eToro acquiring TradeZero for up to $231 million in U.S. expansion push
The Israeli-founded trading platform is acquiring a brokerage with U.S. and Canadian operations, broker-dealer infrastructure and a base of active traders as it seeks to broaden its offering in North America.
eToro has agreed to acquire TradeZero, a U.S.-focused online brokerage serving active traders, for up to $231 million, in a deal that would give the Israeli-founded trading platform greater access to the American market and, crucially, the broker-dealer infrastructure needed to expand its offering there.
The consideration will consist of cash and up to 2.5 million newly issued eToro Class A shares, subject to customary purchase price adjustments. The transaction is expected to close in the first half of 2027, pending regulatory approvals.
For eToro, the deal is less about adding another trading app than about acquiring capabilities that could otherwise take considerable time to build.
TradeZero, founded in 2015, operates across the U.S., Canada and international markets. Its business includes trading platforms, broker-dealer infrastructure and a community of active traders, as well as access to the Canadian market.
That infrastructure is particularly significant in the U.S., where regulatory and brokerage requirements can make launching financial products more complicated than simply adapting technology developed elsewhere.
“Today's announcement is an important step in building our US business,” eToro co-founder and CEO Yoni Assia said.
The companies described the two businesses as complementary, with eToro expecting the combination to allow it to launch new products for U.S. customers more quickly.
TradeZero generated approximately $80 million in revenue in the 12 months ended June 30, 2026, with a gross margin of 81%. At the maximum purchase price of $231 million, the deal values the company at roughly 2.9 times its annual revenue, although the final consideration will depend on the structure of the transaction and customary adjustments.
In addition to the acquisition, eToro released its Q2 2026 financial results, which showed reduced reliance on cryptocurrency trading and improved profitability. Revenue from capital-markets trading activity increased by 25% to $142 million, while the contribution from crypto trading fell to just $11 million.
The growth in equity-market activity is particularly notable against the backdrop of weakness in crypto trading. According to data released by the company for July, the number of crypto transactions fell to just 1.4 million, a 73% decline from July 2025. The average investment amount per crypto transaction also fell by 50%, to $182.
By contrast, the number of capital-markets transactions remained relatively stable at 48.5 million, although the average investment amount per transaction declined by 23%, to $207.
eToro's total net revenue increased by 9% to $229 million. At the bottom line, the company reported net profit of $53 million, a 77% increase from $30 million in the second quarter of 2025.
The number of active accounts, defined by eToro as accounts with trading activity, rose 18% to 4.28 million.
Jefferies served as exclusive financial adviser to eToro.
