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eToro to Acquire Zengo to Add Self‑Custody Wallet Technology

The move signals a push by retail trading platforms to own wallet infrastructure for on‑chain products.

Overview

  • eToro, which announced the agreement on Wednesday, said it will buy self‑custody wallet maker Zengo, with multiple outlets reporting a price of about $70 million even as eToro declined to disclose terms.
  • Zengo’s wallet will remain separate from eToro’s regulated services, and users will connect directly to third‑party apps for swaps, staking, and other Web3 actions while the deal awaits customary closing conditions.
  • Founded in 2018, Zengo uses multi‑party computation to remove seed phrases, a design meant to cut the risk of lost or stolen keys, and the company reports more than 2 million users in over 180 countries with no wallet hacks since launch.
  • eToro says the purchase will help it support tokenized assets and decentralized trading models such as prediction markets and perpetual futures as those markets develop.
  • The tie‑up fits a broader industry trend of brokers folding wallet and custody tech into their stacks to offer more on‑chain services while keeping non‑custodial activity operationally distinct from regulated exchange products.