Which bank backs eToro?

Written by Mike Druttman

Reviewed by Wikitoro Team

eToro is not directly backed by a specific bank. It is a global investment platform that operates as a financial technology company, not a traditional bank. However, user funds are protected through various regulatory measures depending on the entity with which they are registered.

For example:

• In Europe, eToro (Europe) Ltd is authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC). Client funds are held in segregated bank accounts at top-tier financial institutions, such as Barclays or Santander, but these entities do not act as sponsors or guarantors of eToro.
• In the United Kingdom, eToro (UK) Ltd is regulated by the Financial Conduct Authority (FCA). It also uses reputable banks to hold funds, always in accounts separate from the company's operating capital.
• In Australia, eToro AUS Capital Limited is regulated by the Australian Securities and Investments Commission (ASIC), under similar custody and fund protection standards.

In all cases, eToro uses reputable banks to store client funds, but this does not mean that these banks endorse eToro as an institution. The security of the funds comes from financial regulation and implemented protection systems, such as participation in compensation schemes for certain markets.

Although eToro collaborates with recognized banks to safeguard funds, it is not directly backed by any particular bank. Trust is based on regulation and the platform's operational transparency.