Revolut accelerates its penetration into emerging markets: negotiates entry into Turkey through digital banking

The British fintech giant Revolut is in advanced talks to acquire FUPS, a digital banking institution established under the branchless banking regime in Turkey. According to sources cited by Bloomberg, the negotiations aim to strengthen the company’s presence in a territory where a cryptocurrency exchange still operates on a limited basis, seeking to expand its comprehensive financial service offerings.

Revolut’s Strategic Move in the Middle East

The potential acquisition represents a significant leap in Revolut’s growth strategy under the leadership of Nik Storonsky. With 70 million users worldwide and a valuation of $75 billion reached last November, the company has intensified its efforts to penetrate markets that still exhibit fragmentation in digital financial services. Entry into Turkey aligns with its expansion agenda, which has already spanned from Scandinavia to Latin America.

FUPS, established in 2022, represents a strategic asset due to its fully digital banking license under Turkish regulations. The institution operates with an initial capital of approximately $81 million and manages a staff of around 60 employees. Its main appeal lies in its solid regulatory position, a fundamental requirement for Revolut to develop cryptocurrency exchange operations under established supervision.

Conditions and Outlook of the Agreement

The negotiations are in early stages and are subject to multiple contingencies. The Banking Regulation and Supervision Agency of Turkey (BDDK) must grant its approval for any agreement to proceed. So far, neither Revolut nor FUPS have officially confirmed the negotiations, limiting themselves to stating that they do not comment on market speculation.

Competitive Impact Analysis

Bloomberg Intelligence analyst Tomasz Noetzel emphasizes that Revolut’s entry into Turkey would strengthen competition in a sector dominated by digitally sophisticated banking institutions that still rely on traditional branch infrastructure. For the transaction to be successful, it will be critical for Revolut to achieve differentiation beyond price criteria and basic platform usability.

If finalized, the acquisition would mark another chapter in the consolidation of European fintechs in markets with latent demand for modern financial services, particularly in segments where cryptocurrency exchanges are increasingly attracting young users.