As retail crypto trades collapse 73%, eToro drops $231 million to capture active US stock traders
eToro’s July crypto activity fell sharply: users made 1.4 million crypto trades, down 73% year over year, and average investment per trade dropped to $182. Despite that slowdown, second-quarter results were strong overall: net contribution rose 9% to $229 million and GAAP net income jumped 77% to $53 million, suggesting equity trading and CopyTrading helped offset weaker crypto activity. eToro also agreed to buy TradeZero for up to $231 million, paying cash and issuing up to 2.5 million Class A shares. TradeZero is a US-focused broker for active stock traders and generated about $80 million of revenue over the last 12 months. eToro said the deal should speed US product expansion and be accretive to adjusted EPS in year one, with closing expected in the first half of 2027. The transaction looks more like diversification than a retreat from crypto: eToro also announced a separate crypto-wallet deal with Zengo in April.
