners as part of an earlier Series D round that it announced in February.

The new infusion increases overall Series D funding to $580 million, but keeps Revolut's valuation at $5.5 billion, reports TechCrunch.

Revolut got its start as a London-based digital payments app, and has added several markets and financial services over time, most recently partnering with Amex to increase Revolut's ability to link with other institutions through open banking rails.

Nikolay Storonsky, chief executive officer of Revolut Ltd.
Nikolay Storonsky, chief executive officer of Revolut Ltd.

Real money

A federal court ruled bitcoin is covered under Washington, D.C.'s Money Transmitters Act, creating a legal path to prosecute parties and individuals using the cryptocurrency to launder money.

The court said bitcoin fits the description of a "medium of exchange, method of payment or a store of value," reports Coindesk, citing a court document. The court used that rationale in refusing to dismiss federal laundering charges against Larry Harmon, who was operating an unlicensed bitcoin trading platform.

While the ramifications of the ruling are likely limited, it gives a potential citation to those who would argue bitcoin, and potentially other cryptocurrencies, could be subject to the same rules as traditional government-issued currency for purposes of laundering and payment-related crime.

Feed the meter

Hamilton, Ontario has launched an iPhone and Android app that allows people to remotely find and pay for parking spots.

Drivers will also receive an alert when the parking meter is near zero, with an option to remotely add more time.

The city is positioning the app as part of its virus response, given it allows a contactless experience, reports iPhone in Canada. Hamilton is near a technology corridor, and many of the surrounding towns have adopted similar technology, so Hamilton is trying to be consistent.

Bad location

GPS and wearable computing company Garmin, which has drawn support from banks for IoT payment technology was hit with an apparent ransomware attack that interrupted major parts of its operation.

The attack shut the company's website, fitness devices, call center and even its aviation app, grounding some planes, reports CNN. The attack also prevented new downloads for a time.

Ransomware attacks have become increasingly common, hitting governments, financial institutions and other organizations, often causing shutdowns that can linger for days.

From the Web

India eyes global online payments push as transactions boom
FINANCIAL TIMES | Sun July 26, 2020
Since it launched in 2016, India’s Unified Payments Interface has helped propel the growth of online payments in the country of 1.4bn people.

Wirecard scandal brings overhaul of EU fintech rules into sharper focus
REUTERS | Fri July 24, 2020
The collapse of German payments firm Wirecard has become a focal point for an overhaul of how the European Union regulates the finance industry as it evolves away from traditional banks towards fintech companies, its financial services chief said.

American Express pays $955m to renew global partnership with IAG
VERDICT | Mon July 27, 2020
Under the agreement, American Express agreed to pay IAG Loyalty nearly £750m ($955m) as the latter grapples with a cash crunch amid Covid-19 pandemic.

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