Week in Review: eToro Advances IPO Plans, Brokers Chasing Trustpilot Ratings, and More

eToro Moves Closer to IPO

Another week, another lineup of top stories across the trading, fintech, and crypto industry in our regular weekly summary. Starting us off: eToro's IPO is gaining momentum. The company publicly filed a registration statement with the U.S. Securities and Exchange Commission (SEC) this week, marking a significant step toward the much-anticipated public listing.

Notably, the Israeli-based fintech giant also plans to introduce new services, including securities lending, to “expand existing recurring revenue sources.” If everything goes according to plan, it will be listed on the Nasdaq Global Select Market under the ticker symbol “ETOR.”

The latest SEC filing revealed that eToro is not badly off financially after all. By the end of 2024, it collected a total commission of $931 million, a yearly rise of 45.6%. Its net income jumped to $192 million in 2024, compared to $15.3 million in 2023 and a loss of $21 million in 2022.

Plus500 Makes New Acquisition in India

Another fintech firm that is also thinking big on expansion is Plus500. The London-listed firm agreed to acquire Indian financial services company Mehta Equities Limited for an estimated $20 million.

Founded in 1995, Mehta Equities offers brokerage services for futures, options, and cash equities, portfolio management, investment banking, and custodian services. It holds memberships with major Indian exchanges, including the National Stock Exchange, Bombay Stock Exchange, and Multi Commodity Exchange.

Eying Global Markets

Other brokerage firms looking beyond their borders include XTB, CMC Markets, and ICM.com. XTB strengthened its Middle East presence by opening a new office in Dubai, which was announced this week. At the same time, CMC Markets announced a new office in Bermuda after obtaining a license from the Bermuda Monetary Authority (BMA).

With more companies seeking new regulatory approval, the UAE is attracting many players. ICM.com obtained its second license in the region this week.

“Dubai’s financial ecosystem is one of the most attractive in the world, and this regulatory approval allows us to reach out to the vast client base within the UAE, backed by full compliance with UAE regulations,” said the CEO of ICM.com, Shoaib Abedi, who further pointed out that the new license is part of the broker’s “global expansion strategy.”

Are Brokers and Prop Firms “Trading Trust”?

Away from the search for new opportunities, this week, we continued with our weeks-long series of Trustpilot saga and the review war rooms. Traders are increasingly valuing peer reviews over polished marketing, and firms are now under pressure to maintain strong ratings and swiftly address criticism.

Many firms have gone as far as assigning dedicated teams to respond to complaints and protect their public image—all while flaunting their Trustpilot Score, or TrustScore, as a signal of trustworthiness.

"Dealing with our Trustpilot profile became ridiculously time and resource-consuming," admitted one broker, "but we don't really have a choice."

Is Italy the Next CFD Hotspot?

Change is in the air for Italy’s financial sector, with investors showing a new appetite for risk. Italy’s financial landscape is buzzing. In a country of roughly 59 million people long known for its traditionally risk-averse investors, a visible transformation is underway in the trading and investment scene.

Italy is not particularly prominent among the most prominent global financial markets compared to Asia, North America, or even other European nations.

Nevertheless, over the last few years, the habits and trends of the Italian population towards trading and investing have been changing, showing clear signs of strength and growth, which could shape the Italian CFD industry over the coming decades.

Even as Italy experiences a quiet financial revolution, new research suggests that retail investors are becoming increasingly sophisticated and are playing a growing role in global capital markets, fighting the “dumb money” myth. The analysis by eToro has challenged the notion that individual investors are prone to impulsive and emotionally driven trading decisions.

More Companies Are Expanding Their Crypto Offerings

After launching a dedicated crypto trading platform for UK users last year, Revolut has expanded the offering with a new trading app, Revolut X. The move has positioned the fintech giant as a direct competitor to major exchanges like Binance and Coinbase. Revolut X, initially available to UK retail traders, offers over 100 cryptocurrencies, including Bitcoin.

At the same time, Interactive Brokers added four new cryptocurrencies to its trading platform: Solana (SOL), Cardano (ADA), Ripple (XRP), and Dogecoin (DOGE). The company's clients can now trade eight cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH).

The competition for crypto offerings extends beyond the financial sector. GameStop is also betting on Bitcoin to level up its balance sheet. Besides, GameStop has been angling toward a broader tech transformation for a while. It previously dipped its toes into NFTs and hired e-commerce veterans from Amazon and Chewy.

Robinhood Targets Traditional Banks

As everyone scrambles for a piece of the fintech space, Robinhood is reaching out to the traditional banking space. The cmpany, which disrupted the brokerage industry with its commission-free model, will roll out “checking and savings accounts with premium benefits” later this year, but only for its “Gold” subscribers, who pay a $5 monthly or $50 annual subscription fee.

“You get these incredible products, you get really high interest rates,” Deepak Rao, Vice President and General Manager of Robinhood Money, told Bloomberg in an interview. “Why don’t we do that but give it to everybody?”

klarna IPO Buzz

Bringing our news roundup to an end, With Klarna’s IPO on the horizon and a major DoorDash deal in its pocket, the BNPL leader is stirring hope for more fintech listings, including Ebury. Klarna, the Swedish Buy Now, Pay Later (BNPL) giant, has long been a disruptor in the payments industry, offering flexible installment plans to consumers who’d rather stretch their spending than face the harsh reality of credit card debt.

Now, the company is making waves for a different reason—its highly anticipated US IPO. As Klarna gears up to go public, investors and fintech players are buzzing about what this means for the broader market.