eToro Acquires US Broker TradeZero for Up to $231 Million to Boost US Market Presence
eToro, a trading platform whose stock recently dropped 9% on Wall Street, is acquiring the American broker TradeZero in a deal valued at up to $231 million. The payment includes $75 million in cash and 2.5 million shares. This acquisition aims to strengthen eToro's foothold in the US market, where it currently struggles to compete against Robinhood, as its main presence is outside the US.
Founded in 2015, TradeZero focuses on American and Canadian investors and reported revenues of approximately $80 million over the past 12 months, with a gross profit margin of 81%. eToro expects the acquisition to enhance its profitability within the first year after closing. The investment bank Jefferies advised on the deal. This is eToro's third acquisition this year, following its purchases of crypto companies Zengo and Bit2C in the previous quarter.
Alongside the acquisition announcement, eToro released its financial results for Q2 2026, showing reduced reliance on cryptocurrency trading and improved profitability. Revenue from capital markets trading rose 25% to $142 million, while crypto trading revenue fell to just $11 million. July data revealed a 73% drop in crypto transactions compared to July 2025, with average crypto investment amounts halving to $182. Conversely, stock market transactions remained stable at 48.5 million, though average investment per trade declined by 23% to $207.
Overall, eToro's net revenue increased 9% to $229 million, and net profit surged 77% to $53 million compared to Q2 2025. The number of active trading accounts grew 18% to 4.28 million, highlighting expanding user engagement despite crypto market challenges.
