eToro to Acquire Self-Custodial Crypto Wallet Zengo in $70 Million Deal

eToro Group Ltd has agreed to acquire self-custodial crypto wallet startup Zengo for roughly $70 million in a mostly cash transaction announced April 16, bringing keyless wallet technology directly into its multi-asset trading ecosystem. 

The deal merges eToro’s platform and distribution scale with Zengo’s technology, which removes the burden of managing private keys by keeping wallets both secure and easy to use. 

The acquisition fits the M&A roadmap eToro outlined last July, targeting deals that could add asset classes and extend its reach beyond existing markets in the US, UK, Israel, Cyprus, and Australia. Similar to how Mastercard acquires BVNK moved to acquire stablecoin infrastructure through its BVNK deal.

How Zengo’s MPC Wallet Tech Is Rewriting the Rules of Self-Custody

eToro CEO Yoni Assia explained that Zengo’s Multi-Party Computation (MPC) wallet aligns with its evolution toward an increasingly digital, decentralized, and user-controlled system, with self-custody playing an important role in that evolution. 

“Zengo has built an innovative and secure wallet experience, and this acquisition will enable us to accelerate its growth while continuing to provide users with choice in how they access digital assets,” he said.

Zengo Co-founder and CEO, Ouriel Ohayon, aligned on the same mission, he said, “From day one, Zengo has focused on making self-custody simple and secure for everyday users. Joining eToro allows us to accelerate that mission at a global scale.” 

Zengo’s keyless design eliminates the single point of failure that has long plagued crypto private-key management, using two independently generated mathematical shares to authenticate users instead of a recoverable key. 

The approach keeps the security architecture robust while lowering the barrier for everyday users to manage their own digital assets.

Read: Crypto Market Report Q1 2026: BTC, ETH, Stablecoins, RWAs, AI and Institutional Trends

eToro’s $3B Valuation and Crypto Revenue Surge Power the Deal

eToro entered this acquisition on firm financial footing, closing last year with roughly $1.3 billion in cash after generating over $13.8 billion in revenue, per the latest earnings release.

Net income climbed 12% year over year to $216 million, more than 10 times its 2023 figure, with crypto trading accounting for 38% of total commissions.

The company raised nearly $620 million in its May 2025 IPO, as highlighted in eToro IPO crypto trading surge, and now carries a valuation of approximately $3 billion.

Digital assets have become the primary growth engine across retail investment platforms. Across the Atlantic, US rival Robinhood posted $1.883 billion in Q4 2025 revenue, a 33.45% annual increase, as crypto revenue alone surged 700% to $605 million.

Read More: 11 Best Crypto Copy Trading Platforms in April 2026

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