eToro Expands On-Chain Capabilities via Zengo Acquisition

eToro has reached an agreement to acquire Zengo, a specialist in self-custodial crypto wallets, as part of a strategic push to integrate deeper on-chain functionality into its ecosystem. The move signals eToro's transition from a regulated brokerage model toward providing infrastructure for crypto-native users. By integrating Zengo's technology, the platform aims to expand its offerings into tokenized assets, perpetuals, prediction markets, and yield-generating products. While official terms were not disclosed by the company, reports indicate the transaction is valued at approximately $70 million, primarily in cash. The acquisition comes as crypto assets have become a dominant revenue driver for the platform. eToro reported total revenue and income of $13.8 billion in 2025, with $12.98 billion of that figure derived specifically from digital asset activities. Speaking at Paris Blockchain Week, CEO Yoni Assia predicted that Bitcoin will enter an accumulation phase following one more quarter of market weakness, eventually climbing past $250,000. Such a valuation would imply a $5 trillion market capitalization, positioning Bitcoin as the world's second-largest asset behind gold. Despite Assia's optimism, other industry players remain divided. Galaxy Digital has urged investor caution, citing US midterm elections and shifting monetary policy as factors that make the near-term trajectory too volatile to predict with certainty.