eToro vs Robinhood -which the best

We'll explore the differences between two major companies in the crypto world - eToro vs Robinhood. We'll also compare these two companies based on various factors. It can be understandably hard to choose between these exchanges since they are both established, offer a wide range of options, and operate with many similarities.

Advantages and disadvantages of eToro

About eToro exchange

eToro is a broker that specializes in day trading & investment. They've shown incredible growth in the last few years, and they aim to educate their clients while preparing them for the challenges of being a pro.

About Robinhood Exchange

Robinhood is one of the best investment companies around, and has been for more than 10 years. Their senior management team have been in the game for a long time, coming from limited hedge funds originally, before launching Robinhood. It's made investing accessible to everyone through a simple and friendly process that matches you with different financial products based on your profile. The broker is licensed to provide services and is a member of FINRA, the financial services regulatory service in the United States. 

Comparative analysis of eToro and Robinhood exchanges

Available features

Both crypto-exchanges focus on cryptocurrency trading. 

eToro offers: 

Robinhood offers:

Available countries

eToro and Robinhood exchanges are available in more than 100 countries. These exchanges do not provide trading services in sanctioned countries. 

Payment methods

You can fund your eToro and Robinhood account with a bank card, PayPal or cryptocurrency.

Card Support

All types of bank cards from supported countries are available on eToro and Robinhood.

Available Cryptos and Tokens

eToro currently supports 72 trading pairs. 

Robinhood supports 7 coins.

Regulation

eToro is regulated by the Cyprus Securities and Exchange Commission under license No.109/10 EToro is also regulated by the following organizations: ASIC, CySEC, FCA, FinCEN (US) and GFSC (Gibraltar) for crypto exchange (eToroX) and eToro Wallet. In addition, Etoro is one of the safest platforms to comply with common financial regulations regulated by CySEC in Europe, FinCEN in the US and the FCA in the UK.

The Robinhood broker is licensed to provide services and is a member of FINRA, the financial services regulatory service in the United States. 

Interface

The interface of the exchanges is quite convenient and clear. Any user can immediately understand all the functions. Do not worry, if you do not understand something, you can always see the training and tips.

Verification (KYC)

Both exchanges require verification, which includes: Indication of citizenship/residential address, providing proof of identity, providing passport and/or face validation selfies in "live" mode, providing contact information.

Account deposit

Exchanges offer the following options for funding the account:

Comparison of Trading Fees

eToro:

Robinhood:

Account security

eToro is completely secure. The exchange offers users 2FA and other advanced security measures.

Robinhood offers cold storage for the vast majority of coins. This provides complete security for users.

Passive earn on exchanges

With eToro's dedicated Staking service, users can benefit from simple, secure and hassle-free growth on their cryptocurrency investment.

Robinhood currently does not offer any passive income options.

Which to choose - eToro or Robinhood

Robinhood offers lower commission rates, but eToro provides access to more trading instruments. As for their other features, they are pretty close - both have high order volumes.

Disclaimer:

NFTs trading entails a high level of risk and is not suited for all investors. You should carefully evaluate your investment objectives, degree of experience, and risk appetite before deciding to trade cryptocurrencies. You should not invest money that you cannot afford to lose because there is a chance that you will lose some or all of your initial investment.

You should be aware of all the dangers connected with cryptocurrency trading and seek counsel from a financial expert who is not affiliated with any cryptocurrency exchange. This website's opinions, news, research, analysis, pricing, and other information are offered as general market commentary and do not represent investment advice.

FAQs

Is it good to buy crypto in Robinhood?

Yes, Robinhood is completely legal and safe. This broker is perfect for buying cryptocurrency.

How is eToro different from Robinhood?

The main difference between eToro and Robinhood is the range of products they offer to their customers. eToro has more than just stocks and ETFs; they also offer options trading, commodities, and currencies which can be traded through their social trading platform.

Robinhood only provides stocks and ETFs with no fees attached to it which makes it one of the most affordable brokers out there today; however, they do not offer many coins.

Is it safe to keep crypto on eToro?

The US Securities and Exchange Commission (SEC) also lists eToro USA Inc as being registered with the SEC on December 17th 2018 as an Investment Adviser under Regulation D of the Investment Advisers Act of 1940.

Conclusion

When choosing a cryptocurrency exchange, make sure to consider all of the above factors as well as trading volume and tokens available. For example, it's possible that just one factor will make your decision, such as the presence of a specific token in their list. Both exchanges we reviewed today have been operating for a long time and are trustworthy for that reason alone. Both eToro and Robinhood keep growing along with the development of the whole cryptocurrency sector, which is necessary for any competing service.