Award-winning social investing platform, eToro, has secured a virtual currency license, known as a BitLicense, from the New York State Department of Financial Services (NYDFS). eToro NY LLC, the broker’s US subsidiary, was also awarded a Money Transmitter License. The latest regulatory approvals come as the brand looks to expand its presence in the United States.
Stocks, Cryptos & Options Trading
The new licenses will allow eToro to offer trading on stocks, options and cryptocurrencies to clients from New York. The firm also plans to offer its social investing tools to New Yorkers when eToro NY LLC becomes fully operational.
eToro’s Co-Founder and CEO, Yoni Assia, commented: “Securing our BitLicense and Money Transmitter License in New York is a key milestone in the continued expansion of our US business and a testament to the commitment of our team in partnering with regulators and state entities.”
CEO of eToro US, Lule Demmissie, added: “The right time to start investing is always now and we are incredibly excited to bring eToro’s unique proposition to the residents of New York State.”
eToro recently announced that it will start offering instruments to traders from Brazil, except for CFDs and forex, which require further regulatory permissions. If successful, the offering will help the brokerage tap into the Brazilian retail market, which is home to around four million individual investors.
eToro also announced plans last month to bring in an AI-enabled portfolio, known as InvestorAI-US, which will focus on companies in the US that have high-growth potential. The new portfolio is being developed in conjunction with UK fintech, Bridgewave. Note, the portfolio is not available yet.
eToro is a global broker that was established in 2007 in Israel. After 15 years of growth and a valuation of $2.5 billion, the firm launched in the United States in 2022.
Traders can speculate on thousands of assets, including US companies like Meta and JP Morgan. eToro also offers trading on popular cryptocurrencies, such as Bitcoin and Ethereum.
Commission-free trading is available on the firm’s stocks and options, though clients will pay a small regulatory charge. A 1% fee applies when you buy or sell digital currencies.
Traders can make use of the broker’s in-house platform, which is available as a desktop download or on major web browsers. Interactive charts, customizable watchlists, live quotes and social networking are all available on the beginner-friendly terminal.
New Yorkers will be able to register with eToro NY LLC when the entity becomes fully operational in the near future. Traders from most other US states can register with the broker today.