Israel-based Discount Bank is preparing to introduce cryptocurrency trading directly through its mobile banking application, allowing customers to buy, hold, and sell Bitcoin and Ethereum without opening accounts with external cryptocurrency exchanges. The service, scheduled to become available on November 26, 2026, will use digital asset custody infrastructure provided by Fireblocks.
The initiative marks a significant development for Israel’s banking industry, as Discount Bank says it will be the first Israeli bank to offer cryptocurrency trading directly through a banking application. The new service will integrate digital assets into the bank’s existing investment environment, placing cryptocurrencies alongside conventional financial instruments such as stocks and bonds.
By integrating Bitcoin and Ethereum trading into its mobile banking application, Discount Bank aims to provide customers with access to digital assets through an established banking infrastructure without requiring them to manage separate cryptocurrency wallets or exchange accounts.
Bank Integrates Crypto Trading With Existing Accounts
Under the new arrangement, customers will be able to execute cryptocurrency transactions directly through their existing bank accounts. Purchases and sales will be processed within the banking application, while proceeds from completed sales will be credited back to the customer’s account.
The structure eliminates the need for customers to establish and maintain dedicated digital wallets or register with international cryptocurrency exchanges. Discount Bank intends to simplify access to digital assets while keeping transactions within its established banking framework.
The bank has also highlighted the importance of reducing operational risks associated with managing cryptocurrency holdings independently. By handling custody through its own wallet infrastructure, the institution aims to limit the possibility of customers losing access to their digital assets because of wallet management difficulties.
The arrangement also provides customers with a centralized environment for monitoring their traditional investments and cryptocurrency holdings, potentially making portfolio management more convenient.
Fireblocks Provides Digital Asset Custody Infrastructure
Discount Bank has selected Fireblocks to provide the technology supporting its digital asset custody operations. The fintech company specializes in blockchain infrastructure for financial institutions and other organizations, offering solutions covering digital asset storage, transfers, and issuance.
Through its platform, financial institutions can establish and manage blockchain-based operations with security controls designed for institutional requirements.
For Discount Bank, the integration allows cryptocurrency custody to operate through bank-controlled wallets while using Fireblocks’ underlying technology. This arrangement is intended to combine the bank’s existing financial infrastructure with specialized digital asset security capabilities.
The partnership also reflects the growing involvement of traditional financial institutions in blockchain infrastructure as demand for regulated cryptocurrency services increases.
Tax Treatment and Trading Fees
The new service will incorporate tax-related features designed to simplify cryptocurrency investment management. Capital gains and losses generated through digital asset transactions can be offset within customers’ broader investment portfolios, while applicable taxes will be deducted at source.
This approach could reduce the administrative burden associated with calculating and reporting cryptocurrency-related tax obligations independently.
Discount Bank is also introducing an initial promotional pricing arrangement. Customers will receive a six-month exemption from account management fees, although trading commissions will continue to apply.
The pricing structure is intended to encourage customers to explore the new investment service while retaining the bank’s existing transaction-based fee model.
Eligibility Limited to Adult Private Customers
Access to the cryptocurrency trading service will initially be restricted to private banking customers aged 18 and above. The bank has linked the age restriction to the risk characteristics associated with digital assets.
Eligible customers must also have registered their bank accounts for securities trading and accepted the relevant service terms and participation agreement.
These requirements establish an initial customer framework for the rollout while allowing the bank to maintain eligibility controls within its existing investment services.
Discount Bank Expands Its Digital Currency Strategy
Discount Group CEO Avi Levi described the initiative as an initial step toward developing technological infrastructure for digital currencies and expanding the banking group’s capabilities in the sector.
The project was led by Elad Fisher, head of Discount Bank’s Financial Markets Division, highlighting the involvement of its investment and financial markets operations in the development.
The launch represents Discount Bank’s broader effort to integrate digital assets into conventional banking services, combining cryptocurrency trading, institutional custody technology, and existing investment accounts within a single platform.
With Bitcoin and Ethereum trading scheduled to begin on November 26, the initiative could establish a new model for cryptocurrency access within Israel’s traditional banking sector.
