PUBLISHER: The Business Research Company | PRODUCT CODE: 1620117
PUBLISHER: The Business Research Company | PRODUCT CODE: 1620117
A social trading platform is an online trading tool that enables users to follow and replicate the trading strategies of experienced investors. It incorporates social networking features, allowing traders to share insights, strategies, and performance metrics. These platforms typically offer real-time data, analytics, and communication tools to support collaborative trading and learning.
The primary types of social trading platforms are personal computers (PC) and mobile devices. The PC platform refers to social trading platforms accessed via desktop or laptop computers. The asset classes covered can include equity, commodities, cryptocurrencies, and others. These platforms are used by various end-users, including individual and professional traders.
The social trading platform market research report is one of a series of new reports from The Business Research Company that provides social trading platform market statistics, including social trading platform industry global market size, regional shares, competitors with an social trading platform market share, detailed social trading platform market segments, market trends, and opportunities, and any further data you may need to thrive in the social trading platform industry. This social trading platform market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The social trading platform market size has grown strongly in recent years. It will grow from $2.26 billion in 2023 to $2.43 billion in 2024 at a compound annual growth rate (CAGR) of 7.6%. The growth during the historic period can be attributed to several factors, the rising adoption of social media and online communities for trading insights, increasing demand for accessible trading platforms that support real-time decision-making, a growing interest in collaborative trading methods among retail investors, the expanding availability of advanced trading tools and analytics within social trading platforms, and the increasing number of retail investors looking for guidance from experienced traders.
The social trading platform market size is expected to see strong growth in the next few years. It will grow to $3.27 billion in 2028 at a compound annual growth rate (CAGR) of 7.7%. The anticipated growth in the forecast period can be attributed to several factors, the expansion of AI-driven trading algorithms to improve user experience and predictive accuracy, the integration of blockchain technology for enhanced transaction security and transparency, the increasing number of millennial and Gen Z investors using mobile-first trading solutions, heightened investment in platforms offering comprehensive educational resources and social features, and the development of personalized trading strategies powered by machine learning and big data analytics. Key trends expected during this period include advancements in AI technology for more sophisticated trade recommendations and automated strategies, the emergence of new platforms featuring virtual and augmented reality for immersive trading experiences, the introduction of innovative social trading features such as integrated crypto trading and decentralized finance options, the growth of platforms employing real-time sentiment analysis to guide trading decisions, and the adoption of advanced data security measures and privacy features to protect user information.
The growing adoption of cryptocurrency is expected to drive the expansion of the social trading platform market in the future. Cryptocurrency, a form of digital or virtual currency that uses cryptography for security and operates independently of a central authority, enables decentralized transactions on a blockchain network. The increasing popularity of cryptocurrencies, due to their decentralized nature and potential for high returns, has attracted a broad spectrum of investors seeking innovative trading methods. Social trading platforms for cryptocurrency allow users to follow and replicate the trades of experienced investors, enhancing their trading decisions and potentially increasing profits. For instance, in January 2024, Security.org reported that cryptocurrency awareness and ownership had risen, with 40% of American adults now holding digital assets, up from 30% in 2023, representing around 93 million individuals. Therefore, the rising adoption of cryptocurrency is fueling the growth of the social trading platform market.
Key players in the social trading platform market are focusing on advanced technologies such as copy trading to gain a competitive advantage. Copy trading is a strategy where individuals replicate the trades of experienced investors or traders in real time, allowing them to benefit from others' expertise. This method simplifies investment decisions and can potentially enhance returns by following established strategies. For example, in April 2024, WeCopy Fintech Inc., a Canada-based social trading platform, introduced WeCopyTrade, an innovative platform designed to revolutionize how traders interact, share insights, and learn within financial markets. The platform aims to bridge the gap between novice and expert traders by offering tools and features for all experience levels and seeks to become the leading technology platform for social network copy trading, connecting professional traders and signal providers with investors.
In August 2022, eToro Group Limited, an Israel-based capital markets company, acquired Gatsby, Inc. for US$50 million. This acquisition strengthens eToro's presence in the U.S. by incorporating Gatsby's cutting-edge trading technologies and user-friendly platform. The strategic move enhances eToro's options trading offerings, appeals to a younger audience, and strengthens its competitive position in the expanding retail trading market. Gatsby, Inc., based in the U.S., specializes in providing an advanced cloud platform for web delivery, content orchestration, and creator services.
Major companies operating in the social trading platform market are IG Group Holdings plc, Plus500 Ltd., eToro Group Ltd., Zerodha Broking Ltd., XM Group, Alpari Group, AvaTrade, Saxo Bank, RoboForex, NAGA Group AG, Pepperstone Group Limited, Collective2, Dukascopy Bank SA, OANDA Corporation, Ayondo Holding AG, iSystems, Myfxbook Ltd, FXCM Inc., Darwinex, Instaforex, IC Markets
North America was the largest region in the social trading platform market in 2023. The regions covered in the social trading platform market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the social trading platform market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The social trading platform market includes revenues earned by entities by providing services such as copy trading, social news feeds, and risk management. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Social Trading Platform Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on social trading platform market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for social trading platform ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The social trading platform market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.