The first crypto firm in Israel, Bits of Gold, has received a crypto trading license from the top Capital Markets Authority. This will allow the firm to collaborate with regional banks and financial institutions. 

Regulators in the nation have been working to open the door for local banks to begin working with cryptocurrencies, and this makes Bits of Gold the first local cryptocurrency business with experience in the field to be granted a license.  

This makes Bits of Gold, which was established in 2013, the first local cryptocurrency business with experience in the field to be granted a license after a four-year wait, the business said in a written statement. It submitted the licensing application in March 2018.  

Bits of Gold will be able to hold digital currencies through secured custody in a "Bits of Gold Wallet" they have been developing for some time as a result of obtaining the license. Additionally, it will offer a service that connects banks and other financial institutions to its digital asset services.  

Bits of Gold is preparing to develop a platform that will let local and European banks and fintech companies sell cryptocurrency to customers. Starting next month, the firm will also offer crypto custody services through its new digital wallet.  

The license, according to Bits of Gold, is the next step in its quest to increase Israelis' access to the world of digital currencies "in a simple and secure manner." Attempting to combat illegal activity and drive a transition to digital payments within Israel, Israeli authorities have restricted cash payments.  

Israel's tax regulations are another obstacle to adoption in institutions. According to research published on September 8 by crypto analytics company Coincub, the nation was recently listed as the third worst country for cryptocurrency taxation.  

Other firms getting this license :

A different private company called Hybrid Bridge Holdings (HBH) was already given Israel's first cryptocurrency license by the market's regulator in early September. Giyora Ran, the company's CEO, later revealed to the local news organization Globes that HBH is developing a cryptocurrency custody and trading platform, though it's not clear if it has a finished product just yet.