Revolut Introduces 1:1 USD to Stablecoin Conversions, Expanding Crypto Accessibility

Executive Summary

Neobank Revolut has launched a 1:1 USD to stablecoin conversion service, allowing its 65 million users to exchange up to $578,630 every 30 days without fees or spreads, significantly integrating digital assets into mainstream finance.

The Event in Detail

Revolut has introduced a service enabling direct 1:1 conversion between the U.S. Dollar (USD) and leading stablecoins such as Circle's USDC and Tether (USDT). This offering is accessible across six major blockchains, including Ethereum, Solana, and Tron. The platform permits users to exchange up to $578,630 within a 30-day rolling period, crucially without incurring fees or spreads.

Leonid Bashlykov, Revolut's Head of Product in Crypto, articulated the strategic intent behind the initiative, stating:

"Today marks the day we remove all anxiety and friction of moving between fiat and crypto...1:1 Stablecoins by Revolut — $1.00 means $1.00"

Revolut will absorb the internal costs to ensure the promised 1:1 exchange rate, contingent on the stablecoins maintaining their peg to the USD. This development follows Revolut's recent acquisition of a Markets in Crypto-Assets Regulation (MiCA) license from the Cyprus Securities and Exchange Commission, which authorizes it to provide regulated crypto services across 30 countries within the European Economic Area. The company reported a 66% increase in customer assets under management, reaching nearly $35 billion in 2024 compared to 2023, alongside a considerable rise in monthly transactions.

Market Implications

The introduction of 1:1 USD to stablecoin conversions by Revolut is anticipated to significantly reduce the operational friction and costs associated with transitioning between traditional fiat currencies and digital assets. This mechanism is particularly impactful for small to medium-sized businesses (SMBs), especially those operating in regions experiencing economic volatility. Elbruz Yılmaz, managing partner at venture capital firm Outrun, noted that SMBs frequently encounter substantial value erosion during currency conversions, compounded by SWIFT fees and slippage when conducting cross-border transfers. Revolut's fee-free model aims to mitigate these financial inefficiencies.

This initiative aligns with a broader industry trend of fintechs and financial institutions integrating stablecoins into their offerings. Western Union has announced plans to launch its USDPT stablecoin on Solana by the first half of 2026. Similarly, Early Warning Services, the parent company of Zelle, has integrated stablecoins to enhance cross-border transactions involving the United States. The stablecoin market has demonstrated robust growth, with its market capitalization surpassing $308 billion and contributing 30% of all on-chain crypto transaction volume by August 2025, reaching over $4 trillion year-to-date.

Expert Commentary

Bashlykov clarified that the primary objective of the 1:1 conversions is not to offer a superior exchange rate but rather to eliminate the "pain of going on and off-chain," thereby streamlining the user experience. Yılmaz underscored the transformative potential for SMBs, stating that the new service would have a "profound impact" by alleviating the financial burden imposed by traditional currency conversion methods.

Broader Context

Revolut's latest offering builds on its established presence in the cryptocurrency market, having supported crypto trading since 2017 and currently offering access to over 200 tokens, including a pay-with-crypto feature for daily purchases. The firm also launched Revolut X, a dedicated crypto exchange platform for professional traders, which has since expanded to 30 EEA countries and includes a mobile application for retail users, signaling its ambition to compete with major crypto exchanges. The global regulatory landscape is also evolving, with frameworks like the GENIUS Act in the U.S. and updated regulations in the UK and UAE providing clearer guidelines for stablecoins. This regulatory clarity, combined with surging crypto adoption rates—including a 50% increase in U.S. crypto activity between January and July 2025—underscores the increasing mainstream acceptance and utility of digital assets in the global financial system.