eToro, the global trading and investing social network, has announced the launch of a new cryptocurrencies investment CopyFund, which allows users to split their investment according to market trends from predefined strategies.

Top Trader CopyFunds and Market CopyFunds give investors access to the top performing strategies from eToro’s global community of investors, who are rewarded by the platform if they accrue enough users copying their profile.

In a conversation with IBS Intelligence, Yoni Assia, Co-founder and CEO, eToro, showed off an example of the cryptocurrency CopyFund, in which he himself had invested. “I only put in this money yesterday, and I have already seen a 10% increase. That is because our platform tracks market movements and automatically and creates a profile you can replicate for your own investments. Blockchain and cryptocurrencies represent the biggest innovation in financial services since the introduction of computers into finance. Today we’re making this market more accessible to a wider pool of investors. Clients 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.”

The market cap of all cryptocurrencies just hit $100 billion, with eToro seeing its number of users trading cryptocurrencies grow four-fold in just a year. In the past year, the combined market cap of all cryptocurrencies went from $11 billion to $100 billion, and since the beginning of the year the price of Ethereum has gone from $8 to $257.

This new CopyFund has seen returns of over 120% since inception in mid-April, and will be analysed and automatically rebalanced once a month. Assia has faith in cryptocurrencies: “I see the cryptocurrency market expanding 10x in the next year, and hit the $1 trillion mark. Most of our users are millennials, and we’re seeing an increased appetite for risk and adventurous investment,” he said at a panel at MoneyConf 2017.

At the moment, eToro only holds Ethereum and Bitcoin, but new currencies will be added in the near future. Ripple and Dash are the most immediate applications, but according to Assia, other currencies, like Litecoin, will make their way to the platform.

These CopyFunds are designed to help investors minimise long-term risk and to promote opportunities for growth by creating diversified investments. “eToro is a way to make investment accessible and democratised for consumers. Not everybody can hire advice from a personal portfolio managers, so through eToro, it’s as easy as picking the models you see most profitable.”

eToro now has 21 CopyFunds available, all with a minimum investment of $5,000.

by Henry Vilar
Henry is Junior Reporter at IBS Intelligence, follow him on Twitter or contact him at: henryv@ibsintelligence.com
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