Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
Crypto exchange eToro has registered a more than 121% surge in its client base. The company’s total user base by June 30 stood at 23.2 million.
On Wednesday, August 26, the Israel-based crypto trading platform eToro reported stellar earnings for Q2 2021. The earnings from crypto trading commissions shot up 23x or 2200% during the second quarter.
For Q2 2021, eToro recorded total commissions at $264 million against $11.2 in commissions for the same period a year back. Last year in Q2 2020, crypto trading commissions accounted only for 7% of eToro’s revenue. However, for Q2 2021, the total trading commissions accounted for 73% of the revenue this year.
Ripple‘s XRP was the biggest contributor in commissions among all other crypto assets. On the other hand, Bitcoin (BTC) contributed to the most trading volumes. The total trading commissions for eToro stood at $362 million. On the other hand, the net trading income was $290 million. Yoni Assia, CEO and Co-founder of eToro, commented:
“We continue to see strong positive momentum and our Q2 numbers demonstrate ongoing growth in new registered users and total commissions. In line with this, funded accounts grew by 158% year on year to 2 million as of 30 June 2021″.
But despite this, the company reported a net loss of $89 million. This was because of a non-cash charge of $71 million offered as stock compensation to its employees. Besides, the company also reported a $36 million transaction cost for its merger with a SPAC named FinTech Acquisition Corp. V.
eToro: Adding Support for New Crypto Assets in Q2 2021
Crypto exchange eToro has strategically expanded its crypto product offerings in recent months. It added support for 10 new crypto assets in recent months. This also includes meme stocks like Dogecoin (DOGE) and Shiba Inu (SHIB).
Remaining bullish on the launch of Ethereum 2.0, eToro noted that it will further expand its holistic crypto offering. During the second quarter this year, eToro added 2.6 million new clients. Thus, the company recorded a 121% surge in new clients YoY. By June 30, eToro has a total of 23.2 million userbases. The company noted:
“The rise in self-directed investing and eToro’s growth are underpinned by long-term secular trends in investor behavior. We are confident that we can lead the democratization of investing and continue to grow our share of an expanding market.”
Crypto exchange eToro has further shared the desire to expand its footprint in America. Since its launch in 2019, eToro has been offering facilities for crypto and copy trading. The company is now willing to expand its product range by including stocks by the end of this year.