Is eToro Safe? Warnings & Complaints ❌ Bad Reviews Explained

Is eToro Safe

Reasonable question: is eToro safe or not?

Is it a legitimate service or a scam?

Their advertising on YouTube are very aggressive. Should I avoid eToro?

If you are wondering whether the eToro broker is a scam or not, I will help you find out.

You may be good at investing but if you use a scam site you will get nowhere.

Why is eToro bad and why eToro has some negative reviews online?

Who writes these negative eToro reviews?

Let’s see if eToro is safe and legit and if there is a lack of competence of those complaining.

They say: “68% of retail investor accounts lose money when trading CFDs with eToro” so, will it happen to me too? Is it safe to use or not?

I will also spot what is wrong with eToro and what to do about it.

Come with me…


eToro on scam detection websites

eToro is not a scam: here is why.

The first thing we want to know is to find out if eToro is a scam, a fraud or not, then we move into the “safety” chapter.

I have run a scam test of eToro.com into the authoritative scam detection website scamadviser.

Here is the result:

etoro scam fraud
Source:scamadviser

As you can see, eToro is not considered a scam website and the result is based on sevaral parameters like:

  1. This website is receiving a lot of traffic
  2. There are thousands of positive reviews for this site
  3. The SSL certificate of eToro.com is valid
  4. The owner of the site has claimed the domain name for a long time
  5. This website has existed for many years

 

eToro offers a safe web experience: here is why.

 

This website is also trusted by Norton Safe Web scanner:

etoro safe website
Source:nortonsafe

 

eToro is tecnically safe, because it exist since very long time and it is receiving a huge share of real internet traffic from real users.

Now let’s move to the reasons way eToro can be considered safe and reliable form an investor perspective.

 

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


Is eToro safe? If yes, why?

eToro must be considered safe for a number of reasons.

Let’s see it one by one.

An important aspect of safe investment websites is that they MUST be regulated.

 

# Is eToro regulated? If yes, where?

eToro is regulated by several top tier regulators worldwide.

eToro Regulation officeCountry
FinCen (U.S. Department of Commerce’s Bureau of Industry and Security (BIS)USA 🇺🇸
FCA (Financial Conduct Authority)
Reference number: 583263
UK 🇬🇧
CySEC (Cyprus Securities and Exchange Commission)
Licence n. 109/10
Cyprus 🇪🇺
ASIC (Australian Securities and Investments Commission)
Licence n. 491139
Australia 🇦🇺
Source:revenueland

This top level regulators would never authorize eToro to offer ius services to ius citizens if it was a scam or if eToro was unsafe.

 

# eToro level of protection

eToro users’ funds are protected by different compensation schemes.

So, what happen if eToro goes bankrupt?

If eToro becomes insolvent there are a few protection schemes to rely on.

The terms and entity of the compensation depends from the country of the user:

 

Users CountryeToro CompensationsHow much?
European citizens
🇪🇺
Investor Compensation Fund designed for Customers of Cypriots Investment Firmsup to 20.000 €
UK citizens 🇬🇧FSCS in the UKup to 85.000 GBP
All eToro users 🌍Lloyd’s of London private insurance provided by eToro (in case of insolvency)up to 1.000.000 EUR/GBP/USD
source:revenueland

 

# eToro private insurance

Should eToro go bankrupt, the investors are covered by a private insurance (Lloyd’s) up to 1 million euro/dollars/pounds.

The eToro insurance covers cash, CFD, and all securities except cryptos.

safety etoro insurance

Has eToro had any security issues?

eToro website has never been hacked.

All information and transactions go under to SSL protocol encryption.

All eToro users are encouraged to employ 2-factor authentication (2FA)

eToro is running a Vulnerability Disclosure Program on HackerOne. Anyone can send a vulnerability so that it can be studied.

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


eToro offices worldwide

eToro is not a local business.

eToro has:

  • more than 1.200 employees
  • 20.000.000 users
  • from more than 100 countries

Office are located in more countries:

etoro office

eToro top manager on LinkedIn

If you wnat to make sure real people exist behind eToro you can check the management LinkedIn profiles.

Here are the eToro top manager LinkedIn accounts:

 

 

Here are the eToro top manager faces:

etoro team manager

 

Please be aware that the fonders of eToro still seat in the top posizioni in the company. This is a great sign of reliability.


What is eToro in short?

eToro is a safe broker regulated by top level authorities worldwide.

eToro is popular because the offer copy trading and social trading services.

Company headquarters are in Israel, but most users are worldwide.

It was funded in 2007 but the actual CEO and part of his family.

eToro is planning to go public next year. This will add another layer of safety and transparency to its operations.

That’s on offer on eToro?

eToro offers:

  • CFDs
  • ETFs
  • Stocks
  • Cryptocurrencies

eToro company value is about 3 billion USD nowadays.


Why so much talk about eToro?

eToro is enjoying a huge boom, also because it has become one of the least complicated means to invest in cryptocurrencies such as Bitcoins.

The real downside of eToro was the minimum deposit of 200 Usd, but now is lowered to 50 USD only (different from country to country).

In practice, those who register now, need at least 50 Usd  to invest.

Of course it’s your money to invest, the service remains free. If you don’t have 50 Usd you can sign up, do simulations, spy on others, but you can’t do real operations.

Indeed eToro wins easy these days because, who is preparing to buy Bitcoin, Ripple and similar on the “traditional” e-wallets, normally find it easier to do it on eToro than on real portfolios.

The eToro wallet is one of the safest crypto wallets online.

Many of these portfolios are not user friendly and hard to understand for new investors who do not know how to pick one.

It must be admitted that eToro solves part of the problem, because it allows you to invest in cryptocurrency WITHOUT complexity.

To buy Bitcoin on the dedicated wallets users have to store long passwords that are very long, fight against attacks and security issues, high commissions and all the discomforts related to some real cripto portfolios.

eToro may be a good and fast way to buy Bitcoin without the hassle  (offered by many overcomplex crypto wallets).

Is buying Bitcoin on eToro free?

No. Why should it be free?

It will cost you 0,75% of the invested money.

If you cannot judge yourself, I can tell you that 0.75% commission is not much to buy cryptos.

 

68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.


Video is eToro safe and reviews on YouTube

Here is a video on the reason why people lose money on eToro (and then leave bad reviews):

eToro - Why 67% Lose Their Money / eToro broker review

In this video on eToro is also explained how to search the traders to copy based on past performance in the long term. Most newby only go for the maximum performance and this is a mistake.

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


How safe is eToro?

Am I at risk if I invest with eToro?

Is eToro safe

eToro is a company registered in Cyprus and it has been authorized to operate in several countries including many the US states.

eToro is NOT a new broker.

It is one of the oldest since it is operating since 2007.

eToro is available and authorized also in most US states since 2020.

A certain level of safety also depends by the wise use of the tool. To be clear, eToro has 20 million users and it is a very old and popular broker.

In my opinion eToro has no safety issues but since it is a broker it may be used for good or not.

eToro is safe as a platform, I’ve never had any doubt about safety.

Second question is: is eToro legit?

eToro is legit, as far as I know and it is regulated by the FCA in the UK, the CySec in Cyprus and by the ASIC in Australia.

 legit regulated UK

Above the screenshot from the UK FCA authority official website where eToro is registered with number: 583263

Being a regulated, legit and authorized broker does not mean that there is no risk of investing and losing money.

I believe that eToro is potentially “less risi” compared to other trading platforms because they offer copytrading.

Normally, when you register to a stock broker you are alone.

When you sign up to eToro the also offer (included and free) the social trading. So that you can be in contact with millions of other investors and even copy their moves if you wish to.

If I use eToro to buy single stocks like Amazon without any idea of what I am doing I can say that it is not eToro to be unsafe, it’s my behavior that is not appropriate.

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


eToro rewiews on Trustpilot

How are the opinions about eToro on Trustpilot?

I went to the most popular review platform to find out who are the people behind the worst eToro reviews and what are their reasons to complain about the broker.

Here is one of the most significant reviews on eToro I’ve spotted:

trustpilot etoro opinion

In this review the user is asking why so many users try some DIY investing/trading if they can easily copy the best traders out there (for free).

I agree.

In many cases we may think that stock trading is easy, but it’s not.

It is much safer to copy other experts and only later maybe try some DIY.

etoro reviews

So, what about the other negative reviews?

Well, most of the negative reviews seem to be written by users who have only left one single review on Trustpilot, and it is a negative review. Some may be fake eToro reviews.

Some users are angry because of the slow customer service.

It seems that in some periods eToro receives so many new customers that they have difficulty in servicing all requests. Most complaints about eToro are often written all on the same day or week.

I’ve never had any problems with this, but I may have been lucky.

Some other nervous customers complain because they deposited money into their account using a bank that is not in the name of the user registered on eToro.

This is prohibited by law in the sense that eToro could never accept accounts being funded from different sources. If you ever register with this broker remember to use your real name and details and only use your bank account to transfer money.

etoro-5usd-withdrawal-fee

Recently eToro removed or reduced many of the most unpopular fees brokers use to apply. The best move was to offer free ETFs and stocks trading and also reducing to 5USD (from 25USD) the withdrawal fee.

I suggest anyone to read the bad eToro reviews. Let’s learn from the mistakes of other users, save on fees and privilege the free copy trading service.

I’d say the best service is copy trading.

It is possible to copy crypto traders and porfolios.

🔴 The best way to copy cryptotrades and amplify results is by copying these 3 portfolios:

  • “Napoleon-X” (+450% last year)
  • CryptoEqual (+505% last year)
  • CryptoTakeOver (+150% last year)

To do it, I just go to eToro.com and I write these names in the search box, then click “invest”

After this simple operation I will be automatically investing in a managed portfolio of cryptocurrencies and companies related to cryptos.


eToro on Reddit (reviews)

Is eToro good Reddit?

I went to Reddit to see what Redditors say about eToro broker.

I have analyzed all the latest eToro reviews on Reddit.

I read thousands or Reddit posts and comments on eToro and tried to summarize it all here.

So, is eToro good on Reddit?

etoro reddit
Here are the Reddit comments, post and opinions about eToro

Opinions on eToro on Reddit are very mixed.

Searching for eToro on Reddit I’ve found threads and subreddit with titles like:

“eToro is a scam avoid it at all cost” or ” I’m new to shares and online trading, I stupidly joined a website called eToro and bought $50 worth of Google shares” or “What do you guys think about eToro?”.

Reading those titles one should be scared, right?

But diving deep into the comments it’s easy to see that who is complaining about eToro is often someone that knows nothing about investing and that it is trying  some DIY to become rich overnight.

Reddit answers to those threads from expert eToro users (there are many)  are very useful to read.

Most of them point out that the only safe way to use eToro for a beginner is to test some copy trading.

After some time copying other traders it is ok to start with DIY investing.

Lately on the popular Reddit community Wallstreetbets there were a lot of talks about eToro.

Another issue that is often mentioned on Reddit about eToro is “etoro withdrawal problem“.

Most new users just don’t know that invested money are (obviously) not available for withdrawal and that the minimum amount to be withdraw is 30 USD.

eToro bad reviews? Safe or scam? Beginners warning!

Can I pay ransom with eToro BTC?

It also appeals to those who want to approach trading but don’t want to do it alone. Having crypto-currency in your portfolio or CFD is essentially the same if for investment purposes. If you count on using cryptocurrency to pay for services or goods as it was meant to be, well e-Toro is absolutely not for you.

Attention, eToro is also not suitable to pay ransom for computer blocked by ransomware virus.

Average Joe just want to park (let’s say) 500€ in Bitcoin and wait to see what happens, who did this a few years ago was award-winning.

There are no guarantees for the future, (I mean zero guarantees) so beware of scam “get rich” schemes with fake promises.

Nobody can forecast cryptos exchange rates. Neither you. Click To Tweet

Etoro is actually almost embarrassing in its ease of use, this is nice.

Don’t rush to sign up to eToro if you just want to pay the ransom and have the infected PC attacked by hakers.

You need Bitcoin to transfer in that case, if you own CFDs it won’t work. I would still advise you NOT to pay and read this before doing anything.

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


eToro monthly returns?

In the web you will find incredible ads that promise astronomical performance rates.

eToro cannot guarantee 10% per month or similar nonsense! I advise you to stay away from those who promise guaranteed returns on eToro, because this is not possible. eToro is an instrument for investing, does not guarantee returns and is not a “Ponzi scheme”.

eToro offers less variety of products to trade on compared to other similar platforms but ETFs and stocks are free.

CopyTrading is free.

CFDs are not free.

Some ETF on eToro are served in CFD and are free.


eToro complaints

Why do people complain about eToro broker?

It is true, some investors and some traders do complain about eToro.

As I said before, many of them are not expert and commit very trivial mistakes.

eToro complaints

The most common mistakes on eToro that trigger complaints is to invest in very volatile assets (like some cryptocurrencies) and try to exit the investment immediately. In these cases the amount available to withdraw from eToro may be less than the original one, since the asset we have invested in may be less valuable than before.

There is no money guarantee on eToro, so it is possible to lose money if we invest in the wrong asset or if we just invest at the wrong time.

Some eToro complaints also mention the level of assistance received by the platform.

Are eToro users right to complain about slow customer service?

At certain times eToro receives thousands of requests for assistance.
This happens regularly when many thousands of new and novice investors sign up to the platform.
Obviously those who have just registered are likely to ask for something, it is logical.
Peak periods in support requests now happen with some regularity and coincide with price spikes in Bitcoin or even other highly coveted assets (Amazon shares, Tesla, etc).

Another reason that triggers some complaints on eToro is the commission to pay to cash out the money.

eToro is quite transparent about their prices and there is a page dedicated to withdrawal fees.

It is also very simple: 5 USD for every withdrawal.

So, less small withdrawals will lead to less commission to pay on eToro.

One more thing to know is that eToro functions with US dollars, so every time I make a deposit my money will be converted in US dollars.

This operation may be convenient or less convenient depending on your currency and a fixed fee applies to the conversion.


eToro countries allowed

Is eToro available in my country?

Not all countries citizens are allowed to use eToro.

Here is a list of countries where eToro is available:

  • Australia
  • Andorra
  • Angola
  • Austria
  • Argentina
  • Azerbaijan

 

  • Bahrain
  • Brazil
  • Bangladesh
  • Bulgaria
  • Belize
  • Bolivia

 

  • Chile
  • Colombia
  • Czech Republic

 

  • Denmark
  • Dominican Republic

 

  • Ecuador
  • Egypt
  • Eritrea
  • Estonia

 

  • Finland
  • France

 

  • Germany
  • Georgia
  • Gibraltar

 

  • Hungary
  • India
  • Ireland

 

  • Kazakhstan
  • Kenya
  • Kuwait

 

  • Madagascar
  • Mexico
  • Monaco

 

  • Netherlands
  • New Zealand
  • Nigeria
  • Norway

 

  • Philippines
  • Poland
  • Romania
  • Russia

 

  • Saudi Arabia
  • Senegal
  • Slovakia
  • Spain
  • Switzerland

 

  • Thailand
  • Vietnam

 

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.


What is the safest way to use eToro?

Investing cannot be safe 100%. Period.

So if you are new to investing and you think you will feel bad losing money or to see you investments go up and down, just don’t start.

The safest way to invest is not investing money we can’t afford to lose.

Investing is a process, not a one-shot action.

In my opinion the safest way to use eToro for beginners is to rely on the copy trading service.

Using the copy trading is free but I will still pay the commissions of buying and selling the assets of course.

If I do copy trading on eToro I just need to pick one or more traders to “copy” and let the system do he job for me.

Yes, it is as easy as this.

Easy does not mean 100% success.

I focus my energies on choosing a good and reliable trader before starting to copy him.

Another great safe way to use eToro is to invest through its 72 Smart Portfolios. It is similar to robo advisor investing, like with the “ready to use” portfolios you find on Moneyfarm.

Disclaimer: eToro is a multi-asset platform offering CFD and non-CFD products. 68% of retail investor accounts lose money when trading ‘CFDs’ with this provider. You should consider whether you can afford to take the high risk of losing your money. This content is intended for informational and educational purposes only and should not be considered as investment advice or recommendation.

eToro is a multi-asset platform that offers investments in stocks and crypto assets as well as trading CFDs.

Please note that CFDs are complex instruments and, due to the leverage effect, carry a high risk of losing money quickly. 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. The trading history shown is less than 5 complete years and may not be sufficient as a basis for an investment decision.

Copy Trading is a portfolio management service provided by eToro (Europe) Ltd., which is automated and regulated by the Cyprus Securities and Exchange Commission.

Cryptoassets are volatile instruments that can fluctuate greatly in a very short time and are therefore not suitable for all investors. Unlike CFDs, trading in crypto assets is not regulated and is therefore not monitored by any EU regulatory framework.


Do you agree with this eToro bad review?

Do you think eToro is safe or not?

Write a comment now.

 

Is it safe to buy on eToro?

eToro is a safe broker that is allowed to offer its services in several countries.
The eToro website is sicure and safe.
The eToro users funds are held in top level bank accounts and all the data is encrypted win SSL portocol.

Is eToro safe for beginners?

I believe eToro is a better choice for beginners compared to other stock brokers.
The reason is that on eToro a beginneg investor is NOT alone. The social trading service is very heplful to asset beginners to make safer bets.

Can you lose money on eToro?

In most cases, the maximum loss you can make on eToro is the deposited money. eToro helps to protect his investors from having a negative balance.

How many people lose money on eToro?

Approximately 68% of users who trade CFDs lose money with eToro.

Can eToro be trusted?

eToro is an old and reliable broker with more than 20 million customers, so it can be trusted.

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34 thoughts on “Is eToro Safe? Warnings & Complaints ❌ Bad Reviews Explained

  1. cole says:

    HEY MATE! Thanks for writing this, I didn’t know your blog.
    That tweet on “survive trading” you wrote above is just amazing.
    “If by grace of god you survive trading….”
    ✅ I’ve tweeted it to all my friends and signed up to your newsletter right now

    • True from Revenue Land says:

      Hi Pascal! Safety is a relative concept. eToro itself can be used in different ways. I love online trading but I’ve found direct loans investing a great way to lower my exposition to the ups and downs of my stock market portfolio. More loans + less stocks and bonds = my balance

    • Sal from Revenue Land says:

      Most people do not get the power behind social trading because they suspect a scam.
      ⭕️ I signed up on eToro first to check what other traders were doing (free), then to copy some of their moves.
      My first deposit was just 500€.
      I’ve learned a lot, while I was studying tecnical analysis.

  2. carlosorts says:

    Some people cannot use eToro, others make lots of money every month. It is always the same old story.

    • Sal from Revenue Land says:

      ⭕️ If I were a beginner I’d definitely register to do some copytrading.
      I’d not dare to start out with do-it-yourself.
      There are good traders to copy out there, way not to take advantage of it?
      If I copy a good trader I have more chances to eran money from my investment compared to DIY without knowledge.

  3. Mark says:

    A new point of view. Thanks, I’ve just started on eToro and it is actually very easy to navigate. I’ll write you I private

    • Sal from Revenue Land says:

      ⭕️ Not everything is good on this platform. It’s all written above in the article.
      I’ve tried to write an honest bad review dirette especially to those who are starting with online trading and have little knowledge.

  4. rodriguez says:

    avoid etoro, high exit commission. I am checking this P2P Lending you talk about. How do I get more details?

  5. margaret says:

    i’m a living testimony he changed my financial life and today i earn $1,000 on a weekly basis

  6. Death says:

    Thank you for sharing your info. I truly appreciate your efforts and I am
    waiting for your further post thanks once again.

  7. Bogdan says:

    Hello Sal,

    Great work, I get a lot of useful information from your site!
    I was wondering if you can recommend any online resource on how to make good use of eToro?

    Many thanks,
    Bogdan

    • Sal from Revenue Land says:

      Hi Bogdan, happy you find my website useful.
      The best resource is you when looking for information. Trust yourself first.
      For me the best way to use eToro is to copy other traders.
      I can tell you what I did when I wanted to find the best trader on eToro.
      I go to “people”, I set “last 2 years”, I set “risk score 1 to 4”.
      Traders like “Myhungetoro” for example have a risk score of 3 and shows a simple but cheap portfolio. It is not the only one, don’t trust me, there are dozen of good traders.
      I’d prefer to copy people who trade ETF and stocks.
      The investment to make a test is reasonable and there is a chance to learn a lot because they normally explain the moves.
      Enjoy it.

  8. Bogdan says:

    Hey Sal,

    Thanks a lot for your website and newsletter, I get a lot of useful information from these!
    I was wondering if you could recommend a good online resource for making good use of eToro?
    As you guessed I’m a beginner in investing and I would not want to make stupid mistakes.

  9. Mat says:

    I am copytrading now and it works like a charm.
    When i first started I bought random stocks. Needlesss to say, I did not know what I was doing.
    eToro will push you to buy CFD and cripto. Not sure if it is a good idea.
    Now is fine. I copy the full portfolios and some good top trader in ETF

  10. 3James says:

    eToro is good for copy but a bit expensive for cryptos. I am making money with it by copying the popular traders and that’s all

  11. MadJoseph says:

    Correct Etoro review. I was using it when it was launched but now it is better and cheaper.

  12. Tom says:

    I can’t complain about etoro, it is a legittimare service and I am doing well even if the markets are going down

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