IGI Markets

Israel’s Bank Leumi has Decided to Offer Cryptocurrency Trading Services to Retail Investors

Israel, which has failed to obtain acceptance as a sovereign nation among most Southeast Asian countries, recently offered some news to the local cryptocurrency traders. Leumi is a local bank that was founded in 1902 and is considered to hold most reserves of the locals is going to make a jump into the cryptocurrency sector.

At one end, when most Central Banks oppose the acceptance of cryptocurrencies, Leumi is once again the first in the region to make the transition. The objection of the Central Banks towards cryptocurrencies is to safeguard the monetary value and writ of the local fiat currency and to prevent a sudden collapse of the local economy. However, Leumi is going ahead with cryptocurrency services without any worries.

Leumi’s Pepper Invest

According to a recent article in Reuters, Leumi Bank has established a dedicated cryptocurrency trading service in the region called Pepper Invest. The report also claimed that Pepper Invest formed a partnership with a USA-based cryptocurrency exchange called Paxos.

The article in Reuters also explains that for the time being, only Bitcoin and Ethereum will be listed for cryptocurrency users of Leumi. The expanse of services includes options like sell, purchase, and custody. The users can start their cryptocurrency account with Pepper Invest with a minimum of 50 shekels or $15.49 worth of cryptocurrencies reserves. Pepper Invest will automatically deduct taxes from the accounts under the Israeli Tax Authority.

The Reuters article postulated that the main aim of Pepper Invest is to ensure that the users do not have to entangle themselves in any sort of cryptocurrency technicalities. The users will not have to worry about any type of taxation complications since Pepper Invest will automatically deduct the required amount directly from the accounts of the users, taking into consideration any changes.

Furthermore, the platform will also provide a click-to-action user interface for the users to prevent them from worrying about blockchain download stress. On the other hand, the existing clients of Leumi Bank will soon be able to hold both fiat and digital currencies.