eToro Eyes Own Blockchain Amid Tokenized Stocks Push, CEO Yoni Assia Says Talks Underway With Multiple Ecosystems

eToro is evaluating partnerships to launch its own blockchain network, CEO Yoni Assia said, citing the need for a dedicated blockchain to handle millions of transactions. The company is in talks with multiple ecosystems and plans to launch tokenized stocks on Ethereum, allowing 24/7 trading of blockchain-wrapped shares from 100 popular US companies and ETFs.

eToro, the recently public online brokerage, is considering the development of its own blockchain network to better handle its growing volume of transactions. CEO Yoni Assia revealed that the company is in talks with multiple blockchain ecosystems to create a sidechain, as existing blockchains struggle to manage millions of monthly transactions [1].

eToro's blockchain ambitions are part of a broader strategy to enhance its technological infrastructure and support the launch of tokenized stocks on Ethereum. The company aims to enable 24/7 trading of blockchain-wrapped shares from 100 popular U.S. companies and ETFs, initially accessible to European users through a waitlist system [2].

Assia highlighted the necessity of a dedicated blockchain to support the company's transaction volume, stating, "We can't run today the millions of transactions that we’re transacting on a monthly basis on existing blockchains. We’ll need, by definition, to have a dedicated blockchain if we want to run the entire eToro ecosystem" [1].

The move towards tokenized stocks is seen as a way to reduce trading costs and enable round-the-clock market operations. eToro's plans mirror similar moves by its competitor Robinhood, which launched tokenized stock trading in the European Union in June and announced plans for its own blockchain using Arbitrum's layer-2 technology [3].

While tokenized stocks offer potential benefits, they also face regulatory scrutiny. Critics argue that tokenization could be used to circumvent public disclosure requirements for publicly traded companies [1]. eToro is currently focusing on tokenizing public companies but has indicated that expanding into private company tokenization is "definitely on the radar" for the near future [1].

The market's initial response to eToro's announcements was mixed, with the company's shares down almost 4% on the day of the news [1]. However, some analysts remain optimistic about eToro's strategic position, viewing the platform's ability to bridge crypto and traditional finance as a growth opportunity [3].

References:
[1] https://fortune.com/crypto/2025/07/29/etoro-yoni-assia-blockchain-l2-tokenized-stocks-ethereum/
[2] https://www.bloomberg.com/news/articles/2025-07-29/etoro-to-tokenize-us-stocks-on-ethereum-network-for-24-7-trading
[3] https://theoutpost.ai/news-story/e-toro-explores-launching-own-blockchain-amid-push-for-tokenized-stocks-18414/