[2014-01-13] eToro Launches Bitcoin Trading For 3 Million Users

[AnhBen]

eToro Launches Bitcoin Trading For 3 Million Users
http://kculshare.com/2014/01/etoro-launches-bitcoin-trading-for-3-million-users/

[Bitcopia]

eToro Launches Bitcoin Trading For 3 Million Users
http://kculshare.com/2014/01/etoro-launches-bitcoin-trading-for-3-million-users/

I remember rumors of e-Toro launching bitcoin trading almost a year ago. I guess they finally decided to pull the trigger! Excellent news as it will only open up the idea of and accessibility to bitcoin to more people. Now if we could get e-Toro to convince those people to run a node...

[Bit_Happy]

"eToro is a UK based and regulated social investment company that allows its users to follow the financial trading activity of other users..."

This looks like big news.

[willphase]

This appears to be 'old news' since they announced a trial a while back, but there is a new eToro blog post, so presumably they are moving it from just a trial to being real:

http://www.etoro.com/blog/product-updates/13012014/bitcoin-arrived/

it would be interesting to know what margin they are running the CFD at - i.e. how many bitcoins they actually buy for each 1 BTC 'bought' by an investor.  They could easily run this at 0% meaning they have no impact on the market, but this would leave them open to losses if the price of BTC dropped a lot.

Will

[TooCasual]

Even though E-Toros' regurgitated new old news, it is good.  Although, I'm not sure many big trades are going to happen anywhere until those crazy Chinese are IN or OUT...  Haha.  Small movement from them cause mini panic buys n sells...

I hope they finally figure it out...  and trade legally in the BTC game.  International buy/sell is sure slick with BTC from HK/China to North America.. etc.  Since they are the manufacturing powerhouse.

TC.

[Holliday]

This isn't actual Bitcoin trading, its Bitcoin paper trading, right?

[Bitcopia]

This isn't actual Bitcoin trading, its Bitcoin paper trading, right?

Nope, users can actually buy bitcoin "stock."

http://www.etoro.com/blog/product-updates/13012014/bitcoin-arrived/

[Bitcopia]

This isn't actual Bitcoin trading, its Bitcoin paper trading, right?

Nope, users can actually buy bitcoin "stock."

http://www.etoro.com/blog/product-updates/13012014/bitcoin-arrived/

Nevermind, apparently what they consider "BTC stock" is actually a CFD. I'm not as stoked anymore...

[FeedbackLoop]

This isn't actual Bitcoin trading, its Bitcoin paper trading, right?

Nope, users can actually buy bitcoin "stock."

http://www.etoro.com/blog/product-updates/13012014/bitcoin-arrived/

Nevermind, apparently what they consider "BTC stock" is actually a CFD. I'm not as stoked anymore...

Won't they hedge their exposure to the CFD positions of the clients by trading Bitcoin themselves? Really don't know.

[yoniassia]

Hi Bitcoiners,

I am Yoni Assia, the ceo and founder of eToro, and I am very happy we recently laucnhed bitcoin on our social investment network.

We have been following bitcoin since 2010, and are one of the few regulated financial institutions that offer investments into bitcoin.

eToro is the largest social investment network with 3.2M users, and is a regulated  financial institution (UK FCA, CYSEC and across Europe Australia ASIC), as a regulated company we have KYC policies as well as customer funds safe keeping policies.

The main advatage of investing in bitcoin through etoro, is that opening an account in eToro takes few seconds and you can  deposit with a credit card, PayPal etc’ and follow Bitcoin investors from all around the world. We currently offer investing without leverage so the risk is similair to holding bitcoin at any bitcoin exchange.

When you invest in Bitcoin at eToro, eToro buys the actual Bitcoins and holds them, we work with existing bitcoin exchanges and have our own cold storage facility. This is not different than an account balance at a bitcoin exchnage (it is different than a bitcoin wallet).
 
At this stage, you cannot withdraw your funds as Bitcoins, so if you want to actually spend and use the Bitcoins, you should buy them at traditional exchanges.
 
Find out more on trading Bitcoin at eToro here: https://openbook.etoro.com/markets/btc/ and in our blog http://www.etoro.com/blog/product-updates/13012014/bitcoin-arrived/
 
Anyway, we would be happy to answer any of your questions using any of the following channels:
 
1) Customer Service wall (https://openbook.etoro.com/customerservice/overview/)
2) On-line FAQ and chat with us ()
3) If you have an account and any issues open a ticket and write to us ([url]http://www.etoro.com/support/r]http://www.etoro.com/en/help/[/ul])
3) If you have an account and any issues open a ticket and write to us ([url]http://www.etoro.com/support/r)
4) I have also asked our customer service to setup an official user on bitcointalk to help users here if needed

Regarding the comments on CFD's, CFDs are regulated financial instrument, any type of trading bears risk and offcourse counterparty risk (expect owning bitcoin directly in a wallet - AKA the genious of bitcoin).
 
Thanks,
Yoni Assia
https://openbook.etoro.com/YoniAssia/
@yoniassia

[willphase]

When you invest in Bitcoin at eToro, eToro buys the actual Bitcoins and holds them, we work with existing bitcoin exchanges and have our own cold storage facility. This is not different than an account balance at a bitcoin exchnage (it is different than a bitcoin wallet).

This is very interesting.  Big news.  Assumed that since it was a CFD, you could have put all the risk on the investor by making them provide their own margin for losses, but if you're actually buying the BTC then that's really quite good.

Congrats on the launch!

Will

[Bitcopia]

When you invest in Bitcoin at eToro, eToro buys the actual Bitcoins and holds them, we work with existing bitcoin exchanges and have our own cold storage facility. This is not different than an account balance at a bitcoin exchnage (it is different than a bitcoin wallet).

This is very interesting.  Big news.  Assumed that since it was a CFD, you could have put all the risk on the investor by making them provide their own margin for losses, but if you're actually buying the BTC then that's really quite good.

Congrats on the launch!

Will

Yes. Glad to hear this. Although, it would be really great to look into letting people withdraw their BTC at some point in the future. Especially as more and more merchants are beginning to accept them for payment. Keep up the good work!