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eToro Exchange Review 2024
eToro is unique in the cryptocurrency exchange space, as it has been around since before the Bitcoin network was launched.
This trading platform was originally for trading traditional assets, but more recently, eToro has entered the cryptocurrency space. The site has more than 27 million users.
eToro offers many trading features that beginners can benefit from, and to top it off, the entire interface experience is extremely friendly and welcoming to first-time crypto traders. Unlike some of its competitors, eToro crypto also offers the ability to actually withdraw your crypto to a personal wallet.
Let’s learn more in our complete eToro review.
Disclaimer: Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. eToro USA LCC does not offer CFDs, only real crypto assets are available.
Please note that some links on CryptoVantage.com are affiliate links. We may receive a commission, at no extra cost to you, if you click through our links and make a purchase from one of our partners.
- Great for crypto beginners
- Solid crypto/general trading platform
- Reliable company with solid trust in the community
- Fully supports credit cards for deposits and withdrawals
How eToro Stands Out Against the Competition
Your cryptocurrency trading experience can be greatly enhanced by choosing the right exchange. One thing that makes eToro stand out from the competition is the unique features it offers to traders of all experience levels. To better explain our recommendations, we’ve included a comparison of eToro with other well-known cryptocurrency exchanges below.
Crypto Exchange
Why We Recommend This Exchange
Our Rating
Visit
General Pros and Cons
Pros
Traders receive access to many different assets
Social trading feature enables tracking of other users’ trades
Copy trading features enables users to follow and copy the action of other users’ trades
Easy for new cryptocurrency traders to understand
One of the most trusted options on the market
Cons
Large number of different fees to look out for on this platform
Americans do not have as many trading options as traders from other parts of the world
The number of cryptocurrencies available for trade is somewhat limited
CFDs come with additional risks that may not be suitable for new traders
Only available in 45 states
Standout Features of eToro
Copy Trading
eToro’s Copytrader program allows users to copy the actions of other successful traders at no extra cost and with no hidden fees. You simply select the trader you wish to copy, with a minimum investment of $200. Whenever the trader you choose to copy makes a trade, your account will execute the same trade seconds later, keeping your portfolio at the same ratios as the professionals. Copy trading is a great way to invest in a hands-off manner, as all the trades are executed automatically on your behalf.
If you’re already a successful trader, you can join the popular investor program and earn percentages of the trades copied from your portfolio. Popular investors can earn 1.5% in annual payments of assets under copy, paid out monthly.
eToro Portfolios
eToro Portfolios (Smart Portfolios) are investment portfolios that bundle together a collection of financial assets that are either part of the same theme or investment strategy. Any eToro user can gain access to these portfolios by investing a minimum of $500, with the portfolios having a fairly good history of positive returns.
eToro Money
eToro Money is an e-money account that you can manage from the eToro mobile app. It allows you to make instant, no-fee deposits with 0% conversion fees to your eToro investment account, instant withdrawals, and integration with IBAN, SEPA, and Faster Payments.
There is also a Visa debit card that comes with the eToro money account, allowing you to spend your eToro balance anywhere Visa is accepted.
Where eToro Can Improve
eToro is a well-rounded platform with opportunities for both traditional and cryptocurrency investing available to its users. The main area in which eToro can improve is by expanding its platform access to other countries like Canada, as this would open up another market for them.
Previously, eToro didn’t allow cryptocurrency withdrawals, but that has changed over the past few years, as eToro has continued to improve its service to the crypto sector of its clientele.
Sign-up Process
eToro has a rather simple, straightforward sign-up process, although personal information will need to be verified before a user can start trading. To open a new account on eToro, follow these steps:
- Go to the eToro homepage and click on the “Join Now” or “Trade Now” button to get started.
- You will need to enter your personal data on the next page, including your first name, last name, email address, username, password, and phone number. You also have the option to create an account via your Facebook or Google account.
- Before submitting all of your information, take a look at the eToro Terms and Conditions and various policies that you are agreeing to. You must indicate that you’ve read and agree to these terms before signing up for an account.
- Once you submit your basic information, you will need to go through the Know Your Customer (KYC) application, which is used to verify your identity and limit money laundering on the platform. For this part of the account creation process, you will need to provide a valid bill or document that proves your residence and your passport or some other government-issued identification. The KYC process also involves a questionnaire that must be filled out in order for eToro to better learn how they can best serve you.
What Cryptocurrencies Can You Buy?
While eToro does not offer a wide variety of cryptocurrencies for trade, most of the biggest names in the cryptocurrency market can be found on this platform. These include:
- Bitcoin
- Ethereum
- Bitcoin Cash
- Ripple
- Dash
- Litecoin
- Ethereum Classic
- Cardano
- IOTA
- Stellar
- EOS
- NEO
- Tron
- Zcash
- Tezos
You’ll also have access to numerous tools from eToro for tracking crypto prices.
This ad promotes virtual cryptocurrency investing within the EU (by eToro Europe Ltd. and eToro UK Ltd.) & USA (by eToro USA LLC); which is highly volatile, unregulated in most EU countries, no EU protections & not supervised by the EU regulatory framework. Investments are subject to market risk, including the loss of principal.
Don’t invest unless you’re prepared to lose all the money you invest.
This is a high-risk investment and you should not expect to be protected
if something goes wrong. Take 2 mins to learn more.
eToro Supported Applications
Users of eToro are able to interact with the platform via mobile or desktop devices. The trading platform can be accessed via a web browser, and there are also applications available for Android and iOS.
In addition to the eToro trading app, there is also the multi-asset eToro Wallet, which can be used by traders to gain more functionality with their assets. However, it should be noted that this feature is not available for all crypto assets and it is still a custodial wallet.
Is eToro Safe?
eToro is one of the safest companies in the cryptocurrency space thanks to its compliance with CySEC, FCA and ASIC regulations. All customer funds are held in secure banks and personal information is guarded under SSL encryption. It’s very unlikely you’d lose money on eToro. Many eToro reviews credit the strong security of the platform.
Originally it wasn’t possible to actually withdraw your own crypto from the platform but eToro has made significant upgrades in that department with its eToro Money wallet that allows users to withdraw crypto.
CryptoVantage generally recommends securing large amounts of crypto with a personal wallet to avoid any potential issues with exchanges.
eToro Customer Service
eToro boasts strong customer service thanks to its long history in the trading business.
You’ll find a comprehensive help center that should assist with a variety of topics in addition to the ability to post support tickets. Unfortunately eToro doesn’t currently offer phone support but that’s fairly typical of most crypto trading platforms.
High-volume traders ($5,000+ per month) get the benefit of an account manager upon request.
eToro Fees
The fees charged to eToro users can be difficult to fully understand. There are a variety of different fees associated with the platform, and different cryptocurrencies come with different fees when making trades.
While there are no fees on deposits, there is a flat $5 fee added to every withdrawal. The minimum withdrawal amount is $30. There are also fees added to deposits and withdrawals if a currency conversion must be made to process the payment. Additionally, eToro charges flat fees for cryptocurrencies that are withdrawn to the eToro Wallet.
The fees charged on your cryptocurrency trading are extremely simple: eToro charges a single, simple, and transparent fee of 1% for buying or selling crypto.
Zero commission stock trading is only applicable to the US stock exchanges. Stock investing in Australia, Denmark, Finland, the Netherlands, Norway, Spain, and Sweden will incur a flat fee of US$1–2 per trade for customers both when opening and closing positions. All other stocks are offered as derivatives and bear commission. The Zero Commission trading also does not apply to short or leveraged positions.
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Finally, it should be noted that eToro charges a $10 monthly inactivity fee for accounts that have not been logged into for 12 months.
Does eToro Offer Forex, CFDs?
eToro offers both Forex (Foreign exchange) and CFDs (Contract for Difference) trading although it should be noted that neither product is available to US customers.
What is eToro Forex? Forex simply refers to an overall market where people can buy and sell international currency. It’s particularly attractive to customers who might not have access to traditional equities and have relatively small amounts of capital.
Meanwhile CFDs are essentially a way for investors to make bets on whether the price of an equity or asset will rise or fall. It lets users get exposure to certain assets without actually holding them. It can be more flexible (and accessible) than traditional commodities, securities or futures.
How to Trade Forex on eToro
Taking advantage of the Forex markets available on eToro is really quite simple. If you’re in a jurisdiction that allows it than you’ll have access with your most basic eToro account.
Some of the most common currency parings on eToro include:
- EUR/USD
- USD/JPY
- EUR/GBP
- USD/CAD
Keep in mind that Forex trading can be risky (especially if you’re using leverage) so be careful. There’s a lot less information about Forex trading compared to traditional stock trading so that’s another reason to be cautious.
History of eToro
eToro was founded way back in 2007 in Tel Aviv by brothers Ronen Assia, Yoni Assia in addition to businessman David Ring. Assia remains the CEO to this day.
The platform was revolutionary in its approach to stock trading thanks to its CopyTrader feature that allowed retail investors follow successful traders. Over the years eToro generated over $162 million in early funding.
In 2014 eToro added cryptocurrency to its platform, making it one of the earlier adopters of cryptocurrency on the institutional side.
In 2022 eToro famously aired an ad during the Super Bowl (nicknamed the “Crypto Bowl” due to the number of crypto advertisements) that featured Shiba Inu Coin and Bored Ape Yacht Club.
The company has grown to operate in 140+ countries with offices in the United States, Cyprus, Australia and the United Kingdom. Its central headquarters remains in central Israel. eToro is especially popular in Europe as well as many Latin American countries such as Brazil.
Final Verdict on eToro
eToro is a great all-round platform for investors looking for a balance between crypto and traditional market investment opportunities. The platform offers a variety of features to allow users to be successful traders, while also providing convenient ways to access and use funds held on the platform thanks to the eToro Money account.
eToro Disclaimer
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. Take two minutes to learn more.
This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.
eToro is a multi-asset platform which offers both investing in traditional assets and crypto assets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. {etoroCFDrisk}% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
Copy Trading does not amount to investment advice. Your investments value may go up or down. Your capital is at risk. Other fees apply.
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.
eToro Frequently Asked Questions
eToro enables a special type of trading instrument, known as Contracts For Difference (CFD). This is a special type of derivative trading that allows users to bet on the movements of cryptocurrencies with additional leverage. Instead of buying the underlying asset, CFDs allow users to place a bet based on a price feed.
Users should make sure they understand the risks involved with CFD trading before they get started. When trading on margin, traders can be completely wiped out rather quickly.
Originally, all cryptocurrency trading pairs were actually CFDs, but the platform now offers actual cryptocurrency trading as well.
It should be noted that CFD trading is not available for Americans.
There are two interesting ways in which eToro users can basically put their accounts on autopilot and allow other users to make all of the difficult decisions. These two options are CopyPortfolios and CopyTrading.
CopyPortfolios allow users to gain access to a particular basket of assets or a predetermined trading strategy via a single feed. For example, users can create their own portfolio of crypto assets based on the coins they feel will perform the best over the next year. Other users can then see these portfolios and decide to buy into one of the other users’ particular strategies.
CopyTrading works just like it sounds. Users are able to automatically copy other users’ trading decisions. This is part of eToro’s use as a social platform where users can follow the most profitable traders and try to profit from simply following their advice rather than picking out individual cryptocurrency trading strategies.
eToro Wallet is part of the platform’s major push into the cryptocurrency space. With this application, users can transfer crypto assets from the trading platform into their own wallet, send those assets to other wallets, receive cryptocurrency payments, and convert between different crypto assets within the wallet.
This wallet software is currently available for Android and iOS devices; however, it is not able to be used by users in every country.
eToro Wallet is a custodial storage solution, which means that eToro holds the crypto assets on behalf of its users. In this way, eToro Wallet users are not actually using a cryptocurrency network. Instead, they are basically holding cryptocurrency IOUs issued by eToro.
eToro uses a variety of factors to determine their top traders. Obviously, the traders who are able to gain the most profits will find themselves highly ranked. However, it should be noted that traders that aren’t actually trading much volume can still be ranked highly due to seeing big percentage gains on their original investments.
Factors such as the number of positions taken per day or week, the duration of positions, and the amount of leverage placed on trades also play a role in this process.
Traders who become popular on eToro’s platform and gain a lot of followers are able to earn additional income. These traders are paid once per month based on their Popular Investor level. This level is determined by the number of users who are following the trader and the amount of money those users are placing in trades that copy the popular investor’s decisions.
