A temporary injunction order on Monday forbidding Bank Leumi from sweepingly halting the account activity of the Bits of Gold bitcoin exchange was issued by the Israeli Supreme Court. The Israeli cryptocurrency industry sees this as a major feat that will facilitate the operations of other bitcoin businesses struggling to get banking services
One of the top two biggest banks in Israel, Bank Leumi has an account of Bits of Gold – a licensed currency changer business since its inception in 2014. Only because the company deals with Bitcoin, the bank decided to close the account in 2015. This caused Bits of Gold decided to apply to the court for permission to continue using the account.
An injunction that allowed Bits of Gold to act until a final verdict was in place for several years. An authorization order to the bank to forbid Bits of Gold to trade in Bitcoin was passed by a District Court even though it praised its activities.
A temporary injunction was immediately issued by the Israeli Supreme Court after the company appealed to it for the same. Until a ruling is issued on the entire appeal, the company can trade digital coins in its account as per an Order passed on Monday.
The Supreme Court added, “Damages are mere speculations for now. The Bank’s decision rests on the assumption that it is liable to pay a price for the materialization of violation of the provisions of the law in light of its policies. However, these fears have not materialized for more than five years in which the account has been operating. – a ruling that the company acted transparently and did not violate any statutory provision.”