eToro Leads $12.5M Extended Round to Expand Onchain Derivatives

TLDR

• eToro led a $12.5 million funding round for Extended, an onchain perpetual futures exchange.
• Jump Crypto and Alber Blanc also joined the funding round for Extended.
• eToro plans to integrate Extended’s trading engine directly into the Zengo wallet.
• The deal follows eToro’s $70 million acquisition of self-custody wallet Zengo.
• Extended has processed more than $245 billion in trading volume as of June.

eToro moved deeper into DeFi by backing Extended, an onchain perpetual futures platform from former Revolut employees. The broker led a $12.5 million round with Jump Crypto and Alber Blanc. The deal strengthens its Web3 plan after the $70 million Zengo acquisition.

eToro Backs Extended Funding

eToro said the funding supports client demand for decentralized finance products. Extended runs an onchain perpetual futures exchange and has processed over $245 billion in volume. The platform supports over 100 perpetual markets across crypto and other assets.

He added that Zengo and Extended support eToro’s Web3 services plan.

The investment follows eToro’s April purchase of Zengo, a self-custody wallet provider, for $70 million. eToro plans to connect Extended’s perpetual futures engine with the Zengo wallet. The integration would let users trade derivatives while keeping custody of assets.

Zengo Puts Derivatives Inside Wallets

The planned integration gives eToro a route into DeFi without moving users away from self-custody tools. Zengo would serve as the entry point, while Extended would supply trading infrastructure. That structure targets users who want wallet-based access to advanced market products.

Perpetual futures remain a large crypto trading product because they do not expire. Platforms now list contracts tied to bitcoin, equities, commodities, and real-world assets. As a result, crypto markets and traditional finance share trading formats.

Ruslan Fakhrutdinov, Extended’s founder and former Revolut crypto head, described the company’s next stage. “The first phase was building for DeFi natives,” Fakhrutdinov said. He said the next phase needs infrastructure and partnerships for onchain derivatives growth.

Brokerages Push Toward DeFi Markets

The eToro investment comes as brokers build blockchain-based trading services for mainstream trading users. Robinhood launched its own blockchain and expanded tokenized stock products. It plans commodity perpetual futures tied to assets such as gold and oil.

Coinbase has expanded into perpetual futures, while Kalshi entered the same market. These moves show how brokers, crypto exchanges, and prediction markets now compete across similar products. Therefore, firms aim to become broader trading platforms for traditional assets.

Zengo managing director Ouriel Ohayon said capital markets now overlap with digital asset infrastructure. He said EToro’s Extended investment reflects a belief in accessible trading. He also said future trading can run 24/7, beyond the traditional trading week.

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