eToro is poised for significant merger and acquisition endeavors, bolstered by a strong financial position. As of June 30, the company reported approximately $1.2 billion in cash and cash equivalents, along with a solid cash position of $988 million, free of any debt. Following its initial public offering earlier this year, the firm’s financial data has become publicly accessible.
During an event at the Ambrosetti Forum in Cernobbio, it was expressed that the company’s intentions are geared towards more ambitious acquisitions. Since its inception in 2007, eToro has a history of multiple acquisitions, starting with Denmark’s Firmo in 2019, known for its tokenization infrastructure, followed by acquiring Delta, a cryptocurrency portfolio tracker. Additional acquisitions include FCA-regulated Marq Millions, which was rebranded as eToro Money, and Bullsheet, a tool for portfolio analytics. The financial details of these transactions have not been disclosed.
In a recent push to expand its offerings, the company acquired the US-based options brokerage Gatsby for $50 million in cash and stock, subsequently integrating it into eToro’s services as eToro Options. Furthermore, eToro expanded its presence into Australia by acquiring Spaceship, an investing and superannuation application, for approximately $55 million.
While eToro originally gained recognition through its copy trading services, it has diversified its approach and now positions itself as a more comprehensive fintech entity. A considerable portion of its revenue is derived from its cryptocurrency services. Reports indicate that for the second quarter of 2025, eToro generated $30 million in profit from revenue amounting to $207 million.
The company has indicated that it possesses a robust pipeline for mergers and acquisitions, emphasizing a disciplined approach to this process. Any potential targets will need to successfully navigate due diligence and meet specific business and financial criteria to ensure they are positioned for growth and profitability.
Interestingly, despite its willingness to expand through acquisitions, eToro does not plan to venture into prediction markets, which have attracted interest from competitors like Robinhood and Crypto.com. The rationale behind this decision, as stated by a company representative, is a belief that prediction markets do not function as long-term investment tools. These markets allow individuals to wager on binary outcomes, such as political events or pop culture happenings. Some platforms have recently begun to include sports betting, arguing that these activities do not fall within the traditional gambling regulations.
In conventional sports betting, bookmakers determine the odds, while in prediction markets, customers have the autonomy to set the odds themselves. Nevertheless, eToro is maintaining a competitive edge by offering continuous trading services and is also in the process of introducing tokenized assets to its platform.
Overall, eToro’s strong financial foundation positions it well to pursue more ambitious ventures in the constantly evolving fintech landscape, while its strategic choices reflect a commitment to sustainable growth through acquisitions without overextending into markets that may not align with its long-term vision.