eToro snaps up options trading start-up Gatsby

Social investing platform eToro has signed a definitive agreement to acquire options trading platform Gatsby for $50 million, subject to regulatory approvals.

eToro will acquire Gatsby for $50m

Founded in 2018, Gatsby is a commission-free options and stock trading app targeting young investors.

eToro says the acquisition is a “key step” to help diversify its offering to US users, which is currently focused on crypto and stocks.

“The internet has democratised financial information and a sea change has taken place, empowering more everyday investors – particularly Gen Z and millennials – to trade and invest. These retail investors are looking for opportunities to generate returns in today’s bear market,” says Yoni Assia, eToro CEO and co-founder.

“Scaling our US business is a strategic focus for eToro and through Gatsby we can provide US users with access to a safe and simple way to trade options, which we know are particularly attractive in challenging markets.”

Last month, eToro called off its proposed SPAC merger with FinTech Acquisition Corp V in a mutual decision.