Key Highlights
- eToro has agreed to acquire Zengo, a pioneer in self-hosted wallets, in a deal reportedly valued at $70 million (mostly cash).
- The move allows eToro to offer “keyless” security, eliminating the traditional seed phrase vulnerability for its global user base.
- Beyond simple storage, the integration supports eToro’s push into tokenized assets, prediction markets, and perpetual contracts.
Social investment and multi-asset brokerage platform eToro has agreed to acquire cryptocurrency wallet provider Zengo. The deal, announced on April 15, 2026, aims to expand eToro’s crypto infrastructure, particularly in self-custody services.
eToro shared the update in a public statement, saying it is responding to growing demand for user-controlled crypto solutions. Zengo also confirmed the acquisition on X, saying it will continue focusing on secure wallet services under eToro’s ownership. “In our new home at eToro, Zengo will continue to build and operate the secure, innovative crypto wallet that millions of users have loved and used to date,” the company stated.
Neither company has disclosed the deal’s financial terms or timeline as of publishing. Details on how the integration will work also remain unclear at this stage. However, as per a Bloomberg report, an anonymous source revealed that the deal is allegedly worth $70 million and mostly in cash.
Self-custody strategy drives expansion
eToro plans to integrate its global trading platform with Zengo’s wallet technology, aiming to give users more control over their digital assets. The move also supports new products such as tokenized assets and blockchain-based trading tools, including prediction markets and perpetual contracts.
Co-Founder and CEO Yoni Assia said, “We believe the future of finance will be increasingly digital, decentralized and user-controlled.” He added that self-custody is central to this shift. As a result, eToro is focusing on infrastructure that connects traditional financial markets with blockchain systems.
Zengo provides multi-party computation (MPC) technology to the deal, which eliminates the use of the conventional private key and makes the wallet safer. The wallet is capable of handling features such as token swapping, staking, and integration with decentralized apps.
Industry shift toward crypto infrastructure control
This move highlights the growing trend within the industry, where businesses not only offer crypto trading but also own the technology that allows it. Such a strategy can result in the generation of additional streams of income.
For instance, in 2025, Robinhood bought Bitstamp to enhance its crypto licenses and institutional offerings. Likewise, Crypto.com collaborated with Exodus to provide custody services. Ripple also acquired Hidden Road to expand into brokerage services and has also signaled plans to enter the wallet space. As a result, competition is increasingly centered on building full crypto ecosystems rather than single services.
Meanwhile, eToro said the deal will not change anything for users in the short term. The company plans to roll out integrations gradually over time.
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