eToro

eToro Review

eToro is one of the largest stock trading platforms in the world.

When the crypto craze hit fever pitch, the platform decided to add support for crypto trading.

The end result?

A powerful platform that’s known, loved and battle tested offering exposure to the hottest investments on the planet – crypto.

Learn everything there is to know about eToro and how you can rise up the ranks and become a pro trader.

Even if you’re already with eToro, we’re pretty sure we can teach you some cool tricks to up your game when you buy crypto at eToro!

What is eToro? 

eToro is a powerful trading platform that began life as a stock trading platform.

Over the years, eToro decided to add cryptocurrencies, becoming one of the safest ways to buy Bitcoin in the world.

Because of how eToro works, you don’t need to worry about your funds getting stolen.

This also means that it won’t show on any trade volume comparison sites, so bear that in mind.

The complete guide to eToro

eToro stands out as one of the best places to buy Bitcoin, so buckle up.

We’re going to tell you all about eToro and how you can buy crypto at eToro!

There’s a lot to learn, so we’ll break it up, taking you through everything one step at a time.

We’re in this together!

The history of eToro

eToro launched back in 2007 with the goal of disrupting the world of trading.

It launched its popular WebTrader service in 2009 and in 2010 it created CopyTrader.

CopyTrader allows you to copy any other trader on the planet, automating your portfolio to follow their decisions.

Cryptocurrencies made their way onto eToro in 2017, a decade after it originally launched.

Since then, it has listed more cryptocurrencies, giving you an impressive selection to trade.

However, for certain regions eToro utilizes contract for differences (CFDs), meaning that you’re buying exposure to crypto, not the real deal.

This does put a few people off, but you still get exposure to the price volatility of cryptocurrencies.

For more people, this is all they’re after, not the use cases as well.

So, if you just want to get exposure to crypto, eToro is a fantastic, safe and secure platform to try.

How to buy cryptocurrency at eToro?

eToro gives you quite a few choices to pick from when you buy crypto.

To kick things off, you’re going to need to get verified in order to begin trading.

If you wish to unlock leverage trading, then you’ll need to pass a short test.

The best way to complete the verification process is on your mobile, using the website or mobile app.

This is because you’re required to take a few pictures and a selfie.

You can do this on a computer, but it’s far easier on a mobile phone.

You’ll need a government issued ID to hand and a utility bill in your name.

You can use your driving license, passport or ID card as your government issued ID.

For proof of address, a water, gas, power or telecoms bill in your name will work nicely.

It can take up to 5 working days to get verified at eToro, but in our testing we sailed through in just under half an hour.

You can deposit and trade with the following fiat currencies at eToro:

·  EUR

·  USD

·  GBP

·  AUD

If you’re already an eToro pro, you’ll want to skip this section.

For everyone else, grab your ID and let’s buy some crypto!

Step-by-step guide

eToro makes buying and selling crypto super easy.

But, we’ll still walk you through so that you’re confident.

If you already know how to trade at eToro, skip ahead to the next section.

For everyone else, it’s time!

Let’s buy crypto at eToro!

Step 1 – registration

To get the party started, head to the eToro website and click on Start Investing.

Then, all you’ve got to do is pick a username, pop in your email address, fill in a password and agree to the various terms and conditions.

Once you’ve done that, a tutorial will guide you to the verification process.

You’ll want to hit the menu button then click on complete profile.

Once you do this, you can then move on to step 2.

Step 2 – verification

As part of the verification process, you’ll be asked a series of questions to determine the maximum leverage you can have and a few other features.

There are no wrong answers, so answer truthfully.

It’s better to be honest here so that you get access to products that are suited to your skill level.

First, you will need to let eToro know how often you’ve traded crypto and stocks in the past year.

Next, you need to fill in your address information.

Make sure that you fill this in correctly as it will be checked against a bill or ID document.

Finally, pop in your name, date of birth and gender.

Once you’ve done this, you will be able to make deposits up to €100.

To increase the limit to €2,000 and unlock leverage trading, you’ll need to complete additional verification.

These are a series of questions designed to test your knowledge, skill and experience.

Again, be truthful as they will impact your experience.

Once you’ve completed this batch of questions, you can then deposit up to €2,000.

You can opt to take verification one step further by submitting images of your ID, but this isn’t necessary.

You will have to do this in order to withdraw, so do it now and save yourself hassle later.

Step 3 – deposit

Now you’re fully verified, it’s time to fund your account.

Click on the menu icon, then tap deposit at the bottom.

You can then toggle between credit/debit card, PayPal and bank transfer.

After you make a successful deposit, you will unlock Skrill and Neteller as deposit methods.

Fill in the amount you wish to deposit then complete the action either by making a bank transfer, logging in to your PayPal account or filling in your card details.

It’s totally free to deposit, no matter the method you pick, so opt for card if you can – it’s the fastest.

Step 4 – Buy Cryptocurrency

Once your deposit has cleared, it’s time for you to do the fun part – buy crypto at eToro!

When you’re ready, head on over to Watchlist in the menu.

There, you can search for the cryptocurrency you wish to buy using the top search bar.

Once you’ve found the crypto you are looking to invest in, you simply input the amount you wish to buy.

Once you’re happy, hit confirm and the trade will be complete.

Congratulations – you just bought crypto with eToro!

It’s an instant process, so you don’t have to wait around, which is perfect!

Can I send crypto to my external wallet?

When you buy crypto at eToro, you’re buying the real deal, for the most part. 

To get started, you will need to download the eToro Money crypto wallet on your Android or iOS device and set it up. 

You can then move your crypto from your eToro portfolio over to this wallet. 

Once it’s in there, you can then send it to any wallet your heart desires, or opt to leave it in this wallet. 

The eToro Money crypto wallet supports more than 120 cryptocurrencies and is not a hot wallet. 

This means that only you own the keys to it. 

This adds extra security to the wallet and keeps you safe. 

You can learn more about crypto wallets with our guide to the best crypto wallets!

What about people from Australia?

Since 12 September 2021, customers from Australia can invest in crypto both in the form of CFDs and real crypto.

Prior to this, Australians could only invest in cryptocurrency CFDs, which essentially is a tracker that follows the price of that cryptocurrency or asset.

If you buy a Bitcoin CFD at eToro and the price of Bitcoin goes up, so too does that CFD.

CFDs are not real crypto and do not impact the price of crypto markets like buying at an exchange would.

But that’s all in the past. Australians can since September 2021 buy real crypto that is secured with real assets. Currently, only residents of Australia can transfer supported cryptoassets to the eToro Money crypto wallet.

Regardless if you are looking to invest in CFDs or buy real crypto, you as an Australian can now do both.

Buying cryptocurrency at eToro with a credit card

When you are looking to buy cryptocurrency at eToro, you have several payment methods available.

The first, and the option that’s set as default, is credit or debit card.

These types of deposits are the quickest and the simplest to make.

Simply fill in your card details and the amount you wish to deposit, and you’re done.

These deposits are typically credited within a second or two, meaning you can buy crypto at eToro in the blink of an eye.

Best of all, eToro doesn’t have any deposit fees, meaning that it’s free to deposit using your card at eToro.

Another major perk of using eToro is that countries with banking bans will still allow you to use your card to deposit.

This is because eToro is primarily a stock trading platform.

So, that’s a double win for eToro!

Other payment methods available at eToro

eToro is one of the biggest trading platforms in the world, and as such, it has a wide range of payment methods for you to use.

That means you’re not tied in to 1 or 2 choices, which is great news!

So, let’s see which other payment methods you can use at eToro!

Bank transfer

When you first set up your account, you’re given 3 choices, cards, bank transfer and PayPal.

Right now, we’re looking at bank transfers.

Usually, bank transfers are preferred for making large deposits because of the low fees and card limits.

However, eToro doesn’t have any deposit fees, meaning that if your card permits it, you can stick with your card.

Bank transfers can take up to 3 working days, which means you have the possibility of missing out on price movements.

If you’re making large deposits, it’s generally best to go with a bank transfer as a lot of cards have daily or weekly limits.

If you max out your daily spend, you could be left unable to buy food, even if you have ample money in the bank.

So, if you’re going to make big transfers, opt for a bank transfer.

PayPal

The final option before you’ve made your first deposit is PayPal.

It’s one of the most popular payment methods in the world, so it comes as no surprise that eToro lets you use it.

To deposit at eToro with PayPal simply select it from the dropdown menu and input the amount.

You’ll then be taken to the PayPal screen that you know and love, prompted to input your login details and confirm the transaction.

You can either use your card or PayPal balance to pay for the deposit.

It’s quick, free to use and simple.

If you’re familiar with PayPal, it’s well worth using.

Skrill

Once you’ve made your first deposit, you’ll unlock 2 additional payment methods – Skrill and Neteller.

Skrill is very similar to PayPal and is also crypto-friendly.

You can either opt to fund your Skrill account and pay from that or link your card to your Skrill account and pay instantly.

You can also use Skrill to send money overseas and to other people in the blink of an eye.

It’s almost like a virtual bank – it’s well worth checking out.

Neteller

Neteller is another payment method that you can unlock when you’ve made your first deposit.

Neteller is again similar to Skrill and PayPal, primarily designed for sending and receiving money from overseas.

You can also use it as an account to pay for items and services, like making a deposit at eToro.

Simply select Neteller from the deposit option and you’ll be directed to login with your Neteller account – just like PayPal.

Neteller also has a prepaid MasterCard that you can use to deposit with at eToro.

Simply select the card deposit option and you can then use your Neteller card at eToro.

How to sell cryptocurrency at eToro?

Selling cryptocurrency at eToro is as simple as clicking a button.

Simply deposit into your eToro Money crypto wallet and then transfer it to the eToro trading platform using the balance button. 

You can then head back into the eToro trading app and hit sell on the asset of your choice from your portfolio.

If you have crypto at eToro, or want to short a crypto, then log into your eToro account.

Once you’re in, you’ll want to head to your portfolio from the menu on the left.

Then, pick the cryptocurrency you want to sell, click on sell, input the amount and hit confirm.

If you want to short a cryptocurrency at eToro, you can click on sell on the cryptocurrency of your choice.

This means that you’re betting that a particular cryptocurrency will go down in price.

When you close the trade by placing a buy, you’ll pocket the difference in price.

For example, if you short Bitcoin at eToro at $1,000 and Bitcoin then falls to $100, you’ll make $900.

On the other hand, if Bitcoin goes up in value, your short trade suddenly loses you money.

You will get stopped out of the trade once your balance is at the equivalent of $0.

You can learn more about shorting cryptocurrencies with our guide to advanced trading.

What is copy trading at eToro?

When you head into the bowels of the eToro crypto trading platform, you’ll spot a feature called CopyTrade. 

This is proprietary eToro tech that allows you to copy any other trader on the platform. 

Simply put, if you see someone that is making lots of money and trading well, you can opt to copy their trades. 

If you do this, your account will automatically place the same trades as the trader you’ve copied. 

You can assign your full balance or a portion of it to the CopyTrade feature. 

If you become a top trader and make good returns, you too could get copied. 

If you get copied, you get a small bit of money as a reward for each trader copying you when you make a profitable trade. 

It’s a great way to earn extra income when trading cryptocurrencies, especially if you pick lots of winners.

eToro has an impressive range

When it comes to range of coins listed at eToro, you’ll be blown away by the choice. 

There are all the big name coins that you’d expect like Bitcoin, Ethereum, Litecoin and Bitcoin Cash, but there are also dozens of smaller name coins. 

In total, there are currently 26 coins available at eToro, but they’re constantly adding new cryptocurrencies that you can buy and sell, so keep checking back as we’ll update this number constantly! 

You can opt to buy cryptocurrencies, exposure between cryptocurrency pairs and even cryptocurrency and fiat pairs. 

What this means is that if one coin rises against another, you will make money or lose, depending on which way the trade goes. 

The same goes for fiat currencies. 

This is a fantastic choice if you can time it with poor earnings reports or jobs data from governments. 

However, if you’re unsure how these work, dabble in them with a small amount of money rather than going in deep. 

If you want to learn more about these crosses, you can learn more about them in our advanced trading guide. 

The good, bad, and ugly at eToro

eToro has come a long way since 2007 and is now regarded as one of the best trading platforms in the world. 

It has a lot of trading options, a pile of supported currencies and payment methods, is safe, secure and has never been hacked. 

But, these features come at a price, with a fairly large spread on average and trading fees for crypto products. 

Is eToro safe?

eToro is as safe as they come, never having suffered from a hack, theft or breach. 

This means that you can store your crypto safely at eToro without any fear of repercussions. 

However, it’s still best practice to store crypto in wallets that you own, rather than on an exchange, just to be safe. 

eToro also charges an inactivity fee if you don’t use your account in more than a year, so avoid this fee by storing crypto in your own wallet. 

You can opt to enable 2-factor authentication on your account, which adds a second layer of security – more on that in just a second. 

eToro also has its code and systems audited frequently to ensure there are no major security flaws, and they actively educate users about potential phishing scams out there. 

Two-factor authentication

As we mentioned earlier, you can opt to enable 2-factor authentication (2FA) on your account. 

This adds an extra layer of security by sending a passcode to your mobile phone number. 

You then have to use this code in order to log into your account. 

However, there are some major flaws with SMS 2FA, which could mean that you’re not as secure as you think. 

Currently there’s no option to use Google Authenticator or Authy, so you’ll have to make do with SMS 2FA, which is not the best. 

SMS authentication

SMS authentication is the process of sending authentication code to your mobile number. 

To enable this, head settings in the left-hand menu, then security. You can then toggle on 2FA. 

A code will be sent to your mobile number that you used when signing up. 

Input that code and 2FA will be enabled. 

However, SMS 2FA is not secure as people can still get access to your passcodes through a sim swap attack. 

This is where an attacker calls up your telecoms provider pretending to be you. 

They then persuade the operator to dispatch a new sim-card to the nearest store or to a new address. 

They then insert this sim into their device and they will receive your SMS 2FA codes. 

People have lost millions of dollars worth of crypto through these attacks. 

So if you’re using SMS 2FA, don’t presume you’re safe. 

Sim swappers can also work at telecoms providers, taking jobs at different providers to get access to accounts in order to steal crypto. 

T-Mobile in the USA is currently being sued by customers that have been sim swapped. 

Do you pay fees at eToro?

When you deposit at eToro, you don’t pay any fees at all. 

But that’s where the fun ends. 

You then pay trading fees through the spread, which is pretty common for stock trading platforms. 

The spread varies depending on the currency you’re trading, and this amount varies significantly. 

For Bitcoin, the spread is 1%, which is fairly tight as far as spreads on cryptocurrencies go. 

From there, this number only grows, capping at 5% for Tezos. 

If you wish to withdraw cryptocurrency, the minimum fee is $1 and the maximum is $50. 

It’s worked out as 0.5% of the transaction value. 

This makes withdrawals from eToro fairly expensive in the grand scheme of things.

Trade with leverage at eToro

If you fulfill certain criteria during the onboarding process, you will unlock the ability to trade with leverage at eToro. 

This isn’t available to all traders, it depends on the answers you gave when you created your account. 

You can change the answers you gave by updating your profile information. 

However, during periods of high volatility, eToro will suspend the ability to trade crypto on leverage. 

If you wish to trade stocks, commodities and currencies, the highest leverage is set at 30x.

Trade stocks at eToro

eToro started out life as a stock trading platform and grew into one of the best around. 

You can trade stocks from virtually every stock market around the globe. 

The selection is second to none, making it a fantastic site to trade stocks on. 

You can only trade stocks at eToro using a fiat currency, so you will need to exchange your crypto into fiat before making the trade. 

There’s a solid range of stocks, bonds, ETFs, notes, commodities and currencies that you can trade at eToro, giving you more choice than the Wolf of Wall Street had!

Buy crypto on your mobile

If you’re a mobile user, then you’re in luck with eToro – it’s mobile site is fantastic. 

There’s also an eToro mobile app that is smooth, sleek and easy to use, which is well worth downloading. 

Both the mobile website and application give you 24/7 access to crypto markets from the palm of your hand. 

The menu options remain the same, and it feels just like the desktop site, just resized to fit a mobile screen. 

As a result, you’re not left scratching your head when you swap between the 2 modes – it really is seamless. 

You have access to the same features as you do with the desktop site, which is impressive. 

In fact, we prefer the mobile site over the desktop as it’s just a bit more convenient for when you’re on the go. 

eToro customer support

 eToro has a wealth of guides, documentation and articles designed to help you with any issues you’re facing. 

But, from time to time those guides may not help. 

So you can either open up the eToro Money mobile app and use the live chat between 8:00-18:00 UK time or create a support ticket. 

The live chat support agents are very helpful, attention to needs quickly and efficiently. 

They seem very knowledgeable and were able to solve all questions we had during our tests. 

The ticket system took a little over 48 hours for a reply, which requested more information. 

Eventually the ticket system solved our problems, but took far longer than using the live chat did. 

When possible, use the live chat, especially if you’re in a hurry.

Is eToro legal?

eToro is licensed and regulated in all jurisdictions that you can open an account from. 

This means that it’s completely legal and safe to use. 

As long as you didn’t lie in the registration process about your location or identity, then you’ll face no legal troubles with eToro. 

In fact, eToro is so reputable that it’s trusted by millions of traders from all around the globe. 

It’s a massive exchange so won’t go bust or run away with your funds any time soon. 

This does mean that eToro is required to abide by rules and regulations, so know your customer (KYC) and anti-money laundering (AML) checks will take place. 

It’s not ideal if you wish to remain anonymous, but it’s a small price to pay for safety when trading crypto. 

Are profits from eToro taxed?

Whenever you trade crypto or stocks, there’s a good chance it’s taxable. 

If your country has capital gains tax, then you’re liable to report your profits and losses to the tax man. 

In the event you make a loss, you can deduct this from your tax bill, which is a nice feature of paying taxes. 

If you live in a country where tax doesn’t exist, then you don’t need to pay taxes on your crypto earnings. 

If you live in Australia, Germany or Malta, you will get a discount on your tax bill up to 100% if you hold your crypto for more than 1 year. 

You can download a record of your trades from the My Account section, which will help you at tax time. 

For more information about crypto taxes, please see our guide to crypto tax.

Conclusion

eToro is a fantastic crypto trading platform, offering a unique blend of stock trading and crypto products. 

It’s ideal for beginners thanks to its easy user interface and detailed documentation. 

The questions during the registration process also creates personal limits to suit your level of understanding and experience, which is lovely to see. 

The spread and crypto withdrawal fees are pain points, but when you consider the safety and ease of use you get, they’re worth paying. 

Some countries will let you deduct fees from your tax bill as well, which makes eToro a total bargain. 

Frequently asked questions and answers

What currencies can I use at eToro?

When you deposit at eToro, you can use a range of fiat currencies. 

You cannot use cryptocurrencies to trade with, so you’ll have to sell any crypto into a fiat currency before you can make use of the platform. 

You can currently use the following currencies at eToro:

• EUR
• USD
• GBP
• AUD

As eToro enters more markets, we could see eToro list more fiat currencies. 

Is eToro available in my country?

eToro is one of the world’s most popular trading platforms, but that doesn’t mean you can use it everywhere. 

US citizens can use eToro, but only if they’re situated in the USA. 

Residents from the following countries are not permitted to use eToro, even with a VPN:

Will eToro list more currencies?

eToro strives to deliver the best crypto trading experience possible. 

In the past, eToro has been quick to add new currencies, and its wallet currently supports more than 120. 

It’s likely that we’ll see eToro slowly add more and more cryptocurrencies that its wallet supports, but there’s currently no time frame for this to happen.

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% 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.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy trading is a portfolio management service, provided by eToro (Europe) Ltd., which is authorised and regulated by the Cyprus Securities and Exchange Commission.

Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.

eToro AUS Capital Ltd ACN 612 791 803 AFSL 491139. OTC Derivatives are speculative and leveraged. Not suitable for all investors. Capital at risk. See PDS and TMD