What Are the Fees Associated with Buying Bitcoin on eToro?

Written by Mike Druttman

Reviewed by Nadav Zelver

When purchasing Bitcoin on eToro, a fee of 1% is applied, which is included in the price displayed on the platform when you open or close a position. This fee is for gaining ownership of the Bitcoin asset. Therefore, the total cost of your transaction will reflect this 1% fee.

Intro

To understand the fees associated with buying BTC on this platform, I embarked on a practical journey. I purchased Bitcoin through my verified trading account, keenly observing the charges incurred. To ensure the accuracy of my findings, I cross-referenced my experience with information from their support team and official website.

The Straightforward 1% Fee

When you purchase BTC on the website or app, a 1% fee is charged for both opening and closing your trade. Here's how it works:

1. Opening a Position: When you start a new BTC trade, eToro adds a 1% fee to the market price of Bitcoin. For example, if the asset's market price is $10,000, with the 1% fee, you'll see a price of $10,100 on the trading window.
2. Initial "Loss" Display: Right after you open your trade, your account might show a small loss. This isn't an actual loss but reflects the 1% fee you paid to buy this crypto. So, if you invested $100, it might show as $99 – this is because of the 1% buying fee.
3. Closing a Position: When you decide to sell your Bitcoin, another 1% fee is applied. This fee is based on the Bitcoin's market price at the time you close the trade. So, if Bitcoin's price has changed since you bought it, the selling fee will be 1% of this new price.

In simple terms, think of this 1% fee as the cost for buying and later selling Bitcoin on eToro. It's automatically included in the prices you see when you trade.

Testing the Fee Application

My transactions revealed a clear and straightforward fee structure. When buying BTC on eToro, a 1% fee is applied. This fee is seamlessly integrated into the price shown on the platform when you initiate or close a position. It's a charge for acquiring ownership of the eToro Bitcoin asset.

This 1% fees applied were the only charges I encountered in my transaction. These were transparently reflected in the total cost of the purchase. This aligns with their fee structure, so I was fully aware of the costs associated with my trading activities.

In conclusion, my personal experience and subsequent verification confirm that buying Bitcoin on eToro incurs a straightforward and transparent fee of 1%. This fee is included in the transaction price, making it easy for traders to understand the total cost of their investment in Bitcoin on the platform.