eToro to acquire TradeZero as Q2 crypto revenue drops 30%

Trading platform eToro will acquire U.S.-based brokerage TradeZero in a strategic expansion move as its cryptocurrency-related revenue fell approximately 30% year-over-year in the second quarter.

The company did not disclose financial terms of the deal. TradeZero, which offers commission-free trading and advanced order execution tools, will operate under eToro’s platform following the acquisition. eToro has not provided a timeline for the completion of the transaction.

Crypto revenue at eToro totaled $25 million in Q2, down from $35 million in the same period last year, according to internal figures cited by executives. The decline reflects broader market trends, including reduced trading volumes and lower asset prices across major cryptocurrencies such as Bitcoin and Ethereum.

The acquisition comes as eToro seeks to strengthen its U.S. presence amid regulatory clarity and growing institutional interest in digital assets. TradeZero’s existing customer base and technology infrastructure will complement eToro’s multi-asset platform, which supports stocks, ETFs, and cryptocurrencies.

eToro’s global user base exceeded 30 million accounts as of the first quarter, with the U.S. representing a key growth market. The company has emphasized expanding its U.S. operations in recent quarters, including partnerships and regulatory filings to operate as a registered broker-dealer.

TradeZero, founded in 2014, specializes in direct market access and short-selling capabilities, catering to active traders. Its integration with eToro is expected to enhance the latter’s offerings for U.S. clients, particularly in equities and derivatives trading.

The acquisition follows a period of volatility in crypto markets, with Bitcoin’s price declining roughly 15% in Q2 amid macroeconomic uncertainty and regulatory developments. eToro executives noted that while crypto revenue declined, other asset classes such as equities and commodities showed resilience.

The deal remains subject to regulatory approvals and standard closing conditions.