In a bid to enhance eToro’s digital onboarding capabilities and back-end compliance infrastructure, the multi-asset investment platform has formed a strategic partnership with the Engagement Banking technology provider Backbase.
The collaboration will see eToro adopting Backbase’s Digital Sales solution to deploy a fully digital and seamless account opening experience across its global user base, as well as a new Know Your Customer (KYC) architecture to better support the platform’s growth and compliance across the full customer lifecycle.
“Our mission is to open the global markets so that everyone can trade and invest in a simple and transparent way,” comments Israel Kalush, Vice President of Engineering at eToro. “Since our founding in 2007, innovation has been in our DNA and we require partners whose technology can scale with us. eToro is growing rapidly – we added over 5 million new registered users in 2020 and a further 3.1 million in Q1 2021 and we’re looking to Backbase to support us as we continue this expansion.
“Best-in-class KYC provides peace of mind for our users as well as the global compliance standards we need as a regulated broker. Through our collaboration with Backbase, we look forward to bringing our customers a first-rate, frictionless onboarding experience that ensures we are fully compliant in an ever-evolving regulatory environment.”
With a customer base spread across more than 100 countries worldwide, eToro operates in a highly regulated global industry that does not have a unified approach to rules and regulations.
As eToro tailors its offerings, products, and services to the regulatory requirements and limitations of each of the jurisdictions within which it operates, it required a technology partner with a robust global presence and sophisticated architecture to allow the platform to continue to grow exponentially – while providing cybersecurity and global compliance support.
Backbase’s Digital Sales solution advances these goals by meeting KYC and other compliance needs for both new and existing eToro users, in addition to providing back-office support through its Case Manager solution so that eToro users are able to register and invest on the platform with minimal friction.
Backbase’s Digital Sales solution will be deployed via Microsoft Azure – ensuring that, as eToro grows, its digital architecture will be able to scale alongside it. Operating in a cloud environment will allow Backbase to rapidly deploy new product features and updates to help eToro stay fully compliant with evolving regulatory requirements on an ongoing basis.
Matthijs Eijpe, Regional Vice President, EMEA, at Backbase, adds, “We are thrilled eToro chose us to support their vision of building a scalable, future-proof onboarding architecture. eToro are true fintech pioneers, and their decision to work with us is a testament to Backbase’s commitment to – and success in – building innovative technology solutions that support our customers’ near- and long-term growth ambitions while still centering the end-user experience.”