Etsy Sells Depop to eBay

Etsy is selling Depop, a secondhand clothing app popular with Gen Z and millennials, to eBay for $1.2 billion in cash, the company announced. Etsy says the deal will allow it to focus on its own marketplace. The deal comes nearly five years after Etsy acquired Depop for $1.62 billion, at a time when secondhand clothing apps were gaining in popularity. Founded in 2011, Depop generated approximately $1 billion in gross merchandise sales — the total value of goods sold through its platform — in 2025. In the U.S., the company saw nearly 60% year-over-year growth. As of December 31, 2025, the marketplace had seven million active buyers, nearly 90% of whom were under 34, and more than three million active sellers. The move comes as Etsy has struggled to grow its business after the pandemic-era e-commerce boom, competing with marketplaces like Temu and Shein, as well as Amazon.