eToro offers bitcoin and over 25 other cryptocurrencies online. The company is global in reach but has separate offerings for U.S. traders. U.S. investors have three choices: Trade on their own, use eToro’s CopyTrader system to replicate the portfolios successful investors have, or invest in one of its Smart Portfolios. These portfolios contain digital currencies overseen by eToro and its partners. You can also access educational materials, videos, video guides, and crypto wallet storage. Yoni Assia and Ronen Assia founded eToro. However, the company began offering its services to U.S. investors in 2007. In 2018, eToro added more users. The eToro App is available for iOS and Android devices and on the desktop. Let’s read about best trading platforms in USA.
eToro vs. Coinbase
eToro, Coinbase offers a range of crypto products. However, the platforms have different fees and investment options.
eToro USA may not be the best option for traders looking to have a wide range of cryptocurrencies. While Coinbase currently has more than 25 assets, the platform offers over 100 cryptocurrencies. Coinbase offers many features that eToro does not. NFT trading is one of these features. You can also take courses on various assets with crypto payments.
eToro is the clear winner in many areas. It doesn’t only offer cryptocurrency. It also offers commission-free stocks, ETFs, and other investments. The platform’s pre-built Smart Portfolios and the CopyTrader system, are designed for hands-off investors who need a little more help with their cryptocurrency investments.
eToro is the best option for hands-off investments, flexible investment options, and social trading. Coinbase is best suited for crypto-focused traders looking for a wider range of assets and products.
eToro offers many ways to invest
Cryptocurrencies
eToro USA is the right choice if you are interested in exchanging cryptocurrency. There are over 25 cryptocurrency options, including bitcoin, starlight lumens, and litecoin.
You can also buy bitcoin using a debit card or bank account. Crypto assets can be securely stored with the eToro Money Wallet. Or you can use CopyTrader (T.M.) to draw on the knowledge of advanced crypto traders.
You’ll also find many educational guides if you are a beginner in crypto investing.
Copy Trading
The eToro copy trader (TM) system works as follows: First, choose a high-performing trader whose portfolio to copy, then allocate a certain amount (minimum $200) to copy the trader. Click “copy.” eToro claims this allows you to mirror the trader’s investments proportionally to how much you have allocated.
Currently, U.S. clients cannot copy portfolios of other U.S. clients. While U.S. traders can only copy other U.S. clients’ portfolios, you can copy up to 100 users simultaneously. Copying another trader requires $200. The maximum copy limit is $2,000,000.
Finally, eToro states that U.S. investors have access to four Smart Portfolios, which are portfolio management accounts that eToro manages for you: CryptoEqual and CryptoPortfolio.
Although TheTIE-LongOnly SmartPortfolio requires a minimum of $2,000, you will need at least $5,000 to purchase the CryptoEqual, CryptoPortfolio, and Crypto-currency portfolios.
Stock Trading
eToro launched stock in January 2022 and ETF trading in January 2022 for U.S. investors. You can now manage stocks, cryptocurrencies, and ETFs in one portfolio. Traders can purchase its stock and ETFs for fractional or full shares.
You will need at least $10 to get started.
Geographic Restrictions
You should be aware that the exchange does not currently support U.S. traders in New York and Minnesota, Nevada, and Northern Marianas.
Is eToro the right choice for you?
eToro’s Social Investing Platform is a great option for cryptocurrency investors looking to follow in the footsteps of professional traders. eToro offers a wider range of cryptocurrencies than other U.S. cryptocurrency brokerages. The broker is a better choice for investors who wish to invest in multiple assets, thanks to the addition of stock and limited ETF selections in 2022.
How do we review cryptocurrency platforms?
NerdWallet’s thorough review ranks and evaluates platforms and companies that permit U.S. customers to buy/sell cryptocurrency. We aim to give you information that will enable you to make informed decisions about which providers best suit your needs. We follow strict guidelines regarding editorial integrity.
We gather data directly from providers by asking detailed questions and observing and testing providers in person. Our proprietary assessment system scores providers based on more than ten factors. This is aided by the provider’s responses to our questionnaires and interviews with staff. From poor (one star) to excellent (five stars), the final output gives star ratings. Ratings are rounded up to the nearest half-star.
