eToro cryptocurrency exchange mobile wallet

eToro to Roll Out U.S. Cryptocurrency Trading

Leading social investing platform eToro is to expand its reach into the U.S. market, offering American investors the opportunity to access its cryptocurrency exchange and mobile wallet services.

The Israel-based firm, which also has offices in Cyprus and the U.K., announced its intentions earlier this week with the launch of a waiting list for U.S.-based investors looking to get involved. The platform allows for a range of crypto assets to be traded, including bitcoin, ethereum, XRP, dash, litecoin, bitcoin cash, ethereum classic, stellar, EOS and NEO.

Until this announcement, eToro had offered only minimal access to cryptocurrency markets, largely through its cryptocurrency contracts for difference, or CFDs, which provide investors with a leveraged alternative to trading in cryptocurrency markets directly.

In early 2017, the firm began offering more access to crypto markets, Sportsbook up ethereum, litecoin and XRP transactions, although with no support for deposits or withdrawals in any cryptocurrency.

With the plans to launch a full cryptocurrency exchange servicing the U.S. market, expected later this year, eToro is now poised to offer a more comprehensive platform for cryptocurrency trading and exchange.

Guy Hirsch, the managing director of eToro’s U.S. division, explained how the cryptocurrency exchange will fit in with the existing social features of the platform.

“If the market is bitcoin, then every time there is a mention about bitcoin by some other user, you’ll be able to see that in your news feed. You’ll be able to comment on that, share that or like it. Similarly, you can start a conversation about bitcoin, then other people who have bitcoin on their watch list will be able to see your post.”

eToro works by giving traders the option to copy others on the platform, in exchange for funds equivalent to two percent on traded positions paid to influencers for every copied trade. Upon the launch of its U.S. offering, eToro expects to add to the existing 250 paid cryptocurrency traders on its platform, followed by thousands of other investors each.

With an eye on the bigger picture, Hirsch suggested that the future could bring much more widespread tokenization, including for existing commodities and securities.

“I believe those will come onto the blockchain. And eToro plans to be a leader in propelling that vision into a reality.”