eToro launched in the US in 2019, adding to its massive international trading community numbering over 20 million. While the US offering of eToro remains limited to the cryptocurrency sector, it has plans to expand into equity and ETF trading. Robinhood has a controversial history and lacks overall transparency but has pioneered commission-free trading in the US and remains a popular choice among millennials and GenZ traders.
Both brokers offer their proprietary trading platforms, where eToro takes a notable lead. Neither one supports algorithmic trading, but eToro brings its known copy trading service to US traders. Both present market commentary but lack actionable research. Beginner traders get a quality educational section at both, where eToro relies on videos and Robinhood on written content.
We have conducted an in-depth review of eToro and Robinhood to determine which one presents the better overall choice and which traders will benefit the most at either broker.
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- eToro vs. Robinhood - Verdict
 |  | |
Headquarters | Israel | United States |
Regulators | ASIC, CySEC, FCA, FSA | N/A |
Tier 1 Regulator(s)? | ||
Owned by Public Company? | ||
Year Established | 2007 | 2013 |
Execution Type(s) | Market Maker | Market Maker |
Minimum Deposit | $50 - $10,000 | $0 |
Negative Balance Protection | N/A | |
Trading Platform(s) | Proprietary platform | Proprietary platform |
Average Trading Cost GBP/USD | 2.2 pips | N/A |
Average Trading Cost WTI Crude Oil | $0.05 | N/A |
Average Trading Cost Gold | $0.45 | N/A |
Retail Loss Rate | 74% | N/A |
Minimum Raw Spreads | 0.8 pips | N/A |
Minimum Standard Spreads | 1.3 pips | N/A |
Minimum Commission for Forex | $0.00 | N/A |
Islamic Account | ||
Signals | ||
US Persons Accepted? | ||
Managed Accounts | ||
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Features and Platforms
| | |
MT4 | ||
MT5 | ||
MT4/MT5 Add-Ons | N/A | |
cTrader | ||
Proprietary Platform | ||
Automated Trading | ||
Social/Copy Trading | N/A | |
DOM? | ||
Guaranteed Stop Loss | ||
Scalping | ||
Hedging | ||
One-Click Trading | ||
OCO Orders | ||
Interest on Margin | ||
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Noteworthy:
eToro has its proprietary cryptocurrency wallet and is presently testing stock and ETF trading in closed beta. Robinhood allows traders access to IPOs, fractional share trading from $1.00, and issues its branded debit card.
Available Markets
| | |
Currency Pairs | N/A | |
Cryptocurrencies | ||
Commodities | ||
Crude Oil | ||
Gold | ||
Metals | ||
Equity Indices | ||
Stocks (non-CFDs) | ||
Bonds | N/A | |
ETFs | ||
Options | ||
Futures | ||
Synthetics | ||
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eToro presently offers 40 cryptocurrencies in the US but plans to expand its overall asset selection. It has an active closed beta for stocks and ETFs at the time of this review. Robinhood offers stocks, ETFs, gold, options, and cryptocurrencies while failing to maintain a detailed asset list amid its ongoing lack of transparency.
Typical Spreads and Fees
| | |
Average Trading Cost GBP/USD | 2.2 pips | N/A |
Average Trading Cost WTI Crude Oil | $0.05 | N/A |
Average Trading Cost Gold | $0.45 | N/A |
Average Trading Cost Bitcoin | $574 | N/A |
Minimum Raw Spreads | 0.8 pips | N/A |
Minimum Standard Spreads | 1.3 pips | N/A |
Minimum Commission for Forex | $0.00 | N/A |
Deposit Fee | N/A | |
Withdrawal Fee | N/A | |
Inactivity Fee | $10 monthly after 12 monthd | N/A |
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eToro offers cryptocurrency trading with spreads as low as 0.75% on Bitcoin or 1.90% on Ethereum up to 5.00% on Tezos. A 0.10% crypto-to-crypto conversion fee and 0.50% cryptocurrency transfer fee also exists. Robinhood offers traders commission-free trading with higher spreads and regulatory trading fees but lacks overall pricing transparency.
Security and Trust
| | |
Country of the Regulator | Australia, Cyprus, Seychelles, United Kingdom | United Kingdom, United States |
Name of the Regulator | ASIC, CySEC, FCA, FSA | N/A |
Regulatory License Number | 491139, 109/10, 583263, SD076 | 165998, 8-69188, 823590 |
Regulatory Tier | N/A | 1, 1 |
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The eToro trading platform is not a member of the Financial Industry Regulatory Authority (FINRA), and the Securities Investor Protection Corporation (SIPC) does not ensure cryptocurrency portfolios. eToro has the necessary licensing to legally conduct its business in the US. It remains duly registered as a Money Service Business with the Financial Crimes Enforcement Network (FinCEN). Robinhood is a FINRA member and offers SIPC protection up to $500,000 per net equity or $250,000 for cash claims.
eToro vs Robinhood – Verdict
eToro
Pros | Cons |
|---|---|
| Copy-trading with a community numbering 20+ million traders | Limited deposit and withdrawal options |
| User-friendly web-based trading platform and mobile app | Low asset selection |
| Quality educational offering for beginner traders via videos | |
| Acceptable cryptocurrency spreads and proprietary cryptocurrency wallet |
Robinhood
| Pros | Cons |
| Fractional share dealing from $1.00 and access to IPO trading | Limited deposit and withdrawal options |
| Debit card for swift financial transactions | Questionable business practices and lack of overall transparency |
| Beginner traders get a wealth of educational content in written form | |
| Optimized mobile app |
eToro presently only caters to cryptocurrency traders in the US, while Robinhood focuses on equities. Neither offers Forex trading, but beginner traders will benefit from the educational content available at eToro and Robinhood alike. eToro offers competitive copy trading while traders at Robinhood get fractional share dealing and a branded debit card. Both enjoy recognition in their respective markets.
You might also be interested in reviewing the below broker comparisons:
- Robinhood vs Coinbase
- Robinhood vs Webull
- Robinhood vs Trading212
- eToro vs Freetrade
- eToro vs moomoo
- eToro vs Fineco
FAQs
What is the difference between eToro and Robinhood?
eToro is a cryptocurrency broker in the US with a competitive copy trading platform, while Robinhood focuses primarily on US equity trading and features fractional share dealing.
What is better than eToro?
It depends entirely on the individual and their trading requirements, but eToro remains a trusted cryptocurrency broker in the US.
Can I transfer crypto from Robinhood to eToro?
Robinhood currently does not support crypto transfers to or from its Robinhood Crypto account but notes that it works on allowing deposits and withdrawals using crypto. eToro allows all crypto transactions.