eToro maintains its crypto strategy despite a decline in Q1 2026 activity

eToro, the social trading platform, experienced a significant decline in its cryptocurrency-related activity in the first quarter of 2026. Revenues generated from crypto and derivatives transactions fell, reflecting an unfavorable macroeconomic environment for the sector. Despite this decline, the company reaffirmed its long-term strategy in favor of digital assets, while accelerating its expansion in the US market and finalizing the acquisition of Zengo, a self-custodial wallet. This approach aims to strengthen the integration of cryptocurrencies into traditional investment portfolios, despite current turbulence. The facts In the first quarter of 2026, eToro recorded a marked decrease in its revenues linked to cryptocurrencies and derivatives. No precise figures were disclosed regarding the magnitude of this decline. At the same time, the company continued its development in the US market, considered strategic for its future growth. In addition, eToro finalized the acquisition of Zengo, a self-custodial wallet, thereby strengthening its service offering within the crypto ecosystem. This strategy is part of a desire to combine traditional finance and blockchain infrastructure, despite an uncertain economic context. No indication has been given regarding a return to profitability or an improvement in revenues in the short term. Why it matters eToro's persistence in the crypto sector, despite a difficult environment, sends a signal of resilience to investors. The acquisition of Zengo could foster the adoption of self-custodial wallets, a fast-growing segment of the blockchain ecosystem. In the medium term, this initiative could support demand for decentralized custody solutions, potentially benefiting projects such as Holo (HOT) or Movement (MOVE). However, the decline in revenues could limit eToro's ability to innovate or attract new users in the short term. The company's strategy relies on a long-term vision, aiming to integrate digital assets into classic investment portfolios, despite current challenges. To watch Zengo's integration: the new features added by eToro thanks to this acquisition and their impact on the user experience. The growth strategy: any announcement regarding new acquisitions or partnerships in the crypto sector. The evolution of revenue linked to cryptocurrencies and derivatives in the coming quarters. Developments in the US market, a key segment for eToro's future. Market and investor reactions to eToro's resilience strategy.