Most guides to buying crypto are written for someone spending ₪500 or ₪5,000. If you are selling an old holding, cashing out tokens after an exit or moving money from a property sale, you hit a different set of problems. In a thin shekel order book, a big order can move the price against you. Credit cards are capped at tens of thousands of shekels. And your bank will want to know exactly where every shekel came from. That is what OTC is for.
What crypto OTC is, and who it suits
OTC, or over-the-counter trading, is a trade closed with a dedicated desk rather than on the order book. You request a quote for the full amount (an RFQ), the desk sends a price, you accept, and the money and coins change hands. The upside: one price known in advance for the whole size, a human account manager, and, at the Israeli desks, help with the bank and the tax. The downside: in-depth know-your-customer checks, and a negotiated price that is not always transparent.
It also helps to be clear about what OTC is not. It is not a "crypto changer" in a shop, and it is not a P2P trader offering to take large size. We found no Israeli money changer holding a crypto licence from the Capital Market, Insurance and Savings Authority, and names that circulate online as "Israeli OTC desks" did not check out as such. The desks that do settle in shekels belong to the two licensed Israeli retail platforms. Beyond them you will mostly find international desks that settle in dollars.
Three tiers: retail, high-net-worth and institutional
Not every large amount needs a desk. In practice there are three tiers, each with its own tools:
| Tier | Typical size | Where | Settlement |
|---|---|---|---|
| Retail | up to about ₪250,000 | Your usual platform: Bits of Gold on its volume tiers, or the Bit2C Pro order book | Shekels, bank transfer |
| High net worth | ₪250,000 and up | Bits of Gold Premium, Bit2C’s OTC desk, or Kraken OTC abroad | Shekels or dollars |
| Institutional | six-figure USD tickets, through an entity | Desks such as B2C2, Cumberland, Wintermute and FalconX | USD, EUR or USDC |
The institutional desks were not checked for Israeli clients, and none holds a licence from the Capital Market, Insurance and Savings Authority. Altshuler Shaham Horizon and Tectona are licensed but mostly serve larger and institutional clients.
At the retail tier, volume alone brings the cost down. At Bits of Gold the fee falls with three-month volume, from 1.95% to 1.19925% above ₪1 million, plus VAT. On Bit2C Pro it falls from 1.25% to 0.05% for more than ₪4 million a month. If you are happy to place orders yourself, you can do sizeable trades without a desk, but remember that the shekel order book is small and, according to press reports, its prices can drift more than 3% from global rates.
The shekel desks: Bits of Gold Premium and Bit2C OTC
Bits of Gold Premium starts at ₪250,000, about $80,000. According to the company's site, clients get a dedicated account manager, a dedicated OTC quote sent for approval, limit orders and premium pricing, and the company handles payment of tax vouchers on the client's behalf. Settlement is in shekels by bank transfer, and you can also trade in dollars with no FX fee. Bits of Gold holds a permanent licence from the Capital Market, Insurance and Savings Authority (no. 56716) and issues the Closed Loop Certificate that Israeli banks recognise. On the other side of the ledger, keep in mind its August 2026 data incident: the company says personal data, including ID numbers and bank details, may have been exposed, but not funds, passwords or keys.
Bit2C's OTC desk offers "wholesale" buying and selling of BTC, ETH, USDC and LTC for individuals and businesses, contacted by WhatsApp or email. No minimum is stated. Shekels move through Bit2C's trust account at Discount Bank, from a single Israeli account in your name. Watch the withdrawal cap: up to ₪700,000 in shekels per 30 days. Bit2C, owned by eToro since Q2 2026, holds an extended licence from the authority (no. 72080) and, as a pilot, offers to pay your tax straight from your balance: 1% of the tax amount, minimum ₪2,000.
On a trade worth hundreds of thousands of shekels, the fee is only part of the price. What matters more is that the money reaches your account without weeks of delay.
That is the real advantage of the Israeli desks: the money arrives from a licensed firm, with paperwork your bank already knows.
International desks: Kraken OTC and others
The most accessible international desk we checked is Kraken OTC. According to its site it handles trades over $50,000, requires a verified Pro account and know-your-customer checks, offers a self-service quote portal alongside a chat desk, and settles within 24 hours. Settlement is in dollars or euros by SWIFT, with no shekels. The service runs through the entity Payward Oceanic, and availability "varies by jurisdiction"; we could not check the Israeli view. More in our Kraken review.
Binance offers VIP and OTC tiers, but it has no Israeli licence and dropped the shekel in 2022. We found no verified information on Coinbase Prime or on whether Israeli entities are eligible. Institutional desks such as B2C2, Cumberland, Wintermute and FalconX typically work only with entities and six-figure dollar tickets, which makes them relevant mainly for funds, family offices and companies with a foreign entity.
The deciding point is what happens next. None of these desks holds an Israeli licence, so Israeli investor protection does not apply. And when the proceeds arrive by SWIFT in an Israeli FX account, they count as "open garden" money and get more scrutiny than money from a licensed Israeli platform. Under the July 2026 draft of Directive 411, money from an authorised foreign entity in a low-risk jurisdiction would get a fast track, but the draft has not been finalised.
Exits, property and source of funds: preparing your bank
The real bottleneck in large trades is not the price but the bank. According to figures presented in the Knesset, only about 4% of crypto-sourced money, around ₪2.7 billion a year, reaches Israeli banks. Tech founders and early employees holding crypto from an exit, from tokens or from early purchases, and anyone who wants to use the proceeds to buy a flat, are asked for purchase history, wallet trails, exchange statements and proof of tax payment. Under Directive 411, once crypto activity passes about ₪100,000 a year the bank must examine the source of funds in depth.
- Three months ahead: map it out
List every platform and wallet the coins passed through, and when and at what price they were bought. Download reports from all of them, including old accounts.
- Talk to your bank
Ask your banker which documents will be needed and which platforms the bank accepts. At a digital bank like One Zero you can get preliminary approval before you sell, for 3%. Our guide to crypto and Israeli banks.
- Choose a route the bank recognises
Selling through a licensed Israeli platform and withdrawing to an account in your name is the cleanest route. If the coins sit in a private wallet or on a foreign exchange, you can move them to an Israeli platform and sell there.
- Settle the tax
Work it out in advance with an accountant and decide how it will be paid: through the desk’s tax vouchers, straight from the platform balance, or under the Tax Authority’s December 2023 procedure for paying from a foreign exchange account. Crypto tax in Israel.
- Execute, and keep every document
The quote, the trade confirmation, the transfer confirmation and the tax report. For a property purchase, the mortgage bank will want to see all of them.
What is not covered here: the mechanics of an ordinary sale and withdrawal are in how to sell crypto and cash out. If your bank has already refused, the step-by-step response is in our banks guide.
Tax on a large disposal
Under Income Tax Circular 05/2018, crypto is property, not currency, so a profitable sale is subject to capital-gains tax: 25% for individuals and 30% for a substantial shareholder. Above about ₪721,560 of annual income, a 3% surtax applies, and since the 2025 budget a further 2% on capital income, so on a large sale part of the gain may be taxed at 30% in total. Swapping one coin for another, for example bitcoin into USDT before selling, is also a taxable event. And frequent trading can be classed as business income, taxed at ordinary rates.
A rough example: an individual with no other income who sells at a gain of ₪1,000,000 owes 25%, or ₪250,000, plus about 5% on the part above the surtax threshold, roughly ₪278,000, which comes to about ₪13,900 more. The real figure depends on all your income for the year, which is why this is a job for an accountant. Two more points: licensed platforms report transactions of ₪50,000 and above to the Israel Money Laundering and Terror Financing Prohibition Authority, and from 2027 Israel is expected to receive data on foreign accounts under the OECD's CARF. The voluntary-disclosure procedure that covered crypto closed on 31 August 2026; see voluntary disclosure.
Security, privacy and cash
In September 2025 a crypto trader was attacked in his apartment building in Herzliya. According to reports, three assailants waited in the stairwell, forced their way in, stabbed him and made him transfer about $547,000 in bitcoin and about $42,000 in USDT. The Tel Aviv District Attorney filed indictments, and according to the charges the money was laundered through exchanges abroad. The lesson is not about one city; it is about privacy. If you hold a meaningful amount, don't talk about it, don't post screenshots, and consider custody that needs several signatures or a time delay, so no one can move everything under pressure in a single moment. Hardware wallets and custody options are in crypto wallets.
After the Bits of Gold data incident, also expect phishing messages that impersonate a desk or a platform. Verify any contact against the details on the official site only, and never send coins to an address received in a message without confirming it by phone with your account manager.
In a large trade, the price is the easy part. What decides whether the money reaches your account on time is the preparation: reports, a conversation with the bank and a tax plan, all before you ask for a quote.
A typical case: a tech employee in Herzliya holding bitcoin since 2017 needs ₪1.5 million for a flat. The simple route is to download every report, talk to the bank, move the coins to a licensed Israeli desk and settle the tax before the money lands.
In short: up to about ₪250,000 your usual platform is enough, and its volume tiers make it cheaper as you go. Above that, the Bits of Gold and Bit2C desks are the most convenient route to shekels in your account, while an international desk such as Kraken suits those happy to receive dollars and explain them to the bank. Either way, compare platforms in our exchange ranking before you reach out.
Frequently asked questions
What is crypto OTC trading?
OTC (over-the-counter) trading means closing a large trade with a dedicated desk at a price agreed in advance, instead of spreading orders across an exchange order book. You request a quote for the full amount, accept it, and the money and coins are swapped. In a thin shekel market like Israel’s, it stops a big order from moving the price against you.
What is the minimum for a crypto OTC trade in Israel?
In shekels, Bits of Gold’s Premium service starts at ₪250,000, about $80,000. Bit2C’s OTC desk states no minimum and talks about large volumes, contacted by WhatsApp or email. Abroad, Kraken’s OTC desk handles trades over $50,000 and settles in US dollars or euros by SWIFT.
How do I get shekels into my Israeli bank after a large crypto sale?
The cleanest route is to sell through a licensed Israeli platform and withdraw to an account in your own name, with transaction reports, a source-of-funds declaration and tax documents. Talk to your bank before you sell. One Zero offers an in-house review for 3% with preliminary approval. Money arriving by SWIFT from a foreign desk usually gets more scrutiny.
How much tax is due on a large crypto sale in Israel?
Capital gains on crypto are taxed at 25% for individuals and 30% for a substantial shareholder. Above about ₪721,560 of annual income a surtax of 3% applies, plus another 2% on capital income, so on a large sale part of the gain may be taxed at 30% in total. Crypto-to-crypto swaps are taxable too. Work it out with an accountant before you sell.
Can I do a crypto OTC trade in cash in Israel?
Not at the sizes where OTC makes sense. Israel’s cash law caps cash payments to a business at ₪6,000 and between private individuals at ₪15,000. A desk offering to buy or sell hundreds of thousands of shekels in cash is operating outside the law, and businesses like that have been targets of police raids.
Sources
- Bits of Gold — Premium service (OTC) · checked 5 October 2026
- Bit2C — OTC desk · checked 5 October 2026
- Bit2C — fees, including tax payment from the account · checked 5 October 2026
- Kraken — OTC desk · checked 5 October 2026
- ice.co.il — One Zero checks crypto funds for 3% (24 Feb 2026, Hebrew) · checked October 2026
- Decrypt — two indicted over wrench attack on bitcoin trader (2025) · checked October 2026
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