Imagine this: a trading platform has one of the most sought-after financial licenses in the US, a permit that is so hard to get that only 40 institutions have ever been granted one, and for three years, it does virtually nothing with it. With eToro and its New York BitLicense, that is essentially what transpired. In February 2023, the New York State Department of Financial Services approved the Israel-founded social investment platform, making it the first trading company to receive a BitLicense in the immediate wake of FTX’s spectacular collapse.
The timing felt important, and it was a significant milestone. Before turning the switch and allowing cryptocurrency trading for New York clients in early April 2026, eToro sat on it in silence while the rest of the cryptocurrency market went through its various recoveries, corrections, and regulatory dramas. They opened the door three years after obtaining the key.
eToro Group Ltd.
| Ticker / Exchange | ETOR — Nasdaq |
| Founded | 2007, Tel Aviv, Israel |
| Platform type | Multi-asset — stocks, ETFs, crypto, commodities |
| Countries of operation | 75 countries (incl. New York as of Apr 2026) |
| Global crypto assets offered | 115 tokens (globally) / ~20 at NY launch |
| BitLicense granted | February 2023 (NYDFS) |
| NY crypto trading launched | April 2026 (~3 years after license) |
| BitLicense — total holders | Fewer than 40 institutions approved since 2015 |
| Key distinction | First BitLicense granted post-FTX collapse |
| Planned expansions (NY) | More tokens + staking features |
| Official reference | https://finance.yahoo.com/ |
It turns out that the delay wasn’t bureaucratic or unintentional as that term typically suggests. eToro has been straightforward about what transpired: following FTX’s collapse in late 2022, regulatory scrutiny increased significantly, and the company purposefully chose to exercise caution when and how it implemented its New York cryptocurrency services. Since its launch in 2015, the BitLicense has been tightly regulated, which helps to explain why so few institutions have ever passed the test.
Not every business that applied for one was able to obtain one, and not every business that did was genuinely prepared or willing to operate under its terms. The license was obtained by eToro. After that, it took three years to ensure that the regulatory environment, compliance systems, and infrastructure were stable enough for the launch to feel like the right decision rather than a hasty one.
The actual launch got off to a modest start. There were about 20 cryptocurrencies available at launch, including Bitcoin, and there are plans to increase the number and eventually add staking capabilities. That figure purposefully contrasts with the 115 cryptocurrency assets that eToro normally offers in its other 74 international markets. Any fintech operator who has ever worked with the NYDFS will attest that New York is just a different jurisdiction.
Compared to almost anywhere else in the world, the regulations are more stringent, the reporting requirements are more stringent, and the penalties for making a mistake are more severe. Starting with 20 tokens instead of 115 isn’t a sign of timidity; rather, it’s the kind of sequential rollout that a business does after witnessing rivals falter by moving too quickly in a market that won’t overlook negligence.
This larger context makes eToro’s timing seem more like patience than delay. For cryptocurrency in New York or anywhere else, the years between obtaining the BitLicense and actually using it were not peaceful. Financial authorities’ perception of digital assets changed as a result of the FTX collapse; certain platforms were scrutinized, certain practices were questioned, and certain executives were the subject of investigations.
Businesses that had been actively participating in the market all of a sudden had to navigate a completely different environment. Even though it appeared passive from the outside, eToro may have made the more defensible decision by sitting on its license and developing its compliance framework rather than competing for market share.
It’s difficult to ignore the fact that the launch’s actual timing aligns with a more general shift in American sentiment regarding cryptocurrency and regulation. Despite its initial harshness, the post-FTX environment has gradually given way to something more structured, including more predictable frameworks, clearer guidelines, and an increasing recognition by regulatory bodies that digital assets are here to stay and likely require practical regulations rather than perpetual ambiguity. By entering New York in early 2026, eToro is entering a market that is marginally more stable than it was in 2023, when the license was first obtained. Even though that wasn’t the original plan, it has turned out in a way that seems strategically sound in retrospect.
It will be interesting to see what happens next. eToro’s social investing model, which combines the features of a brokerage with something more akin to a financial social network, has contributed to the company’s widespread success. It’s still unclear if that model, which has proven successful in numerous other markets, will translate smoothly into New York’s more strictly regulated setting.
There will probably be more tokens than the first 20. Most likely, staking will come next. Additionally, eToro will operate in the same city as the New York Stock Exchange, which has existed since 1792. This market has witnessed all financial innovations and eventually absorbed the majority of them on its own terms. It’s three years late. Exactly on schedule.
