Israel-based Discount Bank is preparing to introduce cryptocurrency trading directly through its mobile banking application, a service that will allow customers to buy, hold, and sell Bitcoin and Ethereum without opening accounts with external cryptocurrency exchanges. The offering is scheduled to become available on November 26, 2026, and will run on digital asset custody infrastructure provided by Fireblocks.

According to Discount Bank, the initiative marks a significant development for Israel's banking industry: the bank says it will be the first in the country to offer cryptocurrency trading directly through a banking application. That distinction would mark the first time customers in the country could buy and sell digital assets through a banking app rather than an external cryptocurrency exchange. Digital assets will be integrated into the bank's existing investment environment, placing cryptocurrencies alongside conventional financial instruments such as stocks and bonds. The goal is to give customers access to digital assets through established banking infrastructure, without requiring them to manage separate cryptocurrency wallets or exchange accounts.

Trading Through Existing Bank Accounts

Under the new arrangement, customers will execute cryptocurrency transactions directly from their existing bank accounts. Purchases and sales will be processed inside the banking application, and proceeds from completed sales will be credited back to the customer's account. The structure eliminates the need to establish and maintain dedicated digital wallets or register with international cryptocurrency exchanges.

Discount Bank has also stressed the importance of reducing the operational risks associated with independently managing cryptocurrency holdings. 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 setup additionally provides a centralized environment for monitoring both traditional investments and cryptocurrency holdings, potentially making portfolio management more convenient.

Fireblocks to Provide Custody Infrastructure

Discount Bank has selected Fireblocks to supply the technology supporting its digital asset custody operations. The fintech company specializes in blockchain infrastructure for financial institutions and other organizations, offering solutions that cover 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 banks, partnering with an established provider offers a way to add digital asset services without building specialized custody technology in-house.

For Discount Bank, the integration allows cryptocurrency custody to operate through bank-controlled wallets built on Fireblocks' underlying technology, combining 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 incorporates 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. The approach could reduce the administrative burden associated with calculating and reporting cryptocurrency-related tax obligations independently.

On pricing, Discount Bank is introducing an initial promotional 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, a restriction the bank has linked 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.

Part of a Broader 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 the bank's 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. The November 26 launch date, the six-month account management fee exemption, and the initial eligibility rules give the rollout concrete checkpoints for its first phase.