Just a few days after announcing the launch of a blockchain wallet, the Israeli forex broker and social trading platform developer eToro said it is expanding the offering of its investment CopyFund products with cryptocurrencies.
The first cryptocurrency CopyFund will invest in the two largest cryptocurrencies by market cap – Bitcoin and Ethereum. The weighting of different assets in the digital currencies CopyFund will be determined by the market cap of individual cryptocurrencies and will be regularly analyzed and automatically rebalanced once each month.
According to Yoni Assia, Co-founder and CEO of eToro, in the near future the offering will be expanded with the addition of more cryptocurrencies, such as Ripple and Dash.
The new offering comes against the background of a new all-time high for both Bitcoin and Ethereum surpassing $2850 and $250, respectively, and a cumulative market cap of all cryptocurrencies hitting $100 billion. The growing interest in digital currencies has driven trading and eToro has seen the number of users grow four-fold in just 12 months.
“We have been seeing an increasing number of our clients looking for a simpler way to access investments in cryptocurrencies – with a view to building a portfolio in the future. They were asking how to allocate their investments between the two largest cryptocurrencies that are traded on eToro, so we have launched an automatically rebalanced investment strategy to simplify their investments into this new exciting asset class”, said Yoni Assia.
The CopyFunds are a new generation of investment products that allow traders to develop and follow investment portfolios on various market strategies. Each CopyFund has a unique market strategy and bundles together financial assets of any kind, under a chosen strategy or theme. They were first offered by eToro earlier this year.
The CopyFunds are be packaged in Top Trader CopyFunds with the best performing and most sustainable traders on eToro’s platform. Another package is the Market CopyFunds consisting of specially-selected instruments, such as stocks, commodities or ETFs allowing investors to track a wide array of sectors around a defined market strategy.
eToro now has 21 CopyFunds available, all with a minimum investment of $5,000.
Besides CopyFunds, eToro clients can also trade in Bitcoin and Ethereum as separate instruments or copy other people’s strategies.