eToro Social Trading Platform Hits A Record $600 Million In Revenue in 2020
- eToro, the social trading platform, registered a record-breaking gross revenue of $600 million across 2020.
- Over $1.5 trillion was traded on the platform as demand for cryptocurrencies surged in the year's latter stages.
- The app allows users to copy trade strategies across several assets, including cryptocurrencies, precious metals, and equities.
In an exclusive report on Finance Magnates this Tuesday, top social trading app, eToro, released its 2020 report, which shows a surging interest in cryptocurrency products on the platform. Over the past year, eToro registered a record gross revenue of $600 million as the interest in commission-free trading grows worldwide.
The social trading app started as an app that allows novice users to copy trade the strategies of experienced traders and has since added a host of other services. Speaking of the impressive revenue growth, eToro Co-founder and CEO Yoni Assia explained that the company is experiencing a rapid growth rate in the number of clients.
Over the past year, the company has experienced tremendous growth in its client base, growing over 30% in the last three-quarters of 2020 to 17 million customers. Additionally, the traders completed over $1.5 trillion in trading volumes across 2020, representing a 400% influx from 2019 records.
Crypto is Gradually Taking Over
According to a statement from Assia, the stock market remains the largest contributor to trading volumes on the platform with electric vehicles leading the charge. Tesla and Nio, a Chinese electric car company, led the rankings in trading volumes, closely followed by big tech companies such as Apple, Microsoft, and Alibaba.
However, cryptocurrencies seem to be gradually overtaking the interest in stock markets on eToro, Assia believes. This year, the company suspended its buy order functionality, citing increased demand for Bitcoin on the platform.
“2020 was a big year for stocks [but] 2021 to date has been dominated by crypto headlines,” he said. “So far this year, we have seen crypto trading volumes of more than 25X the same period of time last year.”
eToro has completed some big plays in the crypto industry in the past few months showing its commitment to growing space adoption. The firm introduced Visa-enabled crypto debit cards in the UK, launched its own stablecoin, GoodDollar, and rolled out its staking services to users.