eToro Acquires Self-Custody Wallet Zengo for $70 Million
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Trading platform eToro has agreed to acquire self-custodial crypto wallet provider Zengo for $70 million, paid primarily in cash, according to Bloomberg. The deal combines eToro’s 40 million registered users with Zengo’s keyless, multi-party computation wallet infrastructure – giving the publicly listed broker direct ownership of a custody layer it previously lacked.

The structural implication extends beyond the disclosed price. Retail brokerages and fintech platforms are increasingly acquiring custody and wallet infrastructure rather than licensing or partnering with it, a pattern that reflects both competitive pressure and the difficulty of building MPC-grade cryptographic systems from scratch.

eToro’s move follows comparable expansions by traditional finance entrants, as illustrated by Charles Schwab rolling out direct Bitcoin and Ethereum trading to its 38.9 million active brokerage accounts – a signal that the regulated-to-DeFi bridge is now a primary competitive battleground.

We got news! Zengo is joining forces with @ eToro, the global leader in stock and crypto trading.

Since our beginning in 2018, our mission at Zengo has been to raise the bar and set new standards for crypto custody and the on-chain economy.

Together with eToro, we will pursue… pic.twitter.com/zxbjIgnuQm

— Zengo Wallet (@ZenGo) April 15, 2026

We suspect this acquisition is less about Zengo’s 2 million users and more about what those users represent: proof that a keyless, seedphrase-free wallet can achieve consumer scale. eToro is buying the architecture and the evidence simultaneously.

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Zengo Wallet Technology: What eToro Is Actually Acquiring

Zengo, founded in 2018 by CEO Ouriel Ohayon, Tal Be’ery, and Omer Shlomovits, built its wallet around multi-party computation cryptography – a design that eliminates the traditional seed phrase by splitting private key control across multiple computation parties.

The result is a “keyless” wallet where no single point of failure can expose user funds, a meaningful security distinction in an environment where fraudulent wallet applications continue to drain user holdings.

A trading platform acquiring a crypto wallet company.

Move from access → control.

As @yoniassia has been suggesting, that shift matters. https://t.co/wnwfK7Ckaq

— Praveen Vemulapalli (@PraveenVem) April 15, 2026

The company serves over 2 million individuals and businesses across more than 180 countries and previously acquired stablecoin-focused wallet Minke to extend its on-chain product surface. Zengo raised a total of $24 million according to Crunchbase data, including a $20 million Series A in 2021, with Insight Partners and Tether among its investors – making eToro’s $70 million acquisition price a significant multiple on disclosed funding, reported to be in the range of eight to ten times annual recurring revenue.

Post-acquisition, Zengo is expected to operate as a standalone product while its full technology stack and development team integrate into eToro’s platform. eToro has indicated plans for near-term integration that would unlock access to decentralized products – prediction markets, perpetuals, and yield instruments – for its existing user base through Zengo’s infrastructure.

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