eToro, the retail investment platform, has led a $12.5 million funding round for Extended, an onchain perpetuals exchange, according to The Block. The firm is betting that decentralized derivatives infrastructure can attract traders who want to bypass traditional exchange intermediaries.
The partnership will focus on expanding access to global financial markets through next-generation onchain infrastructure, eToro said. Extended operates as a decentralized perpetuals platform where traders can access derivatives contracts directly on blockchain networks, cutting out centralized gatekeeping while exposing them to smart contract and liquidity risks.
Onchain perpetuals exchanges have emerged as a competitive wedge in crypto derivatives, where incumbents like Binance and Bybit dominate centralized order books. Platforms like Hyperliquid and dYdX have captured meaningful volume by removing custody and regulatory friction. Extended enters a field where infrastructure maturity, liquidity depth, and trader education remain uneven.
eToro's involvement signals the company's willingness to work with decentralized financial rails despite its history as a compliance-first broker. The investment doesn't represent a wholesale shift to DeFi but rather a hedge into infrastructure that could reshape how global retail traders access derivatives markets.
Funding terms and a full investor cap table were not disclosed. Extended's roadmap and product differentiation versus competitors remain unstated in available reports.