After years of speculation and a failed SPAC deal, eToro is finally taking the plunge. The social trading platform has filed its F-1 registration statement with the SEC, aiming to list on the Nasdaq Global Select Market under the ticker “ETOR.” Big names like Goldman Sachs, Jefferies, UBS, and Citigroup are handling the bookrunning. No small players here.
The numbers tell quite a story. eToro’s revenue exploded to $12.6 billion in 2024, up from just $3.89 billion in 2023. That’s not a typo. We’re talking about a 3X increase. Net income jumped from a modest $15.3 million to an impressive $192 million. Earnings per share? From $0.80 to $9.85. And guess what’s driving all this growth? Crypto trading accounts for a whopping 96% of their revenue. Talk about putting all your eggs in one blockchain basket.
Founded in 2007 by the Assia brothers, eToro now employs about 1,700 people and serves more than 38 million users across 75 countries. Not too shabby for a company based in Bnei Brak, Israel.
The IPO timing seems calculated. With crypto markets surging thanks to the Trump administration’s friendlier stance, eToro is striking while the iron is hot. The company’s market cap categories will likely influence investor perception of stability and growth potential. They’re targeting a valuation of at least $5 billion and hoping to raise $300-400 million. A step down from their canceled SPAC deal that valued them at $10.4 billion, but still a decent jump from their 2023 private funding round at $3.5 billion. The IPO represents a significant moment for the industry, potentially legitimizing the space for mainstream financial investors. Looking ahead, the company faces competition from Kraken’s planned IPO which is scheduled for early 2026.
It hasn’t been all smooth sailing. eToro settled with the SEC in September 2024, paying a $1.5 million fine for operating as an unregistered broker. They also agreed to restrict crypto offerings to U.S. customers. But these speed bumps haven’t deterred them.
In the competitive trading platform landscape, eToro’s “copy trading” feature sets it apart. Now they’re betting big that public markets will want a piece of their crypto-fueled growth story.
