EToro has taken a strategic stake in Extended, a derivatives exchange built on blockchain that specializes in perpetual futures. The investment also kicks off a partnership between Extended and Zengo, the self-custody wallet eToro acquired earlier this year.
The Deal
Financial terms of the stake were not disclosed. The move ties together three companies: eToro, the retail trading platform; Extended, an onchain exchange focused on perpetual futures; and Zengo, a wallet that lets users hold their own crypto keys. The partnership is meant to combine Extended's trading infrastructure with Zengo's self-custody technology.
Why Perpetual Futures
Perpetual futures are a type of derivative contract that never expires, popular among crypto traders for their leverage and 24/7 trading. Extended operates entirely on-chain, meaning trades are settled directly on a blockchain rather than through a centralized order book. That structure appeals to users who want to avoid counterparty risk.
For eToro customers, the deal could eventually bring on-chain perpetuals trading into the platform's existing interface. Zengo's wallet technology would let traders hold their own assets while accessing Extended's liquidity. The partnership is still in early stages, with no specific product launch date announced.
EToro has been expanding its crypto offerings. The acquisition of Zengo earlier this year gave the company a self-custody wallet product. Now, by linking that wallet to Extended's derivatives exchange, eToro is positioning itself in the decentralized finance space without building everything from scratch.
Neither eToro nor Extended have said when the integration will go live. The companies are expected to share more details in the coming months. For now, the deal signals that traditional trading platforms are looking for ways to offer on-chain products without fully decentralizing their operations.
