Bank Leumi is preparing a revolution: Israel's largest bank is bringing cryptocurrencies to the retail market.
Israeli financial giant Bank Leumi has announced a strategic partnership with Galaxy Digital that will radically change the rules of the game in the local crypto market. As early as the beginning of 2027, the bank's clients and those of its mobile division PEPPER will gain access to trading in Bitcoin, Ethereum, and Solana through a secure interface in the Leumi Trade app.
This is not just another step in digitalization—it is a signal that traditional banks have stopped ignoring the demand for digital assets. The technological foundation will be provided by the institutional platform GalaxyOne and the Custody Infrastructure (formerly GK8), ensuring a high level of security and compliance with regulatory standards.
Innovation as a priority
The bank's top executive, Maya Ravia, emphasizes that the initiative is part of an innovation strategy aimed at providing clients with simple and regulated access to crypto trading. According to her, digital assets are "gradually becoming an integral part of the global financial system," and the bank's task is to integrate them into the traditional banking model.
It is worth noting that this is not Bank Leumi's first attempt to explore the cryptocurrency segment. As early as March 2022, the Pepper Invest platform announced a partnership with stablecoin issuer Paxos, planning to launch operations with Bitcoin and Ethereum with a minimum threshold of 50 shekels (~$15.5). However, the project never launched at that time, likely due to regulatory barriers. The current step appears more thoughtful and timely.
Regional context
Chainalysis analytics show that in the year leading up to June 2025, approximately $22 billion flowed into Israel through on-chain channels. Growth in the MENA region was 33% year-over-year, lower than in APAC (69%) and Latin America (63%). However, a steady rise in retail activity in the country after October 2023 stands out: actual volumes exceeded forecasts by an average of 60.4%.
Notably, in April 2026, the Israel Capital Markets Authority issued its first license for the issuance of a shekel-pegged stablecoin—the issuer being the exchange Bits of Gold. This indicates the gradual formation of a full-fledged crypto ecosystem in the country.
My view: Bank Leumi's decision is not just a commercial move but a strategic bet on legitimizing digital assets in a conservative banking environment. The launch of the service in 2027 could become a catalyst for other Israeli banks that are currently watching from the sidelines. However, the key factor for success will be not only the technological foundation but also the bank's ability to offer competitive fees and a user-friendly experience; otherwise, clients will prefer specialized crypto exchanges.