eToro to Buy LB Finanzas, Targets $100 Million in Latin America

eToro is targeting $100 million in Latin American revenue within two to three years after agreeing to buy Argentine investing and payments app LB Finanzas for less than $20 million, CEO Yoni Assia told analysts on Tuesday’s third-quarter earnings call.

CFO Meron Shani disclosed the purchase price while answering an analyst and said the deal would not be material to eToro’s balance sheet. Assia said LB Finanzas will form the base of the regional push. The $100 million target is more than half of eToro’s $186 million net contribution in the third quarter, its main revenue measure.

Net income fell 74% year over year in that quarter, while October crypto trades dropped 62% from a year earlier. eToro shares fell 7.6% on Tuesday to close at $21.56, their lowest close since the company listed on Nasdaq in May 2025 at $52 a share.

What does LB Finanzas add to eToro?

Founded in Rosario in 2018, LB Finanzas offers US stocks, ETFs, crypto and money market funds alongside peso and dollar accounts. The app is supervised by Argentina’s National Securities Commission and the Central Bank of the Argentine Republic, eToro said. The company announced the deal on November 4 without disclosing terms.

Why is eToro slowing its acquisition pace?

The LB Finanzas agreement is the fourth acquisition eToro has signed this year. The company bought the self-custody wallet Zengo in April and Israeli crypto exchange Bit2C in May, then agreed in August to pay about $225 million for US broker TradeZero. eToro expects that transaction to close in the first half of 2027.

Assia said the company will now focus on folding those businesses into the group: “We are going to slow down a bit to adjust and integrate,” he said. In June, he told the Financial Times that eToro was discussing options with two wealth-technology firms, weighing a banking license and facing a large wave of industry consolidation.

How large is eToro’s Latin American audience?

Latin America generated 4.6% of organic visits to retail FX and CFD broker websites in the third quarter, according to FM Intelligence’s heat map. eToro ranked third in the region with 488,800 visits, behind OANDA’s 1.3 million and Deriv’s 635,700.

All three brokers lost traffic from the second quarter; eToro’s visits fell 30.9%. Visits to broker sites from Argentina dropped 39.4% to about 501,000. FinanceMagnates.com calculated that eToro held roughly 7% of the region’s 7.1 million visits.

The data show that eToro entered the deal with a larger online audience than most retail brokers, although Latin America remained a small source of traffic for the sector.

What changes for US investment products?

Assia said 26 thematic smart portfolios had gone live in the US under eToro’s investment adviser registration. The company announced the launch on Tuesday and said the baskets carry no management, performance or advisory fees.

Alain Tennekoon, eToro’s US head, said: “With Smart Portfolios, retail investors have a simple, transparent, and diversified way to invest in industries with long-term growth potential. Individual market leaders will come and go, but the broader trends driving these industries can continue for years.”

“Smart Portfolios allow investors to participate in those trends without having to constantly figure out who the next winner is,” he added.

Copy trading, which eToro is better known for outside the US, remains limited to club members there. Assia said more active and leveraged portfolios would follow once the TradeZero deal closes. Assia also said eToro plans to launch prediction markets in Latin America and selected Asian markets while discussing the product with European regulators.

The next operational checkpoint is TradeZero’s expected first-half 2027 close, by which time eToro must integrate its recent acquisitions while pursuing the two-to-three-year Latin America revenue target.