Israeli bank Leumi partners with Paxos to create a way for people to trade Bitcoin and Ethereum. What’s more, the bank will handle all tax reports from crypto trades, and it’s not the only bank to get interested in offering this service.
Leumi’s Digital Investment Subsidiary Pepper Invest Awaits Regulatory Approval
Pepper Invest is a part of Leumi bank, and it’s waiting for government approval to offer crypto-related services. Pepper Invest already partnered with Paxos, a blockchain infrastructure company, to make the services possible.
Once approved, Pepper Invest will also collect taxes from crypto trades in compliance with the guidelines set by the Israeli Tax Authority. This will relieve the customers of the burden related to tax reporting and ease them into the crypto holding and trading process. At the same time, the bank will also act as a wallet so that users can trade right from their accounts.
Leumi is also the first Israeli bank that offers this type of service. Partnering with Paxos will provide safe, regulated solutions to Pepper Investing.
Besides Leumi, many other banks noticed that their customers are serious about using digital assets in their portfolios. One example is the US Bank, which started offering crypto custody services for fund managers in 2021.