eToro is one of the world’s most popular investment platforms. We have nearly ten years of experience with eToro. Opening an account on eToro is quick and easy. It’s easy to deposit funds into your eToro account using various payment methods.
After depositing, you can buy cryptocurrencies on eToro. You can transfer the cryptocurrency you purchased from eToro to another wallet. eToro is an alternative to using a crypto exchange. In summary, eToro is a versatile multi-asset investment app.
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What is eToro?
eToro is one of the world’s most popular investment platforms. eToro was founded in 2007 and has served millions of investors worldwide during its 15+ years of history. eToro has over 35 million customers from 100 different countries.
eToro is known as a pioneer in social trading. It can be said that eToro is much more than just a trading platform. It is a community of millions of investors, where you can find valuable information with new investment ideas daily.
On eToro, you can invest in stocks, indices, commodities, currencies, and ETFs, among other things. Cryptocurrencies have also been part of eToro since 2017. There are 130 cryptocurrencies available for trading on eToro.
This article focuses on eToro from a crypto investor’s perspective.
Our eToro experiences
We have nearly ten years of experience with eToro. Several team members have used it extensively for stock and crypto investing. This is a quick summary of our experiences.
eToro’s best aspects are its wide range of available assets, intuitive user interface, and innovative social trading features. It’s likely one of the best platforms for investing across multiple asset classes. The crypto selection is also broad enough, making eToro a suitable platform for crypto investors.
We feel eToro’s interface is one of its best features. It’s easy to navigate, looks nice, and makes placing orders straightforward. Many of our team members love the features of social trading. You can engage with a global community, get inspired by other investors’ ideas, and join the conversation. This improves your investing results.
Try eToro today
Crypto investments are risky and may not suit retail investors; you could lose your entire investment. Understand the risks here.
Below is a screenshot from the eToro mobile app.
That said, there are a few drawbacks worth noting. One common complaint is the relatively high spread fees, especially on cryptocurrency trades, which can make frequent trading more expensive. It’s also pretty costly to withdraw your crypto from eToro if you want to.
You should also be wary of CFD trading. It is treated poorly in some countries when it comes to taxation. Most of eToro’s assets are purchased as CFDs.
Overall, our experience with eToro has been positive. It is a popular platform that has evolved over the years into a well-optimized service.
eToro registration
Opening an account on eToro is quick and easy. Click the link below to begin the registration process.
Click here to open an eToro account
Crypto investments are risky and may not suit retail investors; you could lose your entire investment. Understand the risks here.
Once you land on eToro’s website, click the green Join eToro button to open the registration form. Start the registration process by entering your email address and clicking Continue.
Next, you will enter a password. For your security, always use unique, sufficiently complex passwords.
When you log in to eToro for the first time, you will be asked to enter the rest of your personal information. This is when the customer identification (KYC) process is carried out. It’s a standard process on all trading & crypto platforms.
Your identity is confirmed using a passport or ID card. You will also be asked to verify your address. This can be done most easily with a bank statement or utility bill. Always use high-quality photos to ensure the process goes smoothly.
After registering, it is a good idea to download the eToro mobile app. You can find it in the Google and Apple app stores. When you log in to the mobile app, open the menu in the top left corner and select Settings. From here, you can change the app language.
This article was written using the mobile app. Of course, you can also use eToro on a web browser.
How to deposit to eToro
It’s easy to deposit funds into your eToro account using various payment methods. eToro supports fast SEPA bank transfers and credit/debit card deposits.
eToro differs from your local brokers because it uses dollars as currency. However, this is not a problem with money transfers. The system automatically converts your deposit into dollars when you deposit euros (or other currencies) into your eToro account.
To make a deposit, open the menu in the top left corner of the mobile app. You will see a Deposit Funds button on your screen that lets you transfer money to your account. Below is an example of a credit card deposit.
In this example, a deposit of 1000 euros will be converted to 1078 dollars in your eToro account. The drop-down menu shown in the image offers three alternative payment methods:
- Credit/debit card
- Trustly
- Bank transfer
Your first deposit must be made using one of these payment methods. After that, you can also transfer money using PayPal.
eToro Virtual Portfolio
You can also test trading on eToro using a virtual portfolio. You can access it by opening the menu in the top left corner of the mobile app. At the bottom of the menu, you will see the Switch to Virtual link in blue text.
When you switch to the virtual portfolio, all orders are placed from a virtual balance of $100,000. You can use it to test different strategies risk-free. When you want to switch to trading with real money, open the menu and click the Switch to Real link at the bottom.
How to buy Crypto on eToro
After depositing, you can buy cryptocurrencies on eToro. You can explore all asset classes by clicking the Discover icon in the mobile app’s footer menu. Next, select Crypto from the asset class options at the top of the screen.
You can also use the search box at the top of the page to find the cryptocurrency you want to purchase. Below is an image of the eToro cryptocurrency purchase form.
By default, the purchase is made by entering the amount in dollars. Click the Units link below the Amount box to purchase an exact amount of cryptocurrency instead (e.g., 0.01 BTC).
The default leverage should be X1. Purchases using leverage are CFD trading, and you are not buying real cryptocurrencies.
Beginners should use the market order, which is selected by default. This will immediately execute trades at the current market price. You can also change the order to a limit price if you wish.
eToro fees
eToro charges a flat one (1) percent fee for buying crypto. The same fee applies to opening and closing a position.
eToro is an investment platform offering access to thousands of assets, and each asset class has its own fees. For example, if you buy stocks or commodities, you will be charged entirely different fees. Learn about the fees for other asset classes before investing in them.
Selling cryptos vs. shorting
Selling vs. shorting can be confusing for a novice user. If you are new to trading on eToro, please read this chapter carefully.
When you trade on eToro, you will see SELL and BUY links on crypto listings. You will also see the Short and Buy options in the purchase form. Sell and Short always refer to shorting. It is not the same as selling your assets for dollars or closing a position.
You can sell an investment (such as Bitcoin) by shorting, even if you do not own it. Shorting allows you to make money when the price drops. This is not the same as selling your coins for dollars (closing the position). In addition, there are fees associated with holding a short position open.
If you have bought Bitcoin and want to sell your coins for dollars, you can do this on eToro by closing a position. You can see all your open positions by clicking on Portfolio in the app footer menu.
Understanding the difference between selling (shorting) a position and closing a position on eToro is essential.
Transferring cryptos out of eToro
You can transfer the cryptocurrency you purchased from eToro to another wallet. Some misinformation on the internet claims otherwise. However, it is incorrect to say that crypto purchases on eToro are not genuine coins.
Cryptocurrencies can be purchased on eToro with or without leverage. When you do not use leverage, i.e., you make a regular spot trade, you are buying real cryptocurrencies. You can transfer these cryptos from eToro to your crypto wallet. Please note that eToro charges a 2% fee for transfers.
To transfer crypto, you need an eToro crypto wallet. It’s called eToro Money. Download the app from the Google or Apple store and log in with your eToro credentials.
Transferring cryptocurrencies out of eToro is done as follows:
- Open the eToro mobile app and tap the Portfolio icon
- Select the cryptocurrency you want to transfer
- Choose the specific trade, then tap Edit Trade
- Tap Transfer to Wallet
- Confirm the transfer to your eToro Money crypto wallet
You will receive a notification about the transfer request. Open transfer requests will appear in your portfolio.
Once the transfer is complete, the cryptos will appear in the eToro Money app. You can transfer your coins from the eToro Money app to another crypto wallet or exchange.
Depositing cryptos to eToro
You cannot transfer crypto from your eToro Money wallet back to eToro. Transfers only work from eToro to the eToro Money app. You can find more information in the eToro Help Center by searching “How do I transfer crypto funds?”
Note. eToro will begin to offer crypto deposits to eToro Club members in spring 2025. We will update this article if the feature becomes available to everyone.
eToro vs. crypto exchanges
eToro is an alternative to using a crypto exchange. What are the pros and cons of eToro compared to crypto exchanges? Which is the better choice? Let’s go through a few points next.
Taxation
When you trade on a crypto exchange, you must calculate your taxes and report them to the tax authorities yearly. Active investors use crypto tax software to help them enter their trades, such as CSV files.
Popular crypto tax software Divly supports eToro reports (CSV files). You can also export eToro data to Koinly, another popular crypto tax app.
Crypto selection
eToro offers 130 popular cryptocurrencies. Although this selection is extensive, it falls short of popular crypto exchanges. eToro’s selection is likely enough for 90–95% of users, so there is no big problem in practice.
Crypto transfers
eToro’s weakness is in crypto transactions. Since eToro is a trading platform, you cannot deposit cryptos from your wallet (note: this will change in the future). However, transferring crypto out of eToro is possible, though it incurs fees.
You need to use a cryptocurrency exchange if you store crypto in your wallet and want to sell it for EUR, USD, etc..
Other investments
eToro’s biggest strength is its wide range of other investment options. Few investors have a portfolio composed entirely of crypto. Most also want to invest in stocks, commodities, and other assets. eToro offers a platform that lets you manage all your investments in one place. You can’t do this in a crypto exchange focused solely on crypto.
Summary
In summary, eToro is a versatile multi-asset investment app. It is a global giant in the trading platform market, and for good reason, it has gained immense popularity.
So, who is eToro for? eToro is ideal for individuals with multi-asset portfolios who want to manage their investments easily through a single app. Its huge offering includes over 7,000 investment opportunities, and social trading is becoming increasingly popular.
Like all services, eToro has pros and cons. It should not be seen as an alternative to a crypto exchange but as an alternative to other multi-asset trading platforms, such as Plus500 or Trading 212.
You can explore eToro for free and test the platform with virtual money.
Try eToro now
Crypto investments are risky and may not suit retail investors; you could lose your entire investment. Understand the risks here.
Disclaimer:
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 61% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Crypto investments are risky and may not suit retail investors; you could lose your entire investment. Understand the risks here.
Copy Trading does not amount to investment advice. Your investments value may go up or down. Your capital is at risk.
This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.