IN THE SECOND QUARTER, CRYPTO EVOLVED TO PRESENT 73% OF TRADING COMMISSION ON LEADING RETAIL TRADING APP eTORO
Crypto developed to present 73% of trading commission on popular retail trading app eToro in the second quarter. eToro recently declared its Q2 results on Aug. 25 after the firm posted $362 million worth of total trading commissions and reporting its asset under the administration reached $9.4 billion.In a recent update by an investor on the same day, the firm formed that crypto-assets accounted for 73%, or $264.26 million of commissions which stated a huge 2259% increase
in comparison to the $11.2 million stated in Q2 2020. The total trading volume is up by 125% on Q2 2020, with Yoni Assia, the CEO and Co-founder of eToro pointed out in the announcement that the growth was “underpinned by long-term secular trends in investor behaviour” and authorized it by giving “simple access” to crypto via a user-friendly mobile
interface with financial education. The announcement stated that “Cryptoassets drove total commissions in the second quarter of 2021 reflecting strong interest from retail investors in crypto markets. Interest was diversified across the cryptos offered by eToro with the highest trading volumes in BTC, XRP, ETH, ADA and DOGE.”
The platform’s trading activity has developed so much in the last twelve months. In Q2 2020 data depicted crypto with just 7% of commissions, on the other hand commodities and equities were on top with 45% and 41%. By Q2 this year, commodities only accounted for 7% and equities 18%. eToro attached large increases in different places in Q2, as net trading income was $291 million which pointed a growth of 136% in comparison to last year. The user base witnessed an increase with 2.6 million new registered users, increased by 121% in comparison to Q2 2020. The platform is ready to go public on the Nasdaq exchange via a $10 billion special purpose acquisition deal (SPAC) meant to close the quarter. Even with impressive growth, the firm stated negative net income of $89 million, which was linked to a “non-cash charge of $71 million in stock-based compensation” to employees and $36 million in transaction costs connected to the SPAC merge with FinTech Acquisition Corp. V.