Revolut Confirms Data Breach Ahead of Israeli Market Launch

British fintech company Revolut has confirmed a data breach affecting user information, according to Reuters. The breach occurred when attackers exploited a vulnerability in the company's process for handling official requests from government bodies. The fraudsters used sophisticated social engineering tactics, submitting requests that appeared to originate from a legitimate government email domain to trick Revolut's security team.

While Revolut stated that direct computer systems and customer bank accounts were not compromised, personal data was accessed. This included customer dates of birth, phone numbers, email addresses, and digital copies of passports and driver's licenses. The exact number of affected users has not been disclosed by the company.

Revolut has taken immediate action by blocking the compromised address, notifying law enforcement and regulators, and informing all affected customers. The incident comes at a critical time for the company, as it was preparing to expand its operations in the Israeli market, where it aims to obtain a Tier 1 banking license to compete with established financial institutions.

In a separate, unrelated development, Ilit Raz, the founder and CEO of Israeli AI company Joonko, pleaded guilty to securities fraud in a Manhattan federal court on September 11. Joonko allegedly raised approximately $27 million from investors between 2021 and 2022 through a fraudulent scheme. Raz faces a maximum sentence of 20 years imprisonment, with the final sentence to be determined by a federal judge.