eToro is an established entity in the finance space. The social investment platform wants to expand its presence in the United States and aims to acquire Gatsby. The options trading app will be bought for roughly $50 million, confirming eToro’s commitment to this market.
Gatsby Gets Gobbled Up By eToro
It is exciting to see how eToro plans to expand its presence across the United States. Whereas other companies scramble to pull out of Europe and other markets, the US remains of great interest and value. eToro is expanding its presence there by acquiring options trading app Gatsby for $50 million. Although the deal is not new, it has taken a while for all the paperwork and red tape to be sorted out.
eToro initially filed for the acquisition in December of 2021, but it has taken Finra some time to cross all Is and dot the Ts. Adding the commission-free option and stock trading app focused on young users to its portfolio is a crucial development for eToro. Moreover, the Gatsby cofounders will join eToro as senior staffers, although their exact positions have yet to be figured out.
eToro CEO Yoni Assia adds:
“Scaling our US business is a strategic focus for eToro and through Gatsby we can provide US users with access to a safe and simple way to trade options, which we know are particularly attractive in challenging markets.”
The current eToro offering primarily focuses on stocks and cryptocurrencies in the US. Adding options to the mix further diversifies the company’s potential user base and gives it more options to explore revenue streams. Moreover, it is some good news for the popular company after its Spac deal with Fintech Acquisition Corp V. fell through last month.