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Only a few years ago, eToro was a well-known place to trade all kinds of financial goods, while Binance didn’t even exist as an English noun. These two things shouldn’t have too much in common, and you won’t hear them talked about together very often. But since it started in 2017, Binance has become the most famous cryptocurrency-to-cryptocurrency exchange. In 2018, eToro added cryptocurrency trading to its platform.
So the two companies’ paths crossed. Binance doesn’t need much of an introduction. It is THE place where people who are just starting out go to sell their crypto. eToro is known for its social trading features and innovative approach to financial markets. This makes it a potential new player in the crypto landscape. So, now that we’ve talked about all of this, it makes sense to compare Binance vs eToro.
Etoro vs Binance Comparison Table
| Exchange | eToro | Binance |
|---|---|---|
| Founded | 2007 | 2017 |
| Regulated | Yes (FCA, CySEC, ASIC) | Yes (various jurisdictions) |
| Cryptocurrencies | 120+ | 600+ |
| Trading Features | Social Trading Platform, Copy Trading, and Forex Trading | Spot trading, Margin Trading, Futures Trading, Staking, and Binance Smart Chain |
| Trading Fees | Varies based on the asset | 0.1% spot trading fees (can be reduced with BNB) |
eToro vs Binance Ease of Use
The way eToro works is set up to be useful. It has added a lot of features, like margin trading and complex option sets, but it always seems to know where to put them so they don’t get in the way.
Better platform: eToro. When it comes to cryptocurrency, there aren’t many easier tools to use. The user interface uses standard features that casual traders see on commercial sites like Yahoo Finance. If you want to be useful, eToro is the place for you.
eToro vs Binance: Cryptos available
Binance has a great selection of cryptocurrencies, with more than 600 of them to choose from. eToro doesn’t have as many options. But customers can also buy stocks, fractional shares, ETFs, and other investment goods on the site, which helps to make up for some of that. Copy trading is a feature on the eToro website that lets you copy the trades that other investors, who may be more experienced, make. Also, if you want to try it out without paying any money, you can use the demo account.
As you can see in the table below, U.S. investors have less choice on both platforms when it comes to crypto. This won’t be a problem if you only want to buy Bitcoin or Ethereum (ETH). But if you live in the U.S. and use eToro, there are some pretty big holes. For example, you can’t buy popular cryptocurrencies like Cardano (ADA), Solana (SOL), or Polkadot (DOT). All of these can be found on Binance.US, Binance, and the foreign site for eToro. You can download this app from its official website
eToro vs Binance: Wallets
Some say you don’t own your crypto if you leave it in a custodial wallet. Others don’t want the hassle or worry about taking full custody of their crypto. Both routes have pros and cons. Your investments may be at risk if your crypto platform is hacked or fails. Moving eToro and Binance funds to a non-custodial wallet is simple.
Binance is more flexible, allowing withdrawals to practically any blockchain address on several wallets, including MetaMask. Binance endorses 2018 acquisition Trust Wallet. Trust Wallet allows asset purchases, sales, transfers, storage, and staking. eToro Money is its non-custodial crypto wallet.
eToro vs Binance Fees
Binance has a set trading fee of 0.1%, which you can cut by 25% if you pay with the BNB token. Any purchase you make with a credit card will also cost you at least $10. The real fee for a single buy is 3.5%, but it will never be less than $10. When you sell more, your fees go down as well.
eToro has varying fees that go up if you trade with assets or trading pairs that are less liquid. The difference between the buy price and the ask price is how the platform gets money. You can expect to pay 1% if you trade famous assets like bitcoin or ether. This number could go up to 3.5% if you are working with assets that are not as popular. If you want to cash out, you also have to pay $25. There is no fee for making a deposit.
Which is better?
It is hard to say whether eToro or Binance is the better cryptocurrency exchange because it depends on the needs and tastes of each trader. Both exchanges give traders access to a wide range of cryptocurrencies, platforms that are easy to use, and trading fees that are cheap. eToro has a social trading site where users can copy the trades of other successful traders. It also has a variety of trading tools and educational resources. Several financial bodies, like the FCA and CySEC, keep an eye on it.
Binance, on the other hand, has a number of advanced trading options, such as bond trading and futures trading, as well as its own blockchain, Binance Smart Chain. It’s one of the biggest cryptocurrency platforms in the world, and its low trading fees are well-known. When deciding between these two exchanges, traders should think about things like regulation, available cryptocurrencies, trading fees, and platform features.
eToro: The good and The bad
The Good
- Financial authorities regulate it.
- Copy and social trading
The Bad
- Withdrawal fees on some assets
Binance Fees: The good and The bad
The Good
- Binance Smart Chain, proprietary blockchain
- Many tradable cryptocurrencies
The Bad
- No access to forex trading
FAQS
They have some of the lowest fees of any exchange, and you can trade more than 600 different coins through them. Among other things, they have choices for staking, crypto loans, and a crypto Visa card. Side by side, look at eToro and Binance.
CFDs are hard to understand and very risky. If the trade goes wrong, you could end up owing money as well as losing your initial investment because contracts involve borrowing money. 81% of regular investor accounts lose money when trading CFDs with eToro.