Is eToro safe and legit? Heres an expert analysis on regulation and investor protection

EToro does not charge trading fees for stocks and ETFs, but it charges a 1% fee to buy or sell cryptocurrencies. A spread is the difference between the offer price and the asking price on the platform. For example, to buy $100 worth of Bitcoin on eToro, you’d pay $1 in fees, plus the spread.

You can take a look at the web https://forex-reviews.org/ if you have not yet registered. An rather basic test is required for a new trading account. This is known as eToro trading knowledge, assessment answers shouldn’t be too challenging for those with a reasonable grasp of trading basics. EToro features a “Trading School” where you can find a series of basic videos. These do not go in-depth into any particular topic, and I didn’t find them particularly useful.

These include currencies, indices, ETFs, and 15 cryptocurrencies. Each asset class is traded with different investment strategies. It is diverse enough to be considered satisfying for most. The company is expanding its operations, focusing on entering the Asian markets to provide brokerage services to China and Hong Kong. Even without using CopyTrader, users can view millions of other traders’ portfolios, stats and risk scores.

Jeremy Harshman is a creative assistant at CreditDonkey, a crypto comparison and reviews website. Write to Jeremy Harshman at Follow us on Twitter and Facebook for our latest posts. You’ll automatically receive $10 directly to your account balance. You can also trade ETFs on eToro, with over 200 funds to choose from, including the SPDR S&P 500 ETF, the Vanguard S&P 500 ETF, and the ARK Innovation ETF, to name a few. Transactions and personal information are protected through SSL encryption. They also add that they “employ top vendors, web solutions, and firewalls to block a full range of cyber-attack possibilities”.

Mobile app

It is trusted by over 15 million users in over 170 countries. Once this is done, it will be listed on the NASDAQ stock exchange, which goes to show it is a trusted company. EToro is a multi-asset broker that offers a decent selection of US-listed stocks, currency pairs, cryptocurrencies, and other assets. Clients withdraw to a bank card, electronic wallet, or bank account. Withdrawing money to an account that has a base currency different than the US dollar will result in extra currency conversion fees. You can trade stocks and cryptos directly and not via Contract for Difference.

This may influence which etoro forex broker review we review and write about , but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. We believe everyone should be able to make financial decisions with confidence. Over this time, he has developed an almost scientific approach to the analysis of brokers, their services, and offerings. In addition, he is an expert in Compliance and Security Policies for consumers protection in this sector. He has 15 years of experience in the financial sector and forex in particular.

Is eToro legit?

EToroX is a part of a global eToro Group that is a very popular platform in the trading world. Cryptoassets are unregulated in some EU countries and the UK. There’s no fee to participate—popular Investors are compensated by eToro—and once you’ve made your trading portfolio, you can apply to be a Popular Investor yourself. EToro also offers new members the option to start an account with their Facebook or Google accounts. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

It’s my goal to ensure that as many people as possible can make informed decisions about their money, and get the most out of their finances with the least amount of stress. There are also inactivity fees of £8.44 ($10) if you have not used your account for a year. There’s a flat fee of £3.83 ($5) on withdrawals – so taking out funds will cost you. However, this sum is fixed, regardless of how much you withdraw. EToro is authorised and regulated by the Financial Conduct Authority in the UK. This means it has to protect the interests of its customers in order to keep its trading licence.

How does eToro pay dividends?

Kucoin accepts instant deposits via debit/credit cards and e-wallets. However, it only displays fees on the order confirmation page. Therefore, traders should assess the fee before confirming. It enables traders to buy crypto from just $1; regardless of the price of the token. This will appeal to traders that want to diversify with a small amount of money. Robinhood is also one of the best crypto exchanges for low fees, as no commissions are charged when trading.

Shortly afterward, it added support for Ethereum and Ripple . Investments are subject to market risk, including the loss of principal. OpenBook was regarded as a fairly revolutionary concept in FinTech at the time, winning the Finovate Europe Best of Show for 2011. To rank the best crypto exchanges overall and the best exchanges for beginners, we assessed all of the features and options offered by these 25 platforms.

• Investors should opt for a crypto exchange that not only offers low fees, but a safe and secure trading environment.
• Etoro CFD trading has innovative features that group different traders into a single fund..
• The fact they only cater for one base currency, the USD also means you may often have to pay the conversion fee to transfer your deposit to USD.
• This is to ensure that the exchange complies with anti-money laundering regulations.

There is however, still plenty available to keep you very up to date and able to trade on the go with eToro mobile. With eToro you can filter these stocks by Country or by sector. This can help you narrow down the specific areas and markets that you want to target for trading. This is particularly the case if you are depositing in USD. If you deposit in another currency then you may be liable for a conversion charge.

Here you can start copying the trades of others with a minimum investment of $200 for each trader. There are of course many specific trading techniques applied by experienced traders. These include hedging and scalping, both of which are not permitted by eToro. Spreads through eToro you may feel are marginally higher than those of their competitors.

Users will incur a fee for transferring crypto out of eToro.com and into the eToro Money crypto wallet. Fees vary based on the cryptocurrency you’re transferring. Investing in cryptocurrencies, Decentralized Finance , and other Initial Coin Offerings is highly risky and speculative, and the markets can be extremely volatile. Consult with a qualified professional before making any financial decisions. This article is not a recommendation by Investopedia or the writer to invest in cryptocurrencies nor can the accuracy or timeliness of the information be guaranteed.

For anyone completely new to the world of crypto trading, the team offers tutorials, live training , economic tools and a comprehensive FAQ. They can be contacted by email as well as across their various social media accounts. The incorporation of these digital assets helps eToroX to remain a crypto to crypto exchange. The eToro platform offers trading in more than 30+ cryptocurrencies in the U.S, and nearly 80 internationally. There is enough to cover the basics for many crypto beginners. Still, advanced users looking for a niche coin may find the list limiting.

You can practice trading cryptocurrency without risk using eToro’s Virtual Portfolios, a kind of paper trading account. You get $100k of virtual money to practice with, and can learn a lot from your successes and mistakes. Cash deposits held in FDIC insured custodial accounts in the U.S. However, it isn’t possible to FDIC-insure cryptocurrency, but eToro keeps the majority of their crypto offline, in cold storage.

But our editorial integrity ensures our experts’ opinions aren’t influenced by compensation. Compensation may impact the order of which offers appear on page, but our editorial opinions and ratings are not influenced by compensation. The team at CaptainAltcoin.com only recommends products and services that we would use ourselves and that we believe will provide value to our readers. For account holders, customer support at eToroX can be accessed using email only, which is perhaps a sore point that the team behind platform might want to improve upon as its operations grow. This makes it difficult to get immediate response to urgent queries, so sometimes eToroX complaints may take longer than expected to get resolved. Customer support at eToro is generally available Monday to Friday 24 hours, and you can expect replies depending on the complexity of the issue you want to address within 24 hours.

He writes personal finance and investment advice for The Ascent and its parent company The Motley Fool, with more than 4,500 published articles and a 2017 SABEW Best in Business award. Matt writes a weekly investment column (“Ask a Fool”) that is syndicated in USA Today, and his work has been regularly featured on CNBC, Fox Business, MSN Money, and many other major outlets. He’s a graduate of the University of South Carolina and Nova Southeastern University, and holds a graduate certificate in financial planning from Florida State University. Another important advantage is the quick and simple way to set up an eToro wallet. It’s also important to note that, with the eToro wallet, you only need to enter your eToro user data to be able to buy different cryptocurrencies.