Imagine opening an app, setting up an account in a few minutes, and buying your first cryptocurrency – without hours of analyzing charts, without reading a hundred news stories a day, and without complicated jargon you don’t understand.
That sounds too simple to be true, right? And yet that’s exactly one of the reasons why eToro has become one of the most popular platforms in the world for someone who is just getting to know cryptocurrencies.
In this article, I’ll explain exactly that – what eToro is, how to open an account, how to buy your first cryptocurrency, and – most importantly – how to actually make money with it, even if you’ve known absolutely nothing about cryptocurrencies until now.
If you want the entire strategy for making money with cryptocurrencies in one place, without searching around the internet, download my free crypto e-book, where I’ve gathered everything I’ve learned over the past few years of working with cryptocurrencies.
What is eToro and why is it suitable for beginners?
Before we get into the technical part, I need to explain what eToro even is.
eToro is a multi-asset exchange – this means that in one place, in a single app, you can trade several types of investments: cryptocurrencies, stocks, commodities, and other financial instruments. So you don’t need a separate account for crypto and another for stocks – you manage everything within a single portfolio.
The platform has more than millions of users worldwide, which makes it one of the largest platforms of its kind. It is also regulated by several recognized financial regulators, including CySEC (the Cyprus Securities and Exchange Commission), the FCA (the UK financial regulator) and ASIC (the Australian financial regulator). This means eToro operates under strict rules designed to protect users – which is one of the key factors a beginner should pay attention to when choosing an exchange.
Why do I recommend eToro to beginners?
- Simple interface – the app is built so that you understand what you’re doing, even if you’ve never traded before.
- A clear market overview in one place – sections such as the most popular cryptocurrencies, daily price movements, and rankings by market cap give you a quick overview without having to search across multiple sites.
- Demo account – you can practice with virtual money before investing your own.
- Everything in one place – cryptocurrencies, stocks, and more in a single portfolio, without switching between apps.
- Educational material – the platform has a free academy with lessons for complete beginners.
Step 1: Signing up for eToro (the KYC process)
Before you buy anything, you need to open an account. The process takes 10 to 20 minutes.
KYC (Know Your Customer) is an acronym that stands for “know your customer.” It’s an identity verification process required by all regulated exchanges – it lets the exchange prove it knows who it’s dealing with, and at the same time it protects you from your account being misused.
How to sign up:
- Go to the eToro website
- Click the sign-up button (“Start Investing” or “Sign up”)
- Enter your email address and create a password
- Confirm your email address (also check your spam folder)
- Complete identity verification:
- Upload a photo of your ID card or passport
- Record a short video or take a photo of yourself (a so-called “selfie” check)
- Enter your home address
Once verification is approved – which can take anywhere from a few hours to a day – your account is ready for the next step.
Tip: Right after signing up, turn on 2FA (two-factor authentication). This means that every time you log in, in addition to your password, you’ll need a one-time code from a dedicated app on your phone (for example, Google Authenticator). That way, even if someone knew your password, they couldn’t access your money without that code.
Step 2: Transferring money to eToro (deposit)
Once your account is open and verified, it’s time to transfer money. In the world of finance, this is called a deposit – it’s the amount you move from your bank account to the trading platform so you can later use it to buy cryptocurrencies.
Deposit options:
- Bank transfer (SEPA) – a standard money transfer between European banks. It usually takes one to two business days.
- Credit or debit card – a faster option, with the money in your account almost immediately, best suited for smaller amounts or for a first test of the platform.
- E-wallets – eToro also supports certain e-wallets and other digital payment methods, though their availability depends on the user’s country.
To deposit money, use the “Deposit Funds” button, which is visible at the bottom of the left-hand menu the whole time you’re logged in to your account.
Important: eToro works with an account in euros or pounds, which means you can simply transfer money from a Slovenian bank account, without complicated currency conversions.
Step 3: Buying your first cryptocurrency on eToro
Now we come to the moment every beginner is most interested in: buying your first cryptocurrency.
On eToro, you can access several vetted cryptocurrencies, from Bitcoin and Ethereum to smaller, more specialized coins. The word “vetted” here means that eToro itself chooses which cryptocurrencies to list on the platform, which reduces the risk of running into a completely unknown or suspicious project.
How to find cryptocurrencies within eToro:
Once you’re logged in, you’ll see the main menu on the left side with the items Home, Watchlist, Portfolio, Discover and Wallet. Buying cryptocurrency starts in the Discover tab, which opens a horizontal menu with the tabs Overview, Stocks, Crypto, Smart Portfolios, ETFs, Indices, Commodities, Currencies and Futures.
- Click the “Discover” tab, then “Crypto”
- On this page you’ll see several sections: “Trending Crypto” (cryptocurrencies that the most people are currently buying), “Daily Movers” (coins with the biggest daily price movement) and “By Market Cap” (a list of cryptocurrencies ranked by market capitalization, which is the total value of all coins of a given cryptocurrency on the market)
- In the table, next to each coin you’ll also see a “Signal” column, where the platform displays a label such as HOLD or SELL. This is an automatically generated technical indicator, not a personal investment recommendation, so treat it as additional information, not as instructions
- Click the name of the cryptocurrency you’re interested in (for example, Bitcoin or Ethereum) to open its trading page
- Enter the amount you want to invest (in euros) and confirm the purchase
It’s that simple. When you want to sell your cryptocurrency back into euros, you reverse the process on the same trading page.
It’s important to understand the concept of a “fee”, which is the amount the exchange charges for executing a trade. Fees vary between exchanges, so it always makes sense to check how much each transaction actually costs before you confirm it.
How do you choose which cryptocurrency to buy first?
For a complete beginner, I recommend starting with established cryptocurrencies, meaning ones that have been around for a long time and have a high market capitalization, such as Bitcoin or Ethereum. Cryptocurrencies like these are generally less volatile (they have fewer sudden price changes) than smaller, newer projects, which means less risk for someone who is still learning.
In the “By Market Cap” section, you can quickly see which coins have the highest market value. This is a good first filter before you dive into researching smaller, riskier cryptocurrencies.
Step 4: Smart Portfolios – passive income with themed portfolios
One of the useful features eToro offers is Smart Portfolios: pre-built groups of investments organized around a particular theme or strategy.
Imagine that instead of picking a single cryptocurrency, you invest in an entire set of cryptocurrencies tied to a specific area, such as decentralized finance, blockchain technology, or large, established coins. eToro manages such a set and adjusts it periodically, and you put your money into the whole portfolio with a single click, instead of buying each cryptocurrency separately.
This is especially useful for those who want diversification. That means you don’t put your money into a single coin, but spread it across several to reduce the risk if the value of one of them drops.
How to access Smart Portfolios:
- In the “Discover” tab, click “Smart Portfolios”
- Browse the available portfolios and read each one’s strategy description
- Check the minimum investment, which for Smart Portfolios is usually higher than for buying an individual cryptocurrency
- Choose the portfolio that fits your goals and confirm your investment
Warning: Using Smart Portfolios requires a minimum investment, which is usually higher than for buying an individual cryptocurrency, so check the terms before you decide.
Step 5: Staking – passive yield on cryptocurrencies you already own
One way to earn that most beginners don’t even know about is staking.
Staking is a process in which you “lock up” your cryptocurrency in that cryptocurrency’s network, and the network uses it to validate transactions (technically known as the Proof of Stake protocol). In return, you receive a reward: an additional amount of the same cryptocurrency, paid out by the network because you contributed to its operation.
Put simply, it’s somewhat like a savings account at a bank, except that instead of interest in euros, you earn interest in the cryptocurrency you already own.
How to activate staking on eToro:
- Find a cryptocurrency that supports staking (for example, Ethereum) in your portfolio
- In the position settings, look for the staking option
- Activate the feature
- Rewards are then periodically added directly to your portfolio
Important: Staking is not risk-free. The value of a cryptocurrency can drop while it is “locked up.” So never stake money that you might need quickly.
How to Store Crypto Safely – The eToro Wallet
When you buy cryptocurrency on eToro, it’s stored inside your account on the platform. For smaller amounts, that’s perfectly fine, but the crypto world has a rule worth knowing:
“Not your keys, not your coins” (If you don’t hold your own keys, the coins aren’t truly yours.)
This means that as long as your crypto is on an exchange, you’re technically managing it through the platform rather than directly yourself. For those who want full control over their assets, eToro also offers a “Wallet” tab in the left-hand menu, from which you can transfer your coins to your own crypto wallet or, if needed, sell them back into euros or pounds via the linked eToro Money app.
In addition, eToro stores part of its users’ crypto in what’s known as cold storage – a storage method in which the private keys of the cryptocurrencies are physically separated from the internet, which significantly reduces the chance of anyone stealing them through an online breach.
Demo Account – Practice Without Risk
One of the things I recommend most to complete beginners is using a demo account.
A demo account is a virtual trading account where you get virtual money you can use to practice trading without risking real money.
Before you put in your first real euro, I recommend trying at least a few buys and sells on the demo account so you can get fully familiar with the interface.
Security on eToro: How to Protect Your Account
Before you transfer any money, you need to take care of a few basic security steps.
5 Steps to Secure Your Account:
1. Turn on 2FA – Use a two-factor authentication app. Every login will require an additional code, besides your password, that only your phone can generate.
2. Use a strong password – At least 12–16 characters, with a combination of numbers, uppercase and lowercase letters, and special characters. Never use the same password on multiple websites.
3. Never share personal information – No one from official support will ever ask you for your password or two-factor authentication code.
4. Watch out for fake (phishing) sites – Always make sure you’re on the official eToro site and not on a counterfeit copy designed to look almost identical.
5. Check your account activity regularly – eToro notifies you about logins and transactions – if you notice anything unfamiliar, change your password immediately and contact support.
How to Withdraw Your Earnings Back into Euros
This is the part every investor is really most interested in – how to get to the actual money.
The withdrawal process:
- Sell your cryptocurrency for euros within the platform (click “Sell”)
- In the withdrawal section, select the amount you want to withdraw
- Enter your bank account details (IBAN)
- Confirm the withdrawal request
The transfer to your bank account usually takes anywhere from one to a few business days, depending on the bank you use.
eToro Club – Additional Benefits for Active Users
eToro also has a special program called eToro Club, intended for users who hold a higher amount of funds in their account. Joining this program brings additional perks, such as priority customer support and access to extra educational materials. For a complete beginner, this isn’t the first thing to focus on, but it’s good to know that the platform rewards more active and loyal users over the long term.
A Practical Strategy: DCA for Simple, Long-Term Gains
Now that you know the basic features, I’ll show you a simple strategy that I most often recommend to beginners myself.
DCA (Dollar Cost Averaging) is a strategy in which you invest the same fixed amount on a regular basis – for example, every month – regardless of whether the price of the cryptocurrency is high or low that day. This way you avoid the situation of trying to “guess” when the right moment to buy is.
What the strategy looks like in practice:
- Each month, you invest, for example, 50 euros in one or two major, established cryptocurrencies (such as Bitcoin or Ethereum)
- You put part of your portfolio into staking so that, in addition to price growth, you also receive a periodic reward
- You check your results in the Portfolio section from time to time, but avoid tracking prices daily
- Once you feel ready, you also allocate part of your funds to a thematic Smart Portfolio for additional diversification
This approach requires no technical knowledge, no hour-by-hour chart watching, and it’s suitable for anyone who has even a small monthly amount available to invest.
Why this approach works: DCA solves the “when to buy” problem, since by investing regularly you spread your purchases evenly over time. Some purchases will be made when the price is higher, some when it’s lower – over the long term, this averages out to a solid entry price. Staking then adds a few extra percentage points on top – which is significantly more than with traditional bank savings. For a complete overview of this and similar strategies, I recommend that you also read my free e-book on earning with cryptocurrencies, where I described additional approaches that I didn’t have room to explain in detail here.
Summary: How to Get Started on eToro in 6 Steps
Here’s your action plan, all in one place:
1. Sign up – open eToro, create an account, and complete KYC verification
2. Set up security – turn on 2FA before you do anything else
3. Deposit money – use the “Deposit Funds” button and choose a bank transfer or card, whichever suits you better
4. Try the demo account – practice risk-free until you feel confident
5. Buy your first established cryptocurrency – in the Discover → Crypto tab, start with a small amount of Bitcoin or Ethereum
6. Set up regular monthly investing and activate staking – this way you build your portfolio gradually, without stress or guesswork, while also earning passive income
Once you complete these six steps, you’ll have all the basics you need to get started. What comes next depends mainly on how much time and energy you put into learning and monitoring your portfolio.
Next Step: Download the Free Crypto E-Book
Everything I’ve described in this article is a solid foundation – but the crypto world offers far more than I can fit into a single article.
That’s why I’ve put together a free crypto e-book in which you’ll learn:
- How to choose the right cryptocurrencies for long-term investing
- How to set up a regular investing system that runs practically on autopilot
- How I think about spreading risk across different strategies
- Which mistakes a complete beginner should avoid the most
The e-book is completely free and intended for exactly those who have read this article – that is, those who are serious about earning with cryptocurrencies but are just starting out on their journey.
