Crypto Trading Platform Prepares for US Listing
eToro, a crypto-friendly trading platform, has confidentially filed for an initial public offering (IPO) in the United States. The move, first reported by the Financial Times on 16 January, could see eToro valued at more than $5 billion, according to unnamed sources familiar with the matter.
The filing, submitted to the US Securities and Exchange Commission (SEC), positions eToro for a potential listing in New York, possibly as early as the second quarter of 2025. The IPO would grant the company access to a larger pool of investors, aligning with its global growth strategy.
Expanding Reach Beyond the UK
Although the United Kingdom remains eToro’s largest market, the company aims to capitalise on the broader investor base offered by the US market. Founder and CEO Yoni Assia highlighted the advantages of a US listing last year, noting the depth of liquidity and heightened awareness for assets traded in the region.
“Very few of our global clients would trade UK shares,” Assia remarked, emphasising the appeal of the US market for international investors.
Confidential filings with the SEC allow companies to prepare their IPO plans privately, offering the flexibility to disclose official documents when they are ready to proceed.
Strong Financial Backing
In 2023, eToro raised $250 million in a funding round that valued the company at $3.5 billion. The anticipated IPO could elevate its valuation beyond $5 billion. Major banks, including Goldman Sachs, Jefferies, and UBS, are reportedly advising eToro on the flotation.
Founded in 2007, eToro operates as a global social investment platform and multi-asset brokerage, enabling users to trade stocks, cryptocurrencies, and other financial instruments. The company was among the first regulated platforms in Europe to offer Bitcoin trading in 2013.
Challenges in the US Crypto Market
Despite its plans for expansion, eToro has faced challenges in the US crypto market. In September 2024, the platform ceased trading for most cryptocurrency assets following a settlement with the SEC over alleged violations of federal securities laws.
Since entering the US crypto market in 2019, eToro has supported a range of tokens, including Bitcoin, Ethereum, Bitcoin Cash, Litecoin, and XRP. However, regulatory hurdles have limited its offerings in recent years.
IPO Marks New Growth Chapter
A successful IPO in New York would represent a significant milestone for eToro, solidifying its presence in one of the world’s most prominent financial markets. The move reflects the company’s ambition to remain a leader in the global trading landscape, despite challenges in the evolving regulatory environment.
eToro declined to comment on the reports surrounding its US IPO plans.
