eToro agreed to buy US brokerage TradeZero for up to $231 million, the Nasdaq-listed trading platform said today (Tuesday). It announced the deal alongside second-quarter results showing net contribution up 9% year-over-year to $229 million and net income of $53.5 million.
eToro will pay in cash and up to 2.5 million newly issued Class A shares, subject to purchase price adjustments. TradeZero generated about $80 million of revenue in the 12 months to June 30, at an 81% gross margin. That puts the price at roughly 2.9 times revenue.
The purchase pushes eToro further into US equities at a point where that line alone is bigger than the whole increase in net contribution. Net trading income from equities, commodities and currencies rose $27.6 million year-over-year to $141.6 million. Net contribution rose $19.8 million.
TradeZero was founded in 2015 and runs an equities and options brokerage for active US traders, with operations across the United States, Canada and international markets.
Yoni Assia, the CEO of eToro
Yoni Assia, eToro’s co-founder and chief executive, said the combination “gives us a faster path to launching new products for US customers.”
The Canadian piece dates to February 2022, when TradeZero Securities Canada was accepted as a dealer member of the country’s investment industry regulator, letting Canadian retail clients trade US-listed stocks and options.
TradeZero also carries a regulatory record from the meme-stock episode. In May 2022 the SEC fined TradeZero America $100,000 and co-founder Daniel Pipitone $25,000 over public statements about TradeZero’s trading restrictions on January 28, 2021. Neither admitted nor denied the findings.
Second Quarter Trails the First
The 9% increase in net contribution is a year-over-year figure. Measured against the first quarter, when a commodities boom lifted net contribution to $258 million and net income to $82 million, it fell 11%.
Net income of $53.5 million was 35% below the first quarter. The equities, commodities and currencies line came in 15% under its first-quarter level of $165.6 million.
The 77% rise in reported net income against the second quarter of 2025 is flattered by $8.4 million of transaction costs and $8.1 million of non-cash employee expense a year earlier. On an adjusted basis, net income rose 16% to $62.8 million.
| Q2 2026 | Figure | Change YoY |
|---|---|---|
| Net contribution | $229m | +9% |
| Net income (GAAP) | $53.5m | +77% |
| Adjusted net income | $62.8m | +16% |
| Adjusted EBITDA | $78.1m | +9% |
| Funded accounts | 4.28m | +18% |
| Assets under administration | $19.2bn | +10% |
July Assets Fall Below Their Year-Ago Level
July was weaker than the quarter it followed. Assets under administration were $18.5 billion, down 5% year-over-year, after May assets of $20.1 billion that were up 18%.
Capital markets trades were flat year-over-year at 48.5 million, with the invested amount per trade down 23% to $207. Crypto trades fell 73% to 1.4 million and the invested amount per crypto trade halved to $182. Funded accounts reached 4.32 million, up 18%.
Meron Shani, eToro CFO, Source: LinkedIn
Chief Financial Officer Meron Shani said more than 60% of clients who traded commodities in the two quarters to March went on to trade equities in the second, which he said shows “how users move between asset classes as market opportunities evolve.”
What Crypto Added to the Quarter
Revenue from cryptoassets, which eToro books gross, fell 30% year-over-year to $1.35 billion from $1.91 billion. The cost of that revenue was also $1.35 billion, about $7 million more than the revenue itself.
Adding $19.7 million of income from crypto derivatives leaves roughly $12.5 million from crypto in the quarter, against about $29.3 million a year earlier. That is FinanceMagnates.com’s calculation from the income statement.
On those figures crypto produced 5.5% of net contribution, down from 14% in the same quarter of 2025.
eToro does not break out net contribution by product, and its own definition moves staking and blockchain rewards to other lines, which would make the crypto share smaller still. The release does not say why the cost of crypto revenue exceeded the revenue.
eToro’s own spending has gone the other way. In April it agreed to buy self-custody wallet maker Zengo, and it completed that deal and the purchase of Bit2C during the second quarter.
Brokers Keep Buying Across the Asset Divide
TradeZero is eToro’s third signed acquisition this year and the first that is not a crypto business. Daniel Pipitone, TradeZero’s co-founder and chief executive, said TradeZero “was built by active traders, for active traders.”
Kraken closed its $1.5 billion purchase of US futures platform NinjaTrader in May 2025. Robinhood completed a $200 million deal for crypto exchange Bitstamp the following month.
Assia told FinanceMagnates.com in June that eToro was very acquisitive and had two wealth-tech targets in talks. It held $1.2 billion in cash and short-term investments at June 30, and bought back $189.1 million of its own stock in the first half.
The TradeZero deal needs regulatory clearance and is expected to close in the first half of 2027.
TradeZero has reached for public markets before. In October 2021 it agreed to merge with Dune Acquisition Corp at an enterprise value of about $556 million and list on the NYSE under the ticker TRAD. It never listed.
eToro agreed to buy US brokerage TradeZero for up to $231 million, the Nasdaq-listed trading platform said today (Tuesday). It announced the deal alongside second-quarter results showing net contribution up 9% year-over-year to $229 million and net income of $53.5 million.
eToro will pay in cash and up to 2.5 million newly issued Class A shares, subject to purchase price adjustments. TradeZero generated about $80 million of revenue in the 12 months to June 30, at an 81% gross margin. That puts the price at roughly 2.9 times revenue.
The purchase pushes eToro further into US equities at a point where that line alone is bigger than the whole increase in net contribution. Net trading income from equities, commodities and currencies rose $27.6 million year-over-year to $141.6 million. Net contribution rose $19.8 million.
TradeZero was founded in 2015 and runs an equities and options brokerage for active US traders, with operations across the United States, Canada and international markets.
Yoni Assia, the CEO of eToro
Yoni Assia, eToro’s co-founder and chief executive, said the combination “gives us a faster path to launching new products for US customers.”
The Canadian piece dates to February 2022, when TradeZero Securities Canada was accepted as a dealer member of the country’s investment industry regulator, letting Canadian retail clients trade US-listed stocks and options.
TradeZero also carries a regulatory record from the meme-stock episode. In May 2022 the SEC fined TradeZero America $100,000 and co-founder Daniel Pipitone $25,000 over public statements about TradeZero’s trading restrictions on January 28, 2021. Neither admitted nor denied the findings.
Second Quarter Trails the First
The 9% increase in net contribution is a year-over-year figure. Measured against the first quarter, when a commodities boom lifted net contribution to $258 million and net income to $82 million, it fell 11%.
Net income of $53.5 million was 35% below the first quarter. The equities, commodities and currencies line came in 15% under its first-quarter level of $165.6 million.
The 77% rise in reported net income against the second quarter of 2025 is flattered by $8.4 million of transaction costs and $8.1 million of non-cash employee expense a year earlier. On an adjusted basis, net income rose 16% to $62.8 million.
| Q2 2026 | Figure | Change YoY |
|---|---|---|
| Net contribution | $229m | +9% |
| Net income (GAAP) | $53.5m | +77% |
| Adjusted net income | $62.8m | +16% |
| Adjusted EBITDA | $78.1m | +9% |
| Funded accounts | 4.28m | +18% |
| Assets under administration | $19.2bn | +10% |
July Assets Fall Below Their Year-Ago Level
July was weaker than the quarter it followed. Assets under administration were $18.5 billion, down 5% year-over-year, after May assets of $20.1 billion that were up 18%.
Capital markets trades were flat year-over-year at 48.5 million, with the invested amount per trade down 23% to $207. Crypto trades fell 73% to 1.4 million and the invested amount per crypto trade halved to $182. Funded accounts reached 4.32 million, up 18%.
Meron Shani, eToro CFO, Source: LinkedIn
Chief Financial Officer Meron Shani said more than 60% of clients who traded commodities in the two quarters to March went on to trade equities in the second, which he said shows “how users move between asset classes as market opportunities evolve.”
What Crypto Added to the Quarter
Revenue from cryptoassets, which eToro books gross, fell 30% year-over-year to $1.35 billion from $1.91 billion. The cost of that revenue was also $1.35 billion, about $7 million more than the revenue itself.
Adding $19.7 million of income from crypto derivatives leaves roughly $12.5 million from crypto in the quarter, against about $29.3 million a year earlier. That is FinanceMagnates.com’s calculation from the income statement.
On those figures crypto produced 5.5% of net contribution, down from 14% in the same quarter of 2025.
eToro does not break out net contribution by product, and its own definition moves staking and blockchain rewards to other lines, which would make the crypto share smaller still. The release does not say why the cost of crypto revenue exceeded the revenue.
eToro’s own spending has gone the other way. In April it agreed to buy self-custody wallet maker Zengo, and it completed that deal and the purchase of Bit2C during the second quarter.
Brokers Keep Buying Across the Asset Divide
TradeZero is eToro’s third signed acquisition this year and the first that is not a crypto business. Daniel Pipitone, TradeZero’s co-founder and chief executive, said TradeZero “was built by active traders, for active traders.”
Kraken closed its $1.5 billion purchase of US futures platform NinjaTrader in May 2025. Robinhood completed a $200 million deal for crypto exchange Bitstamp the following month.
Assia told FinanceMagnates.com in June that eToro was very acquisitive and had two wealth-tech targets in talks. It held $1.2 billion in cash and short-term investments at June 30, and bought back $189.1 million of its own stock in the first half.
The TradeZero deal needs regulatory clearance and is expected to close in the first half of 2027.
TradeZero has reached for public markets before. In October 2021 it agreed to merge with Dune Acquisition Corp at an enterprise value of about $556 million and list on the NYSE under the ticker TRAD. It never listed.