Revolut Data Breach Occurs Ahead of Israeli Market Entry

British fintech firm Revolut has confirmed a data breach affecting customer information after fraudsters tricked the company into handing over details by impersonating a government agency. The fraudulent requests originated from an email address within a legitimate government domain, though Revolut did not identify the specific agency or explain how the domain was compromised. Upon discovering the deception, Revolut blocked the email address and notified the relevant government body, law enforcement, and data protection and financial regulators.

The company has not disclosed the number of affected customers. However, TechCrunch reported that the stolen data includes birth dates, postal and email addresses, phone numbers, and copies of identification documents like passports and driver's licenses. Revolut stated it has informed all impacted customers and emphasized that its core systems and customer funds were not compromised. The incident involved a fraudulent social engineering scheme rather than a direct breach of the company's banking infrastructure.

This breach occurred just before Revolut's planned expansion into the Israeli market. The company is seeking a "supervisory bank" license in Israel, which would allow it to accept deposits and compete in the lending sector. To lead its Israeli operations, Revolut hired Uri Nathan, former CEO of digital bank Pepper. Founded in 2015 by Nikolay Storonsky and Vlad Yatsenko, Revolut is a major European fintech company that operates without a traditional branch network. The company is also reportedly considering an initial public offering with a potential valuation of up to $200 billion.