Israel-based trading platform eToro has filed for a highly anticipated US IPO after reporting a 46% jump in commissions and a twelvefold increase in profit for 2024. With retail investor interest booming and crypto trading on the rise, eToro’s move signals growing momentum in the IPO market and renewed confidence in digital finance platforms.Set to list on NASDAQ under the ticker “ETOR”, eToro is positioning itself as a key player in the next wave of fintech listings.
eToro Group Ltd., a prominent trading and investment platform based in Israel, has officially filed for an initial public offering (IPO) in the United States. The company reports a significant increase in both revenue and net income for the year 2024, marking a strong financial performance as it prepares to enter the public market. The IPO filing, submitted to the US Securities and Exchange Commission (SEC), positions eToro among several high-profile companies seeking to capitalise on the recovering IPO market in 2025.
Founded in 2007, eToro enables users to trade stocks, cryptocurrencies, and other financial assets while allowing them to mirror the strategies of top-performing investors. The company plans to list its shares on the NASDAQ Stock Market under the ticker symbol “ETOR”. Leading global financial institutions, including Goldman Sachs Group Inc., Jefferies Financial Group Inc., UBS Group AG, and Citigroup Inc., are serving as the primary underwriters for the offering.
Substantial growth in commissions and profit
In 2024, eToro generated a total commission of $931 million, representing a 46% increase from $639 million in 2023. The company’s net income also experiences substantial growth, rising to $192 million from $15.3 million in the previous year. These figures indicate heightened user engagement and a broader return of retail investors to the market.
Retail trading activity surged in 2024 as equity markets reached record highs. This increase is attributed to renewed risk appetite among individual investors, supported by easing recession concerns, strong corporate earnings, and expectations of interest rate cuts by the Federal Reserve. As a result, online brokerage platforms, including eToro, report higher trading volumes, particularly in options and speculative trades.
Strong crypto trading activity
Cryptoassets play a major role in eToro’s financial performance. In 2024, crypto trading contributed 38% of the company’s total trading commissions, up from 17% in 2023. This rise coincides with a broad rally in digital asset markets, partly influenced by the re-election of President Donald Trump, who holds a favourable stance towards cryptocurrencies.
eToro’s total reported revenue in 2024 reaches $12.6 billion, a significant increase from $3.89 billion in 2023. Of this, $12.1 billion—around 96%—derives from cryptoasset-related activity. However, the cost of revenue associated with crypto trading is also high, standing at $11.8 billion.
History of IPO attempt and recent valuation
eToro previously pursued a public listing through a merger with a special purpose acquisition company (SPAC) backed by FinTech Acquisition Corp., led by Betsy Cohen. That deal, which would have valued the company at $10.4 billion, was terminated in 2022 by mutual agreement.
In March 2023, eToro raised $250 million in a funding round, valuing the firm at $3.5 billion. The new IPO plan represents a renewed attempt to access public markets amid improving investor sentiment.
IPO market outlook and strategic positioning
The IPO filing comes as many companies prepare to test investor interest in a gradually reviving market. Josef Schuster, CEO of IPO-focused investment indexes IPOX, comments, “Management and owners are clearly seeing a ‘window of opportunity’ to take their companies public now.”
Analysts suggest that easing interest rates and growing risk appetite may support a broader resurgence in public offerings. However, they also note that the long-term strength of the IPO market will depend on the performance of major upcoming listings.
Speaking about eToro’s future direction, Schuster adds, “The IPO will provide the company with the flexibility to potentially expand beyond crypto to capture the generational opportunities opening up from the rise of the retail investor globally.”
As eToro moves forward with its IPO, further details regarding the size and pricing of the offering will be made available in future filings. The company, along with some of its shareholders, is expected to offer shares as part of the public sale.
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