Online trading platform eToro is on track to debut on the public market in the United States, aiming for a valuation of up to $4 billion as outlined in a recent regulatory submission.
The company plans to make its public listing on the Nasdaq Global Select Market, operating under the ticker symbol “ETOR.”
In a filing to the U.S. Securities and Exchange Commission (SEC) dated May 5, eToro indicated its intention to raise $500 million by offering 10 million shares, with a target price range of $46 to $50 per share.
eToro IPO to Offer 10M Shares Split Between Company and Existing Investors
The public offering will consist of 5 million shares issued by eToro itself, while the remaining 5 million shares will be sold by existing shareholders.
This group of shareholders includes the company’s co-founder and CEO Yoni Assia, his brother Ronen Assia, as well as notable investors such as Spark Capital, BRM Group, and Andalusian Private Capital.
Positioned as a contender in the trading market, eToro offers commission-based trading services for both stocks and cryptocurrencies, aiming to compete with popular platforms like Robinhood.
Despite reporting a decline in crypto trading during the first quarter, Robinhood’s stock has surged nearly 30% since the year’s commencement.
The filing also reveals that investment giant BlackRock has expressed interest in acquiring up to $100 million worth of shares during the IPO.
Furthermore, eToro has set aside 500,000 shares for a directed share program, typically targeted toward employees and early supporters of the company.
Cryptocurrency continues to play a pivotal role in eToro’s operations, generating $12.1 billion in crypto-related revenue in 2024, a significant increase from $3.4 billion in the previous year.
However, eToro anticipates that cryptocurrencies may constitute a slightly smaller segment of its total trading commissions in the first quarter of 2025 compared to the prior year.
eToro filed an updated IPO prospectus seeking to raise $500M at a $4B valuation $ETOR.
>Mentions crypto 630 times
>Crypto trading is 38% of transaction revenue
> $ETOR held $113M in digital assets (likely BTC) as of year-end 2024
>Net income of $192M, so ~21x PE. pic.twitter.com/o0vt83pqYz
— matthew sigel, recovering CFA (@matthew_sigel) May 5, 2025
While eToro experiences upward momentum, the company has acknowledged several potential challenges on the horizon.
Risks surrounding user retention may arise due to negative media coverage concerning listed cryptocurrencies, along with regulatory pressures from U.S. state laws and the European Union’s Markets in Crypto-Assets (MiCA) regulation, which the company expects will lead to ongoing compliance expenses.
Prior to its public announcement of IPO plans in March, eToro initially submitted a confidential filing with the SEC in January.
The offering faced delays brought about by market volatility triggered by former President Donald Trump’s trade policy announcements in early April, which affected numerous prospective listings.
More Crypto Firms Expect IPO
In addition to eToro, other cryptocurrency companies like Circle and Kraken are also eyeing public offerings, illustrating a wider shift in the industry towards the public markets. The eToro IPO will be conducted with the assistance of Goldman Sachs, Jefferies, UBS Investment Bank, and Citigroup.
The industry’s interest in IPOs comes amid increasing regulatory clarity in the U.S.
Recently, Paul Atkins has been appointed as the Chairman of the SEC, a leadership change that has been positively received within the digital asset sector.
Already, under Atkins’ leadership, the SEC has withdrawn or postponed several significant cases involving crypto firms.
Notably, the agency dismissed its lawsuits against Coinbase and Cumberland DRW earlier this year, while an investigation into Uniswap Labs concluded in February without any enforcement action.
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