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Israeli Supreme Court Sides with Crypto Exchange in Bank Account Case

Last Updated March 4, 2021 2:34 PM
W. E. Messamore
Last Updated March 4, 2021 2:34 PM

By CCN.com: Bits of Gold, Israel’s largest broker of bitcoin and Ethereum, can keep its bank account with the country’s biggest bank. That’s the decision from Israel’s Supreme Court on Monday. It overturned a district court’s earlier decision to allow Bank Leumi to close the Israeli crypto exchange’s account.

Bits of Gold on Twitter
  Bits of Gold scored a victory for Israel’s entire crypto industry. | Source: Twitter

Bits of Gold’s Second Court Victory

This isn’t the first time Bits of Gold has run into trouble with Bank Leumi; neither is it the first time Israel’s courts have sided with the crypto exchange over the big bank.

Finance Magnates reports that  the courts ordered Bank Leumi to continue doing business with Bits of Gold in February 2018. The injunction, however, was temporary. A recent crackdown on Israeli banks servicing gambling companies triggered a second restriction on the crypto exchange’s bank account. That’s because of Bank Leumi’s decision to classify cryptocurrency exchanges under the umbrella of gambling.

Bits of Gold CEO Yuval Roash celebrates the recent court victory. He notes that it’s not only a win for his exchange but paves the way for other crypto businesses in Israel. The nation’s crypto industry can now rest assured that its bank accounts won’t be locked:

“This is an exciting moment for us as a company and for the [cryptocurrency] community in general. We worked hard to set up a company which met regulatory requirements, in a new industry, and those efforts paid off. I am proud to be a part of this flourishing industry and push it towards the right regulation.”

Bits of Gold on Twitter
  Bits of Gold is no stranger to working with banks. | Source: Twitter

Israel’s Largest Crypto Exchange

According to CrunchBase, Bits of Gold is the Mideast nation’s largest and most active seller of bitcoin and Ethereum. With both Hebrew and English-language websites, the Tel Aviv-based crypto exchange caters to Israeli cryptocurrency markets and has plans to expand into the European market as well.

CrunchBase reports :

“The company has a pool of more than 50,000 registered customers, which is constantly growing (an increase of 250% in 2017 only). Clients include private investors, high-tech companies, financial companies, investment houses, hedge funds, non-profit organizations and more.”

Bits of Gold customers can use bank transfer, cash, and credit cards to exchange ILS, USD, and EUR for BTC and ETH. It facilitates over the counter transactions, liquidation of digital assets from ICOs, and payment solutions for businesses.