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Cryptopolitan 2025-05-14 02:03:08

eToro soars in Nasdaq debut at $52 per share, valuing trading platform at $4.2B

On May 14, 2025, eToro debuted on the Nasdaq under the ETOR ticker, pricing its initial public offering (IPO) at $52 per share, beyond the expected range of $46 to $50, signaling strong investor demand. The IPO raised about $310 million, with the company and existing investors selling nearly six million shares . With that, eToro has been valued at around $4.2 billion in a successful debut on the public markets in a cautiously optimistic period for tech IPOs. EToro said in its prospectus that BlackRock had expressed interest in buying $100 million shares at the IPO price. The company planned to sell 5 million shares in the offering, with existing investors and executives selling another 5 million. Crypto boom drives eToro’s $50M profit surge eToro had the financial footing to ease its path to a successful IPO. In 2024, the company said, net income surged to $192.4 million from $15.3 million. This growth reflected the platform’s rising interest in cryptocurrency and the active participation of users worldwide. The company has been ramping up its crypto business, with revenue from crypto assets more than tripling to over $12 million in 2024. One-quarter of its net trading contribution last year came from crypto, up from 10% the prior year. eToro generates revenue from trading fees through spreads on buy and sell orders and from non-trading services, like currency conversions and withdrawal fees. It competes with other upstart retail trading platforms, including Robinhood and Webull, in offering traditional stock trading and access to crypto assets. By December 2024, the company had 3.5 million funded accounts from more than 75 countries, which showed a growing international momentum. eToro revives investor confidence with strong IPO The timing of eToro’s public offering could not be better. The IPO market stopped in recent years but has shown signs of life. The return of President Donald Trump to the White House in January 2025 and the stabilization of interest rates and decline in inflation have breathed new life into the public offerings market. Earlier in the year, GPU cloud infrastructure company CoreWeave went public with a successful debut, opening the door for companies like eToro, Klarna, and StubHub to dip their toes. Temporary fears over tariffs had delayed their plans, but eToro moved ahead after market confidence started to return. This is not eToro’s first try at going public. It had intended to merge with a special-purpose acquisition vehicle, or SPAC, in a deal that would have valued the business at more than $10 billion by 2022. But that plan was grounded by a larger market slide. Yoni Assia, the chief executive and a co-founder of the company, which was founded in 2007 with his brother Ronen Assia and David Ring, said earlier in 2024 that they were continuing to ready the company for a public debut, “assessing the right opportunity.” Now officially listed on the Nasdaq, eToro is set to drive a paradigm shift in how ordinary people trade, invest, and participate in financial markets. The success of eToro’s IPO is now increasingly being closely followed as a litmus test for the pipeline of tech and fintech IPOs, with companies like Hinge Health and Chime next in line to do so. KEY Difference Wire : the secret tool crypto projects use to get guaranteed media coverage

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