Please note that the following information is only relevant if you are a client of eToro Germany GmbH (“eToro Germany”).
eToro Germany is pleased to inform you that the custody of crypto assets for eToro customers in Germany will be handled by Tangany GmbH (“Tangany”). Tangany is a Munich-based crypto custody service provider supervised by the German Federal Financial Supervisory Authority (“BaFin”).
As of 21.01. 2024, all crypto assets held in custody by eToro Germany at that time will be transferred to Tangany for custody and eToro Germany will no longer provide custody services for crypto assets. After the transfer of custody of your crypto assets to Tangany, you will still be able to sell or transfer your crypto assets to another custodian via the eToro platform. Please note, however, that if you transfer crypto assets to another custodian, you will no longer be able to sell them via the eToro platform.
If you do not wish to use Tangany’s custody services, you have the option of either selling your crypto assets via the eToro platform by 21.01.2024 or transferring them to an external wallet via your eToro wallet by 15.01.2024.
The transfer of crypto assets will begin on 21.01.2024 and is expected to be completed no later than 29.01.2024. You will not be able to dispose of your crypto assets during this time.
Crypto assets that are treated separately: For technical reasons, the following four crypto assets will not be transferred to Tagany: NEO, FIL, THETA and LUNC. If you hold crypto assets in these four currencies, you can sell them or close your positions until 20.01.2024 at 23:59 CET. Otherwise, these crypto assets will be sold at market value even without your consent and the proceeds will be credited to your eToro account. The usual fees that apply to a sale will be charged for this.
Since a transfer of (M)IOTA is also not possible for technical reasons, we are offering you the option to convert them into Wrapped IOTA on the Binance Smart Chain. These crypto assets can then be transferred to Tangany as wrapped IOTA. If you agree to this, you do not need to do anything else. However, if you do not want this conversion, we ask you to sell your (M)IOTA by 20.01.2024 at 23:59 CET.
We aim to make the transition of crypto custody to Tangany as seamless and simple as possible for you.
Why is the involvement of a crypto custodian necessary?
A crypto custodian is tasked with holding crypto assets and ensuring that no outsider can access them. This helps to reduce the risks of fraud, theft or loss of these assets.
eToro will work with an independent partner in Germany who will provide custody services for crypto assets in accordance with legal requirements from 21.01.2024.
What do I need to do?
When you log in to the eToro platform in the coming days, a pop-up window will appear asking you to accept the General Terms and Conditions (“GTCs”) of Tangany GmbH for the custody of crypto assets.
In order for Tangany to be able to provide you with custody services in full, it is necessary that you accept Tangany’s T&Cs. You may also be asked to provide and/or update certain personal information so that your identity can be verified.
However, as long as you do not accept Tangany’s T&Cs, you will not be able to transfer your crypto assets to external wallets after transferring them to Tangany. As long as you – or from 22.01.2024: Tangany – have not provided the necessary data to verify your identity, you will also not be able to transfer or sell your crypto assets to other wallets even after the transfer to Tangany.
What do I need to know?
It is important for us to make it clear to you what the next steps will be:
Transfer of crypto custody: From 21.01.2024 your crypto assets held in custody by eToro Germany will be transferred from custody by eToro Germany to custody by Tangany. This also applies to crypto assets held by you in eToro wallets. This transfer is referred to as “migration” and can take several working days.
Migration period: In order to ensure a smooth transfer of crypto assets as part of the migration process, you will temporarily not be able to sell your crypto assets and close your positions for a certain period of time from 21.01.2024 until the migration to Tangany is completed. We will endeavour to keep this period as short as possible.
Crypto assets that are treated separately: For technical reasons, the following four crypto assets will not be migrated: NEO, FIL, THETA and LUNC. If you hold crypto assets in these four currencies, you can sell them or close your positions until [20.01.2024] at 23:59 CET. Otherwise, these crypto assets will be sold at market value even without your consent after the aforementioned date and the proceeds will be credited to your eToro account.
If you have not sold the crypto assets you hold in (M)IOTA currency by 20.01.2024 at 23:59 CET, they will be reissued 1:1 as Wrapped IOTA on the Binance Smart Chain and transferred to Tangany as Wrapped IOTA. After the conversion of your (M)IOTA holdings into Wrapped IOTA, the display of your IOTA holdings in your eToro account will refer to Wrapped IOTA.
Crypto assets in eToro wallets:
From 15.01.2024 the eToro Wallet function will no longer be available. This means that from this date:
- will no longer have access to your eToro Wallet and
- will no longer be able to transfer crypto assets from your eToro account to the eToro Wallet or from the eToro Wallet to external wallets.
You can continue to use the eToro Wallet service until 14.01.2024. However, please note that your crypto assets held in the eToro Wallets on 15.01.2024 will be transferred to Tangany together with all other crypto holdings and will be displayed in your eToro account afterwards.
Your migrated crypto assets will be kept completely separate. Like eToro Germany, Tangany will hold your crypto assets separately from its own assets. You can continue to sell your migrated crypto assets via eToro: The migration to Tangany has no impact on the ability to sell the migrated crypto assets on the eToro platform following the migration.
Fees:
- You will not be charged any fees for the custody of your crypto assets by Tangany or for the migration.
- You will still be able to sell the crypto assets in your eToro account after the migration is complete. You will be charged the usual fees for this.
- If you wish to withdraw crypto assets from custody with Tangany and transfer them to another custodian after the transfer to Tangany, Tangany will charge you fees according to Tangany’s terms and conditions.
Staking: Staking is no longer possible. Should there be any changes in this regard in the future, we will inform you immediately. Previously staked crypto assets will therefore be transferred to Tangany without restrictions.
Acquisition of new crypto assets: We would like to point out once again that until further notice it is still not possible to purchase crypto assets via the eToro platform. This will continue to be the case even after the transfer of crypto assets.
Data protection: Data protection and data security are of the utmost importance to us. However, as part of the migration process, it will be necessary to share some of your data with Tangany. However, this data sharing will be limited to what is necessary for Tangany and eToro to properly provide their services. It will be done in strict accordance with eToro’s privacy policy and legal requirements.
Transfer to external wallets: If at any time after the migration you wish to transfer your crypto assets to another regulated German crypto custodian, you can instruct Tangany to do so. The execution is carried out by Tangany in accordance with their terms and conditions and is subject to a fee.
We have emphasised the above points for reasons of transparency and clarity.
For the full applicable terms and conditions, please refer to Tangany’s Terms and Conditions and Privacy Policy as well as eToro’s Terms and Conditions.
We are here for you.
We thank you in advance for your understanding and cooperation during the migration process and we will do our utmost to avoid any disruption to our services associated with the transfer.