eToro vs. Robinhood

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

Features & PlatformseToro (visit site)Robinhood (visit site)
etororobinhood
Headquarter:USUS
Established :
20192013
Retail Loss Rate:
UndisclosedUndisclosed
Regulation:
Minimum Deposit:
$50$0
Demo Account:
Managed Account:
Islamic Account:
Inactivity Fee
Deposit Fee:
Withdrawal Fee
Third-PartyThird-Party
Funding Methods:
22
MT4:
MT5:
cTrader:
Proprietary Platform:
Automated Trading:
Social / Copy Trading:
MT4/MT5 Add-ons:
Guaranteed Stop Loss:
Negative Balance Protection:
Bonuses and Promotions:
Unique Feature One:
Large trading communityAccess to IPOs
Unique Feature Two:
Leading cryptocurrency brokerFractional share trading
Broker Offers:

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

Available MarketseToroRobinhood
Currency Pairs:
Cryptocurrency Pairs:
Commodities and Metals:
Indices:
Equities:
Bonds:
ETFs:
Options, Futures, and Synthetics:
Maximum Retail Leverage:
1:11:2
Maximum Pro Leverage:
1:11:2

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

Typical Spreads & FeeseToroRobinhood
Minimum Raw Spreads:
Not applicableNot applicable
Minimum Standard Spreads:
Not applicableNot applicable
Minimum Commission for Forex:
Not applicableNot applicable
Commission for CFDs/DMA:
Not applicableCommission-free
Commission Rebates:
Not applicableNot applicable
Execution Type:
Market MakerMarket Maker

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

eToro

Country of the RegulatorName of the RegulatorLicense Number
US
Financial Crimes Enforcement Network (FinCEN)Not applicable

robinhood

Country of the RegulatorName of the RegulatorLicense Number
US
US Securities and Exchange Commission (SEC)Undisclosed

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

ProsCons
Copy-trading with a community numbering 20+ million tradersLimited deposit and withdrawal options
User-friendly web-based trading platform and mobile appLow asset selection
Quality educational offering for beginner traders via videos
Acceptable cryptocurrency spreads and proprietary cryptocurrency wallet

Robinhood

ProsCons
Fractional share dealing from $1.00 and access to IPO tradingLimited deposit and withdrawal options
Debit card for swift financial transactionsQuestionable 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.

Read full eToro Review

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.

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