Online brokerage eToro has officially filed to go public in the United States, seeking to raise $500 million through a Nasdaq listing that would value the company at up to $4 billion. The Israel-based trading platform, known for offering both stock and cryptocurrency trading to retail users, will sell 10 million shares at an estimated range of $46 to $50 per share, according to its May 5 filing with the U.S. Securities and Exchange Commission (SEC).
Of the 10 million shares offered, half will come directly from eToro, with the remaining 5 million shares being sold by existing stakeholders. These include company insiders such as co-founder and CEO Yoni Assia, his brother and executive director Ronen Assia, and a group of venture backers including Spark Capital, BRM Group, and Andalusian Private Capital.
The proposed listing will trade under the ticker symbol "ETOR" on the Nasdaq Global Select Market, placing eToro in direct competition with incumbent retail brokers like Robinhood (HOOD), which also offers crypto alongside equities and options trading. eToro’s IPO is being underwritten by a consortium of major investment banks including Goldman Sachs, UBS Investment Bank, Jefferies, and Citigroup.
The public filing follows an earlier confidential submission made to the SEC in January. The IPO was initially slated for earlier in 2025, but market volatility tied to recent geopolitical developments - including former President Donald Trump’s “Liberation Day” tariff declaration on April 2 - led eToro to postpone the offering. Trump’s unexpected announcement roiled global markets and caused a wave of IPO delays across sectors, particularly among tech and fintech firms.
eToro’s decision to proceed now comes as crypto-adjacent companies are returning to the IPO pipeline after years of hesitance due to regulatory scrutiny and market instability. Stablecoin issuer Circle filed for an IPO in April but has since paused its plans. Meanwhile, crypto exchange Kraken is reportedly accelerating its timeline for a 2026 public debut, amid anticipation of a second Trump administration that may pursue deregulatory crypto policies.
IPO Structure and Share Distribution
The $500 million raise is split between primary and secondary offerings. eToro itself is selling 5 million new shares to raise capital for corporate purposes, while existing shareholders are selling another 5 million shares. This dual structure allows the company to gain fresh funds without excessive dilution, while also enabling early investors to partially exit.
A portion of the IPO - 500,000 shares - will be sold through a directed share program, which typically allocates stock to employees and select stakeholders at the IPO price. Additionally, the company disclosed that funds and accounts managed by BlackRock have expressed interest in acquiring up to $100 million in IPO shares, though these commitments are non-binding.
Financial Overview: Crypto Trading Revenue Surges, But Share Drops
In its IPO filing, eToro provided new insights into its financial performance, especially in crypto. The platform reported $12.1 billion in crypto trading volume for 2024 - a dramatic increase from $3.4 billion in 2023 - highlighting the rising retail interest in digital assets during the last bull cycle.
Despite the volume spike, the share of crypto in eToro’s total commission revenue fell. In Q1 2025, crypto accounted for 37% of trading commissions, down from 43% in the same quarter a year earlier. This suggests that while crypto remains a significant driver of user activity, traditional equities and other asset classes may be regaining relative importance, or that eToro’s crypto margins are thinning.
The company’s broader commission revenue breakdown and profitability metrics have not been fully disclosed, although eToro’s 2023 and 2024 financials show rising costs associated with both user acquisition and regulatory compliance - a trend common among fintechs scaling across jurisdictions.
Regulatory Disclosures Highlight Key Risks
The company’s filing spends significant space detailing regulatory and market risks, particularly around its crypto business. eToro notes that increasing regulation - particularly at the state level in the U.S. - could “place strain on [its] resources” and even prevent operations in some jurisdictions altogether. The patchwork nature of U.S. crypto regulation continues to be a challenge for platforms operating nationally.
On the international front, eToro cited the European Union’s Markets in Crypto-Assets (MiCA) regulation as another driver of elevated ongoing compliance costs. MiCA, set to take effect incrementally through 2025 and 2026, imposes licensing and reporting obligations on all crypto asset service providers operating in the EU.
The company also warned that negative media coverage or sharp user losses tied to listed cryptocurrencies could damage its reputation and user base. This caution echoes a broader concern across the retail brokerage sector - that volatile assets may trigger user disengagement or regulatory crackdowns that affect platform profitability.
Competitive Landscape: Robinhood, Coinbase, and Fintech Platforms
eToro's IPO positions it alongside - and potentially in competition with - publicly traded fintech firms such as Robinhood (HOOD), Coinbase (COIN), and SoFi Technologies (SOFI). While Robinhood and SoFi cater largely to U.S. audiences, eToro has a more global footprint, operating in over 100 countries. However, it lacks full regulatory clarity in several key U.S. states - an issue that may hinder further domestic growth.
Robinhood recently reported a slowdown in crypto trading for Q1 2025, even as its stock rallied nearly 30% year-to-date. Meanwhile, Coinbase has been entangled in a high-profile legal battle with the SEC over its business model, drawing attention to the uncertain regulatory terrain for crypto exchanges and brokerages alike.
eToro differs in that it offers a social trading platform - a feature that allows users to copy trades from high-profile investors - but this model has not yet proven dominant in the U.S. market, where most users favor direct trading or algorithmic strategies. In this context, eToro’s global expansion and regulatory adaptability may be as critical as its platform features or trading volumes.
Broader IPO Environment for Crypto-Adjacent Firms
eToro's IPO arrives at a time when investor appetite for crypto-aligned companies is recovering from a multi-year slump. The public markets remain cautious but selectively open to digital asset companies with diversified business models, regulatory readiness, and credible user bases.
The IPO market overall has experienced fits and starts in 2025. Trump’s April tariffs caused a temporary freeze in listings, but the return of political clarity - along with continued interest rate stability - has reopened the door for fintechs and high-growth tech firms to test the public markets again.
Circle’s pause and Kraken’s rumored plans suggest that while caution remains, a second wave of crypto IPOs could unfold in late 2025 or early 2026, especially if political conditions shift favorably.
Long-Term Outlook
Should the IPO be successful, eToro would gain fresh capital for potential acquisitions, product expansion, or regional growth - particularly in North America, where it lags behind domestic competitors. However, much will depend on how markets value platforms offering crypto trading at a time of both heightened regulatory scrutiny and waning speculative fervor.
eToro’s public offering also represents a test case for how retail-focused brokerages balance the volatility of crypto with the relative stability of equities. The firm’s revenue concentration in crypto could be a double-edged sword - advantageous during bull markets, but risky when user engagement falters or tokens face regulatory pressure.
Moreover, the IPO could serve as a bellwether for other private crypto or fintech companies considering U.S. listings. If eToro succeeds in pricing near its $4 billion target, it may signal renewed investor openness to crypto-exposed companies - so long as they present a defensible business model and a regulatory compliance roadmap.
eToro’s planned U.S. IPO marks a significant moment for the evolving relationship between traditional capital markets and the crypto industry. With a proposed $500 million raise at a $4 billion valuation, the company is positioning itself as a retail trading platform with global reach and diversified offerings. Yet, its reliance on crypto revenues, fragmented regulatory environment, and increasing competition from domestic players pose material challenges.
As other crypto firms watch closely - and potentially follow suit - eToro’s listing may offer insight into whether public markets are once again ready to embrace the fintech-crypto hybrid model that stumbled during the last cycle. Investors, regulators, and competitors alike will be watching how “ETOR” trades in its debut - not just as a stock, but as a signal.