After working with U.S. blockchain firm Paxos, Bank Leumi (LUMI.TA) announced on Thursday that its digital platform Pepper Invest will become the first Israeli bank to permit cryptocurrency trading.
It claims that customers of Pepper Invest will be able to buy, hold, and sell cryptocurrencies for at least 50 shekels ($15.49) in transactions worth at least 50 shekels ($15.49).
The message did not provide a debut date and stated that regulatory permission is awaited. One of Israel’s two largest banks is Leumi.
Pepper has established an agreement with Paxos that will allow for the purchase, storage, and sale of cryptocurrencies, subject to regulatory approval. In the near future, Leumi subscribers will be able to use the service as well.
The new service is the result of a recent collaboration between Leumi Group and Paxos, the top regulated blockchain infrastructure platform in the United States. After receiving the necessary regulatory permits, Pepper Invest users will be able to buy, hold, and sell cryptocurrencies, starting with Bitcoin and Ethereum in the first stage, for as little as NIS 50 per transaction.
Customers will be able to buy and sell cryptocurrencies through their Pepper Invest trading account with the press of a button. Pepper will collect tax according to the Israeli Tax Authority’s rules during the sale transaction and conversion back into NIS in the current account, so clients won’t have to deal with tax difficulties.
Pepper will collect tax in accordance with the Israeli Tax Authority’s norms, removing the need for clients to deal with tax complexity. When compared to the current challenges in converting cryptocurrencies into available funds in a current account using the instruments now available, the straightforward sale is a big advance.
Paxos is a pioneer in the development of secure, regulated digital asset solutions for some of the world’s most prestigious businesses. The company was created in 2012 and has regulatory approvals from all of the major regulatory agencies in the United States.
It is the only global blockchain operator with the most complete oversight. Paypal, Bank of America, and Revolut are just a few of the company’s strategic customers and investors. It manages more than USD 20 billion in assets and has a global customer base of more than 400 million.
“We are happy to be the first in the Israeli banking system and one of the few in the world to provide our customers the ability to trade in cryptocurrencies simply, safely, and reliably, without the need to download a crypto wallet,” says Uri Nathan, CEO of Pepper.
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