eToro Backs Onchain Derivatives Platform as Brokers Eye DeFi
eToro has invested in Extended, an onchain derivatives platform, signaling growing broker interest in decentralized finance.
eToro, the global retail brokerage giant, has made a strategic investment in Extended, an onchain derivatives platform, as traditional financial brokers accelerate their push into decentralized finance, according to a report from CoinDesk. The move underscores a broader industry shift as established players seek footholds in blockchain-native trading infrastructure.
The investment places eToro among a growing cohort of conventional brokers exploring DeFi-based products, where smart contracts replace intermediaries and trading occurs directly on public blockchains. Onchain derivatives — financial contracts whose execution and settlement are governed by code rather than clearinghouses — represent one of the fastest-growing segments within the DeFi ecosystem.
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For eToro, backing Extended signals an intent to stay competitive as crypto-native platforms blur the lines between traditional brokerage services and decentralized protocols. The race into DeFi among brokers reflects both user demand for transparent, permissionless trading and the potential for platforms to reduce operational overhead by leveraging blockchain settlement.
The broader context matters: institutional and retail broker interest in DeFi infrastructure has intensified as regulatory frameworks around digital assets gradually take shape in the United States and Europe, giving firms more confidence to allocate capital toward blockchain-based ventures. Extended's onchain derivatives model positions it at the intersection of that regulatory evolution and technological innovation.
Continue reading at CoinDesk.
