eToro Acquires TradeZero Amid Crypto Revenue Decline

eToro plans to acquire US online brokerage TradeZero as part of its effort to expand within the US financial market.

The deal is expected to accelerate eToro's expansion through an established brokerage platform, deepening its US brokerage footprint. eToro's broader product mix already includes equities and commodities, and management has emphasized user movement between those categories and crypto.

eToro reported $1.59 billion in revenue for the quarter, down from $2 billion in the comparable 2025 period. Revenue tied to crypto assets totaled $1.34 billion, down roughly 30% versus $1.9 billion in Q2 2025, and eToro also reported $1.35 billion in crypto-related cost of revenue.

Crypto trading activity cooled, with total crypto trades on the platform falling to 1.4 million (down 73% year over year) in July. TradeZero generated about $80 million of revenue with 81% gross margins in the last 12 months ended June 30, 2026.

eToro expects the acquisition to be accretive to adjusted earnings per share in the first year after closing. Closing is expected in the first half of 2026.