What is eToro? Beginner's Guide To The Crypto Social Trading Platform (Ultimate eToro Review) - ThinkMaverick (2024)

Sure, it’s exciting and tempting to jump into the latest crypto craze. But it is definitely not for the faint-hearted.

Whether you’re just starting out or a seasoned investor, having the right tool can make all the difference.

Make sure you equip yourself with the best platform that can truly help simplify your trading process and capitalize on real-time events. Simply because it’s critical to your success.

Wouldn’t it be great if you could…

• Save time and automate your crypto trading
• Copy successful strategies of other professional traders
• Practice trading and test your strategies without losing any dollar
• Access the world’s top cryptocurrencies
• Earn a second income when people copy your trades
  … all from one single platform?

Yes, it’s all possible with eToro.

A leading online trading platform for the next generation of trader and investor. eToro offers a one-stop-shop for anyone looking to invest in stocks, indexes, commodities, currencies and cryptocurrencies.

When it comes to cryptocurrency, eToro is not just a place to buy crypto, it’s also the ideal platform to connect, exchange ideas and share knowledge with one another.

What’s more, even if you don’t want to use your own money to test the service

..you can create an eToro Virtual Portfolio Account, get $100,000 to practise and improve your trading skills.

In case you want to learn more before jumping on board – that’s fair.

In this eToro review, we’llexamine some of theirprosandcons, features, fees and more.

So,let’s dig in.

What is eToro?

Founded in Tel Aviv, Israel, eToro is a FinTech industry leader and pioneer which has been operating since 2007. With over a decade under their belt, they’re trusted by over 10 million users in 140 countries- and the U.S. is now on that list.

eToro does more than provide a convenient way to buy, sell and trade almost anything.

It offers somethinglikeasocial media platform for crypto traders. You can discuss strategies, interact with top performing traders and benefit from their knowledge. Not only that, you can even replicate their trading activities with CopyTrader feature.

As cryptocurrency assets are gaining popularity as an alternative investment, eToro makes getting in the game easier. Registered users can now easily invest in Bitcoin and other popular cryptocurrencies using a variety of payment methods.

In 2019, they launched eToroX, a fully regulated crypto to crypto exchange.

Who can benefit from eToro?

Whether you are new or experienced, you can easily use eToro to your advantage and create a winning trading plan.

With its easy-to-use and intuitive platforms packed with handy features, it’s best for:

• Cryptocurrency traders, both novice and seasoned.

• Social or copy trading.

Are you ready to start trading on eToro?

• Sign up here. (It’s free)
• Use this sign up link if you’re not a U.S. citizen

The Best Features of eToro

So what trading tools does eToro offer?

With eToro, you’re able to invest in 2,000+ financial instruments across various classes, such as stocks, commodities, CFD, Bitcoin, cryptocurrencies and more!

With so many investment options and features, it can be overwhelming, especially for those who have never invested before.

To help you get the most out of eToro, let’s have a look at the most commonly-used features, one by one.

(A) eToro Virtual Portfolio Account

Practise with free $100,000

What better way to learn and improve your trading skill than actually investing with zero risk.

Once you sign up for a free account, you get $100,000 demo account to play around, so you can practise trading risk-free.

Use it to build a virtual portfolio to experiment with your strategies, try out all features on eToro without the fear of losing real-money.

(B) Social trading

eToro is not your ordinary digital trading platform, it’s a social trading network. Where you can chat, connect, and discuss the markets with millions of users worldwide.

Essentially, it’s this strong community of investors and traders that pushes eToro above the competition.

(C) Copy top traders with CopyTrader

With this innovative feature called CopyTrader, you don’t have to trade alone.

What’s great, you can choose an expert trader to follow, then replicate their trading activity automatically and in real time.

No manuals to read, no rules to follow.

When they trade, you trade. You get the same trades, at the same price.

You learn by leveraging other traders’ expertise.

Browse through each trader’s track record, portfolio, background, risk score, fail/success ratio, and compare their performance so you can make an informed assessment.

Choose the user that you’d like to copy, input the amount you’d like to allocate, and click COPY.

Say a trader you follow buys 100 shares of a certain stock. As a result, you’d also buy 100 shares of that stock.

You can start or stop copying a user at any time.

By mimicking top crypto traders, you can get exposure to the market without having to do much research or analyze trends all by yourself.

If you would like to start investing in the crypto market but do not have a lot of experience, or you are a seasoned pro who would like to gain insight into the analysis of others, using CopyTrading could be an excellent place for you to begin.

(D) Popular Investor Program

On the other hand, you can also become one of the “Popular Investors” and share your wisdom with other users.

When you get copied, you’ll earn 2% of the total amount other traders have allocated to copy you. And you get paid every month.

If you have a low-risk score and deliver consistent returns or any unique investment strategies, sharing your wisdom with other users is a great way to generate second income without any extra work.

For example, if 1,000 people copy you with a total of $10 million, you’ll earn an additional $200,000 a year (on top of your own trading profit)!

(E) CopyPortfolios

If you’re just starting out and can’t find the best eToro traders that you’d like to copy, this unique feature CopyPortfolios might be helpful for you.

Instead of copying other traders, you can copy portfolios of top traders.

So, what are CopyPortfolios?

CopyPortfolios are ready-made, investment vehicles that bundled together according to different market strategies.

When you allocate funds to CopyPortfolios, you’ll automatically purchase multiple digital assets in accordance with a predetermined investment strategy.

And your capital is professionally managed by eToro’s investment committee. Each CopyPortfolio’s performance is analysed in depth and rebalanced automatically to maximise its gain potential.

(F) eToro’s Cryptocurrency Wallet

All eToro verified users can download and use the cryptocurrency wallet for free. The mobile wallet is available on iOS and Android.

With the eToro wallet, you can:

• exchange crypto to crypto directly on the wallet, without the need of transferring the coins anywhere.
• Store, receive, send and manage your cryptocurrency.
• Transfer crypto from your eToro trading account to your eToro wallet.
• Buy cryptocurrencies using your credit card within the app.

As of writing now, eToro wallet supports Bitcoin, Bitcoin Cash, Ethereum, XRP, Litecoin, and XLM. (More coins will be added in the future)

With that said, you shouldn’t use eToro wallet to store all your cryptocurrency. Because you don’t actually own the private key — eToro does.

Remember, “Not your keys, not your coin”.

You’re basically trusting eToro to store your coins for you and it’s sort of like the bank’s IOU.

With that said, if you’re serious about cryptocurrency, just like myself, use a cold wallet like Trezor for long-term investment. Read my article here to learn how to keep your crypto funds safely.

(G) eToroX

The eToroX platform was launched on April 2019, introducing the practice of Crypto trading to the world. It’s regulated by the Gibraltar Financial Services Commission (GFSC), caters for:

• Hedge funds
• Venture capital funds
• Brokers
• High net worth individuals
• Family offices
• Algo-trading individuals
• Day traders

Most investment options on eToro allows you to speculate on the direction of the underlying asset’s prices without actually owning it.

But eToroX differs in the sense that it lets you get access top cryptocurrencies and actually hold the coins in your own wallet.

How to Buy Bitcoin with eToro?

Buying Bitcoin via eToro is simple and straightforward. No, you don’t have to buy a whole Bitcoin as your first investment. You can buy any fraction of a Bitcoin on eToro. To help you get started, follow these simple steps:

1. Sign up for eToro and verify your account. You need to submit personal documents such as proof of identity and proof of address to verify your identity.
2. Make a first deposit to enjoy the full eToro trading experience, click DEPOSIT FUNDS. Send funds to your eToro account using payment method of your choice.
3. Select BITCOIN and enter the amount you want to buy.
4. Place an order and Bitcoin will be added to your eToro portfolio.

Supported Currencies

eToro’s cryptocurrency offering includes:

• Bitcoin (BTC)
• Ethereum (ETH)
• Ethereum Classic (ETC)
• Dash (DASH)
• Litecoin (LTC)
• Bitcoin Cash (BCH)
• Stellar (XLM)
• NEO (NEO)
• EOS (EOS)
• Cardano (ADA)
• IOTA
• TRON
• Zcash (ZEC)
• Tezos
• Binance Coin (BNB)

How Do You Deposit Money on eToro?

You can send funds to the platform using various deposit methods, including:

• bank transfer
• wire transfer
• credit card/ debit card
• PayPal
• Skrill
• Neteller

What is eToro minimum trade size?

• Currencies: $4,000

• Stocks and ETFs: $500

• Commission-free stocks: $50

• Cryptocurrencies: $25

• Commodities and indices: $2,000

• CryptoPortfolio: $5,000

• CopyTrader: $200

eToro Fees

As we all know, fee is the way cryptocurrency exchanges make money. And eToro is no exception.

Creating an account, depositing and withdrawing money on eToro is free. You won’t be charged when you open a position but you’ll have to pay fee based on the spread when existing a position.

Note: Withdrawal fee: $0 (U.S.customers) but there’s a minimum amount of withdrawal is $30. Outside the U.S., the withdrawal fee is $5

Fees charged are based on spreads, the difference between the bid and the offer price.

Let’s say you buy 1 bitcoin for $10,000. You pay fee of $75 (0.75% of $10,000 = $75).

Then, you sell it for $12,000 at a later date, you’ll only need to pay an extra $15 to that sale. But 0.75% of $12,00=$90. Instead of paying 0.75% , you only need to pay the remaining $15 when you sell ($75 + $15 = $90).

In other words, instead of charging you full fee of 0.75% when you buy and sell coins, eToro will do the adjustment and you only need to pay a small percentage of the difference of your buy and sale price. Which is great, it means you pay less fees when you trade on eToro.

Supported Countries

eToro is available for anyone in almost anywhere in the world. Currently, eToro supports over 140+ countries worldwide, including:

Andorra, Angola, Argentina, Armenia, Australia, Austria, Azerbaijan, Bahrain, Barbados, Belgium, Bermuda, Bhutan, Bolivia, Brazil, Bulgaria, Cameroon, Cayman Islands, Chile, Colombia, Côte d’Ivoire, Croatia, Cyprus, Czechia, Denmark, Dominica, Dominican Republic, Ecuador, Egypt, Estonia, Finland, France, Georgia, Germany, Gibraltar, Greece, Greenland, Grenada, Guadeloupe, Guatemala, Guernsey, Hong Kong, Hungary, India, Ireland, Isle of Man, Italy, Jamaica, Jersey, Jordan, Kazakhstan, Kenya, Latvia, Lebanon, Liechtenstein, Lithuania, Luxembourg, Macau, Malaysia, Maldives, Malta, Martinique, Mauritius, Mayotte, Mexico, Moldova, Monaco, Mongolia, Montenegro, Morocco, Netherlands, New Caledonia, Norway, Oman, Peru, Philippines, Poland, Portugal, Qatar, Reunion Island, Romania, Russia, Saint Lucia, Saint Vincent, Saudi Arabia, Senegal, Singapore, Slovakia, Slovenia, South Africa, South Korea, Spain, Sweden, Switzerland, Taiwan, Tanzania, Thailand, Tunisia, Ukraine, United Kingdom, United States, Uruguay, Venezuela, Vietnam, Virgin Islands.

Is eToro a Scam?

Any form of trading involves risk.

This is especially true for cryptocurrency trading. Crypto’s value has been historically quite volatile, double-digit percentage drops in a single trading session can result in a loss. For those who lose money trading online will be quick to blame the company, calling it a “scam. But as a responsible trader, you should be well informed of the risk, take safety measures and diversify your portfolio to lower the risks.

In this case, eToro does a great job allowing people to withdraw funds at any time as well as provides various tools for reducing risk.

Is eToro Safe and Secure?

When it comes to security, here are a few important things that you need to know:

• eToro is fully regulated
• The platform operates in accordance with FINCEN in the US, as well the FCA, CySEC, and ASIC in other countries.
• All deposited funds are kept secured in tier 1 banks.
• All the personal information is guarded under SSL encryption.

eToro Pros

• Fast and seamless account opening
• Low fees
• Excellent reputation
• Intuitive, easy-to-use platform
• Ability to use wisdom of the crowd via social trading
• A wide range of features for novices and experts
• 24/7 support
• Over 2000+ assets
• Unlimited daily withdrawals
• Zero commission stock trading
• Access to 16 top cryptocurrencies
• Great community for cryptocurrency traders

eToro Cons

• There’s a minimum of $25 to buy any crypto
• The minimum required for Copytrading and CopyPortfolios are quite high
• Complex fee structure
• Need to complete KYC before you can use eToro’s services

Conclusion

eToro is a reliable platform for traders of all levels. As a leading fintech pioneer, eToro never stop drawing the attention of many investors, young and old, novice and seasoned.

That said, eToro is the perfect crypto trading solution, giving you access to three products (trading, exchange and wallet) all in one web-based and mobile platform.

That’s all for now. As the eToro expands its features and services, I’ll be updating this post regularly with the latest info, so keep coming back to discover more.

I hope this eToro review helps you to decide whethe eToro is right for you.

Are you ready to play the trading game?

• Sign up a free eToro account (U.S Citizen)
• Sign up a free eToro account (Non U.S Citizen)

Last but not least, if this post was of any help to you, please share it on Facebook, Twitter and Pinterest!

If you think any of your friends would find this helpful, share this post with them.

I’ve handpicked a few guides for you to read next:

• Crypto 101: The Ultimate List of Cryptocurrency Resource
• 10+ Easy Ways to Make Money with Bitcoin and Cryptocurrency
• 7 Best Bitcoin Lending Sites to Earn Bitcoin Interest
• How to Invest in Bitcoin: The Ultimate Guide for Beginners 2020
• How to Sell Bitcoin – The Ultimate Beginner’s Guide 2020
• Trading vs HODLing for Bitcoin Investors

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P.S:This Bitcoin resourceis One of – if not the most – comprehensive resources for learning about Bitcoin with over 20 categories ranging from history to buying BTC, setting up a wallet, technical information, mining, security, and trading. Enjoy