eToro Invests in Extended, Targets Onchain Perpetual Futures for Zengo
Retail broker eToro has taken a strategic stake in Extended, an onchain perpetual futures exchange, as part of a broader push into decentralized finance products. The firm plans to integrate perpetual trading into its Zengo self-custody wallet and expand DeFi offerings across its main platform.
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Strategic Investment and Partnership Plans
eToro has become a strategic investor in Extended, an onchain perpetual futures exchange, according to statements from both firms. Neither party disclosed the investment size or valuation. The move marks the start of a formal partnership with Zengo, the self-custody wallet eToro acquired earlier in 2024, and signals the broker's intention to embed onchain derivatives capabilities directly into user-facing products.
eToro plans to integrate perpetual futures trading into Zengo and expand DeFi offerings more broadly across its core retail platform. The firm did not announce a specific timeline for these launches.
Competitive Context
The investment reflects a widening trend among legacy brokers and fintech platforms racing to offer onchain trading products. Robinhood has already begun expanding its onchain offerings, though the scope remains limited. eToro's move suggests major consumer-facing finance platforms see onchain derivatives and self-custody wallets as necessary additions to their product suites to compete for retail trader attention.
By coupling the Extended investment with Zengo, eToro is betting that retail users will adopt self-custody if the friction of accessing onchain derivatives is reduced—that is, if perpetual futures are accessible directly from a familiar wallet interface rather than requiring external exchange accounts.
Why It Matters
For Traders
Perpetual futures access from Zengo will lower friction for retail traders on eToro's platform, though the feature is not yet live; watch for launch timing.
For Investors
The partnership signals that major brokers now see onchain perpetual futures as table-stakes, not optional; adoption pressure on competitors will likely accelerate.
For Builders
Integration with a broker's 30+ million user base could significantly expand Extended's liquidity and trading volume if the Zengo rollout reaches scale.
This article is for information only and is not financial advice. Read the full disclaimer.
