AOLâ€™s founder creates startup Revolution Money

3rd October 2007

AOL founder Steve Case has created a new startup Revolution Money, which will focus on online payments. The company will allow users to transfer money for free and will provide credit cards for online shopping in the internet. All transactions will be carried out via the payment system, called Revolution MoneyExchange, reports Reuters agency. Revolution MoneyExchange is expected to be a competitor to such payment systems as PayPal and Amazon.
First partner of Revolution Money will be AOL, the Internet branch of the corporation Time Warner. AOL will allow internet-users to perform payments and transfer money through its instant messaging service AIM. Revolution will also offer users its credit cards RevolutionCard. The amount of commission, charged for payments carried out by this card is 0.5%, while the commission for other cards is 1.9% of the cost of purchase.
It is quite interesting, that customers will be able to receive anonymous credit cards, which will not contain neither name of the owner nor number of the card. Thus, a number of problems will be eliminated, related to the theft of personal data of the users, fraud and theft of cards.
Startap Revolution Money is financed by the Revolution investment company, which also belongs to Steve Case. Revolution runs a venture fund, which amounts about $50 million.