eToro acquires Zengo for $70M to boost self-custody

eToro is acquiring Zengo, a self-hosted crypto wallet provider, for about $70 million. The deal brings Zengo’s MPC-based, seedless wallet technology to eToro, expanding its self-custody and decentralized trading features.

eToro has announced its acquisition of Zengo, a self-hosted crypto wallet provider founded in 2018, in a deal reportedly valued at $70 million. Zengo is known for its non-custodial wallet solution that leverages multi-party computation (MPC) technology, eliminating traditional seed phrases and enhancing security by distributing key management responsibilities. With over 2 million users globally, Zengo’s wallet enables users to maintain direct control over their digital assets. It supports features such as token swaps, staking, and fiat onramps, making it a comprehensive solution for crypto management. The acquisition aims to integrate self-custody tools and decentralized trading capabilities into eToro’s platform, broadening its digital asset offerings and bridging traditional finance with the on-chain economy. Zengo’s wallet will remain separate from eToro’s regulated services, allowing direct interaction with third-party protocols. The transaction is subject to customary closing conditions, and while financial terms were not officially disclosed, industry sources estimate the deal at $70 million.