Discount Bank To Add Bitcoin And Ethereum Trading In Its App
Israel’s Discount Bank says eligible customers can trade crypto from 26th November and offset capital gains and losses within their investment portfolios.
Israel’s Discount Bank said in a press release on 11th November that customers will be able to buy, hold and sell Bitcoin (BTC) and Ethereum (ETH) through its app from 26th November. The service terms limit access to Israeli residents aged 18 or older who are bank customers and have signed up for securities trading. Crypto holdings will appear in the same portfolio as investments such as shares and bonds.
The bank requires customers to sign its conditions for trading complex products and a separate agreement in the app. It says holdings will appear in the portfolio as soon as a trade is confirmed. Its dealing desk accepts immediate orders during its trading hours from Sunday to Friday.
The bank says it will hold customers’ crypto in its wallets using digital asset infrastructure from Fireblocks. The bank sets a minimum trade of 0.01 of a coin and will credit sale proceeds in US dollars on the next business day. Customers cannot send coins to or receive them from private wallets or external platforms at launch.
Our wallet guide explains who controls transfers under different custody arrangements. OnePay's external USDC deposits offer a different model for selected US customers. Its October announcement says Bridge converts the dollar-pegged tokens and OnePay credits dollars to the customer's checking account.
Discount Bank’s published pricing sets a 2% fee on each purchase or sale, excluding any currency conversion charge. It will waive its fee for holding the crypto for six months from launch, then charge 0.25% per quarter.
Discount Bank warns that volatility can result in the loss of the full investment. It says the ability to buy or sell may be restricted by a lack of buyers or sellers, congestion on the blockchain or technical failures.
The bank says its system will automatically offset losses from crypto sales against capital gains from other securities in the same portfolio, and vice versa, when calculating the tax it withholds. The Israel Tax Authority’s guidance on digital assets describes the underlying rule. The authority says Article 92 of the Income Tax Ordinance allows a qualifying investment loss from selling a digital asset to offset a capital gain on another type of asset.
