Eightcap has no dealing desk with low ECN-like pricing from 0.0 pips. eToro is a market maker with forex trading via its social trading platform. See how the brokers compare in this Eightap vs eToro forex review.
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Both Eightcap and eToro are popular CFD brokers with a strong presence around the world. Eightcap is a more traditional no-dealing desk broker that has an extensive collection of crypto products for trading, while eToro is a top social-trading platform. To help you find your next broker, we compare Eightcap vs eToro for you.
When trading, you will typically come across two different types of accounts. A standard account has no commission fees, while a ‘Raw’ or STP-style account does have commission fees. Eightcap offers both types of accounts, however, eToro since they are a market maker only provides you with a standard account type.
A standard account has no commission fees, and the only brokerage fee you face is the bid-ask spread, which is the difference between the price you can buy and sell at.
To help you make an informed decision, we compare the average monthly spread of different brokers in the table below.
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Standard Account Spreads
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1.00 | 1.00 | 1.50 | 2.00 | 1.00 |
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1.10 | 1.20 | 1.40 | 1.40 | 1.40 |
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1.13 | 1.01 | 1.71 | 1.66 | 1.12 |
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1.20 | 0.90 | 1.50 | 1.80 | 1.80 |
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1.20 | 1.40 | 1.50 | 1.60 | 1.50 |
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1.10 | 1.20 | 1.40 | 1.50 | 1.20 |
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1.10 | 1.30 | 1.30 | 1.30 | 1.30 |
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1.20 | 1.80 | 1.90 | 1.90 | 1.60 |
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1.32 | 1.95 | 1.37 | 1.70 | 1.40 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/09/2023
Although Eightcap does not advertise their average spreads, you can clearly see that eToro has pretty high spreads compared to the other brokers you can trade with. At 3 pips to trade the EUR/USD, you will be paying a hefty spread premium on eToro.
Meanwhile, Eightcap’s spreads start from a minimum of 1 pip wide, available on all their major forex pairs. Their average spreads will be slightly higher, but still would be far lower than eToro’s average spreads.
Looking at the data, we can see some interesting trends in the average standard account spreads for the forex pairs across different brokers.
Eightcap has consistently low spreads across all forex pairs, with the highest being 1.9 for AUD/JPY. This is significantly lower than the industry average of 2.09 for the same pair. In fact, for all pairs, Eightcap’s spreads are either at or below the industry average. This suggests that Eightcap offers competitive pricing, making it a cost-effective choice for traders.
On the other hand, eToro’s spreads are a mixed bag. For some pairs like EUR/USD and USD/JPY, eToro matches the lowest spreads offered by Eightcap. However, for other pairs like GBP/USD and EUR/JPY, eToro’s spreads are significantly higher than both Eightcap and the industry average. This inconsistency may make eToro a less predictable choice for traders who deal in a variety of forex pairs.
| Forex Pair | Eightcap | eToro | Industry Average |
|---|---|---|---|
| EUR/USD | 1 | 1 | 1.18 |
| USD/JPY | 1.1 | 1 | 1.37 |
| GBP/USD | 1 | 2 | 1.51 |
| AUD/USD | 1.2 | 1 | 1.41 |
| USD/CAD | 1 | 1.5 | 1.70 |
| EUR/GBP | 1 | 1.5 | 1.56 |
| EUR/JPY | 1.2 | 2 | 1.85 |
| AUD/JPY | 1.9 | 2 | 2.09 |
Standard Account Analysis Updated September 2023[1]September 2023 Published And Tested Data
In conclusion, if cost is a major factor in your decision, Eightcap appears to be the cheaper option overall. However, it’s important to consider other factors such as platform features, customer service, and regulatory status when choosing a forex broker. As always, I recommend doing your own research and testing out different platforms to find the one that best suits your trading needs.
Your first deposit in Eightcap needs to be $500 AUD if you are trading in Australia. This requirement falls to $100 USD if you are setting up your account from outside Australia.
You can fund your account through popular methods like a bank transfer, POLi or BPay in Australia, Visa or Mastercard credit cards or debit cards, as well as digital wallets ranging from PayPal to Neteller and Skrill. Eightcap even allows you to fund your trading account with cryptocurrencies like Bitcoin.
The minimum deposit on eToro is $50 USD or equivalent. eToro offers all of the same deposit methods as Eightcap, with the exception of crypto deposits. However, eToro does also have additional eWallet deposit methods- Klarna and iDeal (both EU only).
An STP-style account, or a ‘Raw’ account, has much lower spreads than standard accounts, however at the cost of commission fees. The lower spreads are available because you are getting market-priced spreads thanks to being connected to the pool of liquidity that each broker has.
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ECN Broker Spreads
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0.23 | 0.20 | 0.06 | 0.42 | 0.27 |
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0.20 | 0.30 | 0.10 | 0.30 | 0.20 |
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0.47 | 0.50 | 0.12 | 0.40 | 0.22 |
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0.20 | 0.30 | 0.20 | 0.40 | 0.20 |
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0.30 | N/A | 0.30 | 0.50 | 0.40 |
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0.24 | N/A | 0.17 | 0.54 | 0.30 |
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0.30 | 0.70 | 0.20 | 0.50 | 0.40 |
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0.30 | 1.10 | 0.10 | 0.60 | 0.50 |
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0.77 | 1.41 | 0.44 | 1.13 | 1.23 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/09/2023
As you can see from the table above, Eightcap has highly competitive spreads, averaging around 0.1 pips wide. The minimum spread you can get is zero pips, meaning that sometimes you won’t have to pay any spread fee at all.
The commission fees that you face are at $7 AUD/USD round-turn per standard lot (100k units) traded. Eightcap’s minimum deposit for a Raw account is set at $250 for Australian traders and $100 if you are international.
eToro, does not offer this type of account.
Eightcap resounding wins both on brokerage for the standard account, with far lower spreads than eToro offers.
For the commission-based Raw account, Eightcap wins automatically as eToro does not have an STP-style account available for you to use.
We measure protection by the regulation of each broker.
Eightcap is regulated by one top-tier and one second-tier regulator. These regulators and the countries where they provide protection are:
– Australian Securities and Investments Commission (ASIC), in Australia
– Securities Commission of the Bahamas (SCB), giving global protection
eToro has slightly more regulatory coverage, with three top-tier and one third-tier regulator covering them. These are:
– ASIC, in Australia
– Financial Conduct Authority (FCA), in the United Kingdom
– Cyprus Securities and Exchange Commission (CySEC), in the European Union
– Financial Services Authority (FSA), in Seychelles but giving global regulatory coverage
We recommend that you trade with the broker who has the most regulation where you are trading from. As a result, if you are in the UK or EU, we recommend that you trade with eToro to maximise safety since they are regulated in these regions. However, Australian and global traders will be protected by both Eightcap and eToro.
Both Eightcap and eToro have multiple trading platforms for you to choose between. We aim to compare the different platforms for you to decide which is best for you to trade on.
As you can see on the comparison image above, eToro only makes their proprietary platforms available for you to use, with no third-party platforms like MetaTrader available.
The eToro proprietary platform and app are designed to make it extremely easy for you to trade anything you want. What makes eToro special is the ability to easily copy-trade. Copy-trading, also known as social-trading, is where you copy the trades or portfolio of a professional or a highly successful trader. Alongside this, eToro also has more advanced social-trading features, like trading on events and news from social media.
Eightcap does not have its own proprietary platform, but they make a wide range of different platforms available to you. These include the ever-popular MetaTrader 4 and MetaTrader 5 platforms, as well as two somewhat unique platforms which aren’t offered by that many other brokers.
Capitalise.ai is an algo-trading platform, where you can create your own trading algorithms without any knowledge of code. This means you can set up your own trading bot and have it running all day on the Capitalise.ai platform without you having to sit down and actively trade.
Eightcap’s last trading platform is TradingView, a chart-trading platform. You have access to 12 chart types and an uncountable range of tools you can use to analyse the charts you have available. If you want to, you could even build your own custom tools to help you chart-trade.
Eightcap has several trading tools that you can use to help you trade better. Their top tools are Cryptocrusher and The Amazing Trader. To complement their extensive range of crypto trading products, Cryptocrusher gives you daily crypto trading ideas as well as in-depth analysis of the crypto market conditions, ranging from sentiment to crypto news. The Amazing Trader can help manage the risk you have on your trading positions, as well as provide you with a great dynamic charting algorithm strategy.
In comparison, eToro’s trading tools are in-house and aimed at improving upon their social-trading experience. eToro Smart Portfolios allow you to build a portfolio of a trading theme, which is either built by experts or through machine learning. Example themes range from Big Tech to Renewable Energy or even Warren Buffet’s stocks.
Our overall winner for platforms and trading tools is Eightcap, due to their wide range of options. This means that you are more likely to find what you need if you use one of Eightcap’s many platforms available, and then supplement that with Eightcap’s trading tools to be a more successful trader.
However, if you are looking specifically for a copy-trading broker, then eToro should be your go-to pick, with such an advanced social-trading platform and suite of copy-trading tools available.
Both Eightcap and eToro provide a very wide range of CFD products, with their options ranging from forex pairs, indices, and commodities to shares and ETFs.
In terms of forex, you get 46 currency pairs to trade on Eightcap. All the popular pairs are available, as well as less commonly traded pairs that you might be interested in, like the GBP/AUD, you have 46 different currency pairs available to trade. Available pairs range from majors like the EUR/USD to minor pairs like the GBP/CAD.
Eightcap’s truly exceptional range of cryptocurrencies helps them dominate other CFD brokers. There are over 250 CFD crypto options available for you to trade, including many of the most popular cryptos like Bitcoin or Ethereum. You can trade these cryptos paired against the USD or other fiat currencies, and even against themselves, with ETH/BTC being a commonly traded pair. Eightcap also gives you access to 5 different crypto indices for more crypto exposure.
eToro has marginally more forex pairs than Eightcap, at 49 different pairs. However, while eToro also advertises their wide range of cryptos to their traders, their 46 crypto options pale in comparison to the 250+ strong options offered by Eightcap.
Where eToro does stand out is the number of stocks and ETFs they make available for you to trade. There are over 2600+ options, both spot and CFD, making them a very attractive choice if you prefer trading equities.
eToro has slightly more forex pairs compared to Eightcap, but we give this overall category to Eightcap. This was a very close decision, as Eightcap has carved out an incredible presence in the crypto trading space, however eToro does have a strong stock CFD product range.
To check user reviews for both brokers, we use TrustPilot reviews.
Eightcap received an impressive 4.4/5 stars, giving them an ‘Excellent’ rating. Many users were happy with the customer experience they got with Eightcap.
In comparison, eToro has slightly more disappointing reviews, at 4.2 stars out of 5, only enough to give them a ‘Great’ rating by their users.
Therefore, our user choice between the two brokers is Eightcap.
Eightcap is our overall winner compared to eToro. As a whole, Eightcap’s stronger trading account range, a wider range of platforms and tools for traders, and their incredible cryptocurrency offerings are why we have decided Eightcap is the better broker choice.
No commission account spread propiety testing data and published wesbite spread information, centralised on our standard account spread page..
