eToro Bolsters Crypto Expansion Plans with $70M Zengo Acquisition

eToro has made a significant move in the cryptocurrency market by acquiring Zengo, a crypto wallet provider, for approximately $70 million. This acquisition is seen as a strategic step towards expanding eToro's offerings into decentralized finance (DeFi), prediction markets, and tokenized assets within the Web3 ecosystem.

The deal marks a shift towards non-custodial solutions, allowing users to maintain direct control over their digital assets. eToro aims to integrate Zengo's technology to bridge the gap between regulated trading environments and the broader Web3 ecosystem.

By acquiring Zengo, eToro gains access to a mature wallet infrastructure that can accelerate its entry into DeFi segments. The move aligns with industry trends, where regulated platforms leverage non-custodial solutions to tap into decentralized services without directly taking on regulatory burdens.