Background

Bits of Gold was founded in 2013 by Jonathan Rouach, an engineer and entrepreneur in Blockchain, who founded several companies in the field. In 2014, the company completed a financing round of $0.5 million from private investors from the financial sector and the Bitcoin group, and is currently managed by Youval Rouach. The Company has a customer base of more than 60,000 registered customers, which is constantly growing, and a staff of about 20 people, including a compliance officer. The company operates from its offices in Tel Aviv.

Read more about the history of Bits of Gold.


Services

The company offers the Israeli  and the European public buying and selling services of Cryptographic currencies in exchange for shekels, dollars and euros via bank transfer, cash and credit card. Among the clients the company can be found private investors, companies, funds and more. In addition, Bits of Gold serves as a liquidity provider for Cryptocurrencies for stock exchanges, and operates a high-volume brokerage and OTC transactions.


Regulation
Bits of Gold is the first company in Israel to issue a license  as a currency services provider by the Ministry of Finance for trading in virtual currencies and worked with then-chairman of the Israel Money Laundering Prohibition Authority, Adv. Paul Landes, to create joint working procedures. Bits of Gold currently manages a system of reports to both the Money Laundering Prohibition Authority and its various suppliers in accordance with the policy of prohibition of money laundering that is subject to Israeli law.


The Company takes an active part in promoting regulation in Israel in order to regulate the field of virtual currencies through various financial regulators, including the Capital Market, Insurance and Savings Authority in the Ministry of Finance; The Banking Supervision Department of the Bank of Israel; The Prohibition of Money Laundering and Terrorism Financing Authority; The Israel Securities Authority; The Tax Authority and others.

Bits of Gold's Regulation Department is headed by a Compliance Officer. The Company has a policy document for the prohibition of money laundering that is subject to Israeli law, according to which it operates according to the strictest standards for identifying its customers. The Company operates automated systems for verifying identity cards and checking against black lists, and has independently developed a system of reports to the Israel Money Laundering Prohibition Authority, which is adapted to the ISA's directives.

For more information, visit the Digital currencies regulation in Israel - timeline.


Infrastructure

Bits of Gold receives accounting, financial and tax consulting services from Ernst & Young, and legal consulting services from Zioni Pillersdorf Phillip advocates, specializing in banking and Fin-tech. Bits of Gold has a privacy policy under Israeli and European law, and is in the process of registering a database and obtaining the ISO 27001 standard.