eToro made 23 times more profit with cryptocurrencies than last year

Key facts

:

  • EToro earned USD 264 million in fees applied to cryptocurrency trades.

  • Ether, Cardano, Ripple, bitcoin and tokens were the most sought-after cryptoassets.

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Investment platform eToro reported that its revenue from the cryptocurrency services it provides was 23 times higher in the second quarter of 2021 compared to the previous year. These transactions accounted for 73% of the fees the platform charged its users in this period.

According to a report published by the company, in the months of April, May and June 2021, eToro collected USD 362 million in total commissions. Of these commissions, USD 264 belonged to transactions with cryptocurrencies, according to various specialized media such as The Block

. One of the issues that stand out in the information presented by the company is the increase compared to the same quarter of 2020. eToro made 23 times more profit with cryptocurrencies than last year eToro made 23 times more profit with cryptocurrencies than last year of the second quarter of 2021 presented by eToro. Source: Business Wire.

For example, at that time eToro

had pocketed “just” USD 161 million in commissions; of this, only USD 11.27 million was from cryptocurrency exchanges. This number represents 7% of the total.

Many of the cryptocurrency trades that took place on the Israeli-based platform involved tokens. As reported by CryptoNews, in May this year eToro added several of these cryptoassets

relating to DeFi (decentralized finance) protocols, which could be purchased in exchange for fiat money, as with the other cryptocurrencies available on the site.

For example, bitcoin (BTC) accounted for only 7% of the cryptoassets traded. Meanwhile, ether (ETH), Cardano (ADA) and Ripple (XRP) brought it more than twice as much profit in commissions.

Other facts from eToro’s report

Beyond

this increase in cryptocurrency service earnings, eToro also shared other figures that reflect the company’s present. For example, it told that it had an expenditure of USD 36 million in transactions related to its merger with FinTech Acquisition Corp. V for its future listing on the eToro website.

eToro will take advantage of the SPAC (Special Purpose Acquisition Company) method to enter the stock market.

Also, eToro detailed that it added 2.6 million users in the quarter, 121% more than in that period in 2020. The funds under management, meanwhile, reached 9.4 billion.