Keep in mind that cryptocurrency CFDs are covered by the FSCS, but absolute cryptocurrency holdings are not. So, if you're planning to buy cryptocurrency, you'll need to keep this in mind.
etoro
also has an additional insurance policy from Lloyds of London that offers up to 1 million pounds sterling if eToro becomes insolvent. eToro has partnered with Lloyd's of London to offer free insurance of up to 1 million euros, British pounds or Australian dollars (depending on the region).eToro's business model focuses on attracting individual investors, also known as retail investors, who are entering the world of financial markets for the first time. If eToro were to go bankrupt, their share of the segregated monetary investments would be returned to customers, minus the costs of managing and distributing these funds for managers. eToro is a multi-asset platform that offers investments in stocks and crypto assets, as well as CFD trading. Don't forget that both “Regulatory Protection” and “Private Insurance” require that the corresponding claim form be submitted to the FSCS within 12 months from the default date and a “claim for excess FSCS” form (if applicable) to eToro.
eToro earns most of its money (87%) through a typical brokerage industry process known as the market creation model.
