The IPO will be underwritten by financial heavyweights Goldman Sachs, UBS, Jefferies, and Citigroup. eToro plans to list its shares on the Nasdaq under the ticker symbol ETOR. Notably, BlackRock-managed funds have signaled interest in purchasing up to $100 million worth of the offering, while 500,000 shares are reserved for a directed share program
Regulatory and Sanctions Pressures Complicate eToro’s Path
Despite strong financials — with a reported net income of $192 million in 2024 — eToro faces mounting regulatory risks. In its prospectus, the company flagged digital assets as a core area of concern, pointing to complex and inconsistent U.S. crypto regulations. eToro has already paid a $1.5 million penalty to the SEC and agreed to limit its U.S. crypto offerings to Bitcoin, Bitcoin Cash, and Ethereum.
Also Read: eToro Plans US IPO with Goldman Sachs Amid Crypto Surge and Regulatory Challenges
Adding to the complications, international sanctions are weighing on shareholder mobility. The SBT Venture Fund I, tied to Russia’s Sberbank and holding over 6% of eToro’s shares, is barred from transferring or voting its stock due to global sanctions.
IPO Revival Mirrors Broader Market Sentiment
eToro’s IPO comeback mirrors a broader trend of tech and fintech firms reactivating paused public offerings as market sentiment improves. StubHub, Klarna, and adtech company MNTN are also reportedly preparing for future listings after delays caused by geopolitical tensions and valuation concerns. With its IPO, eToro may serve as a bellwether for fintech listings in 2025.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
