Israeli Exchange Bits of Gold Becomes First Crypto Firm to Receive Capital Markets License

Israel's top markets regulator has granted local cryptocurrency exchange Bits of Gold one of the first licenses targeting crypto financial services providers in the country.

With the license, Bits of Gold will be able to work with local banks and financial institutions, according to a press release shared with CoinDesk. Regulators in the country have been for some time attempting to clear the way for reluctant local banks to start interacting with crypto.

"With the license and the Bank of Israel recent orders we will be able to resolve most of the bank issues," the company said in a press statement.

The markets regulator already granted Israel's first crypto license to another private company called Hybrid Bridge Holdings (HBH) in early September. The CEO of the company, Giyora Ran, later told local news outlet Globes that HBH is building a crypto custody and exchange platform, but it's unclear if it has a working product yet.

This makes Bits of Gold, founded in 2013, the first local industry veteran and active crypto company to obtain the license after a four year wait, the company told CoinDesk in a written statement. It applied for the license in march of 2018.

Bits of Gold is planning the launch of a platform which enables local and European banks and fintech firms to offer clients crypto for purchase. The firm also wants to start offering crypto custody services through its new digital wallet starting next month.

CoinDesk has reached out to Bits of Gold for comment.

Read more: Israel’s New AML Rules May Help Banks Onboard Crypto Clients