How Revolut Turned Early Investors into Millionaires

In 2016, Revolut, a UK-based fintech startup, launched an equity crowdfunding campaign on Crowdcube, offering retail investors a chance to own a piece of the company. At the time, Revolut was valued at just $40 million, and 433 investors collectively poured in £1,007,050—about $1.3 million. Fast forward to 2024, and Revolut’s valuation has skyrocketed to $45 billion, delivering a jaw-dropping 1000x return for those early backers. This story, shared by lito on X, showcases one of the most successful equity crowdfunding campaigns ever.

Breaking Down the Numbers

Let’s put this into perspective. The 433 investors who participated in Revolut’s 2016 crowdfunding round invested an average of £2,326 (around $3,000 at the time). With the company’s valuation jumping from $40 million to $45 billion, that’s a 1125x increase in value. On paper, the average investment is now worth approximately $2.49 million, as noted in a Hubtas Media article. Even after accounting for dilution—where the value of shares decreases as a company issues more stock over time—these investors are still sitting on life-changing gains.

For context, dilution is a common challenge in high-growth startups. As Loopify pointed out in the thread, dilution can be “crazy” for early investors as companies raise more capital. However, as lito humorously replied, “I’d love to be diluted like that 😂,” highlighting that even with dilution, the returns are extraordinary.

Why Revolut’s Crowdfunding Was a Game-Changer

Revolut’s decision to crowdfund in 2016 wasn’t just about raising money—it was a strategic move to build a loyal community. As Chad West, a user in the thread, explained, the campaign was “genuinely done for community reasons, to give early users a slice of the pie, not because we needed additional capital.” Lito followed up, asking if the 433 investors became “invested ambassadors” for Revolut, suggesting that their involvement might have helped spread the word and fuel the company’s growth.

Revolut launched in 2015 with a mission to offer a digital-first approach to financial services. By 2016, it had already gained 200,000 customers in just 10 months, according to Crowdcube. Today, the company boasts over 10 million users, primarily in Europe and the UK, and has expanded its offerings to include lending services, business accounts, and even charitable initiatives with organizations like WWF and The Rainforest Alliance.

Comparing Revolut to Other Crowdfunding Success Stories

Revolut isn’t the only UK fintech to see massive returns from crowdfunding. James Ross in the thread shared his experience with Monzo, another digital bank. Monzo’s 2016 crowdfunding round valued the company at £29 million, and its valuation has since grown to £4.5 billion—a 30x return for early investors. While impressive, this pales in comparison to Revolut’s 1000x gains, making it the “most successful to come out of that era,” as James noted.

However, not every crowdfunding story ends in success. Maxlomu shared a less fortunate experience, mentioning their investment in Citymapper, which was acquired for a lower price than expected, resulting in a loss. This highlights the high-risk, high-reward nature of equity crowdfunding—while Revolut’s investors hit the jackpot, others may not be so lucky.

The Bigger Picture: Equity Crowdfunding in the UK

The UK has been a pioneer in equity crowdfunding for tech startups, as Crowdsourcing Week points out. Alongside Revolut and Monzo, companies like Pod Point have also delivered solid returns, with early investors seeing a 5.5x return after its £110 million acquisition by EDF in 2020. Revolut’s success, however, stands out due to its sheer scale and the transformative impact on its investors.

Revolut’s journey also reflects its strong financial performance. Unlike many fintech peers struggling with declining valuations amid rising interest rates, Revolut has continued to grow. In 2021, it raised $800 million at a $33 billion valuation, and by August 2024, it hit $45 billion after an employee share sale, according to Lenderkit. The company also secured a UK banking license in July 2024, further solidifying its position as a leader in the fintech space.

What’s Next for Revolut and Its Investors?

Revolut’s latest $45 billion valuation has allowed early investors and former employees to cash out through secondary share sales, as reported by Hubtas Media. However, the 433 retail investors from the 2016 Crowdcube campaign are still waiting for their chance to sell, though their paper gains remain monumental.

This story underscores the potential of equity crowdfunding to democratize investing. As Revolut continues to expand—rolling out banking operations across Europe and aiming for profitability—its early backers serve as a testament to the power of small investments in the right opportunity. For anyone considering crowdfunding, Revolut’s 1000x success is a reminder of the rewards (and risks) that come with backing a future unicorn.