eToro receives Bitlicense from New York market regulator
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eToro, a social trading platform based in Israel, has obtained a virtual currency license known as BitLicense. The license has been granted by the New York State Department of Financial Services (NYDFS), and it will allow the brokerage platform to offer a variety of crypto trading services.
eToro receives a virtual currency license in New York
The social trading platform confirmed obtaining this license from the New York regulator. It said it obtained this license through eToro NY LLC, its subsidiary company based in the United States.
eToro issued a statement on its website that the license would allow the social platform to offer access to financial assets such as cryptocurrencies, stocks, and options. The firm also said it planned to grow its digital asset portfolio by integrating social investing tools available to New York residents after its local platform becomes functional.
The co-founder and Chief Executive Officer of eToro, Yoni Assia, said, “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.”
This is the latest positive development that has been made by eToro. The social trading platform recently opened up all investment assets to users in Brazil with the exemption of forex and contracts for difference (CFD). eToro said it did not offer forex and CFD services to Brazil users because of regulatory requirements.
Towards the end of January, eToro launched Investor AI-US, a tool creating a portfolio powered by artificial intelligence to target high-growth companies operating within the United States. The company launched this portfolio through a partnership with Bridgeweave, a startup company based in the UK. According to eToro, the new portfolio was not currently available to users in the US.
eToro plans to expand to the US
eToro has been looking to expand its operations in the US. The platform recently released the Retail Investor Beat report showing that 45% of retail investors in the US invested or planned to invest in crypto assets.
The report included a survey of 10,000 retail investors from 13 countries. It found that 69% of retail investors were confident about their investment decisions despite the bear market that rocked the crypto industry for most of 2022.
The report also detected that young retail investors were more tolerant of risks. According to the CEO of eToro US, Lule Demmissie, the current time was the best one to start investing, with eToro being excited to bring a unique proposition to the residents of the state.
Demmissie also said that the eToro believed that the growth of retail traders and investments would continue. He also noted that while engagement levels had dropped from the 2021 highs, participation levels in trading were increasing. This showed that trading activities would continue to increase significantly.
