eToro Group Acquires Israeli Crypto Exchange Bit2C Amidst Reported Shortfall
Translated & summarized from Ice by baba
The Israeli cryptocurrency exchange Bit2C is being acquired by the eToro Group, with operations expected to transfer by May 2026. The deal reportedly includes eToro covering a potential 15 Bitcoin shortfall, valued at $1.25 million, to ensure service continuity for Bit2C customers. This acquisition aims to strengthen eToro's position in the Israeli crypto market and bolster user confidence.
The story in 5 lines · by baba
- Israeli crypto exchange Bit2C is being acquired by the eToro Group, with operations transferring by May 2026.
- The acquisition reportedly includes covering a potential 15 Bitcoin shortfall, valued at $1.25 million.
- The deal aims to ensure service continuity and minimize customer impact during the transition.
- eToro's acquisition is expected to increase its presence in the Israeli crypto market.
- Bit2C stated that services and fees will remain unchanged during the transition period.
Israeli cryptocurrency exchange Bit2C, operating since 2013, is set to be acquired by the eToro Group, a move that will significantly expand the international investment group's presence in the Israeli crypto market. The acquisition, expected to be finalized by May 2026, will transfer Bit2C's operations, including customer account management, to a subsidiary of eToro.
However, the deal reportedly involves a sensitive issue: a potential shortfall in assets held by Bit2C. According to an analysis by the UK-based accounting and financial intelligence firm Chambers and Partners, Bit2C allegedly lost temporary access to two of its wallets, creating a deficit in the assets required to meet its obligations. This information has been reported but has not been confirmed by regulatory bodies.
Under the terms of the acquisition agreement, the purchasing company, December S.B Ltd, will cover the alleged shortfall by adding approximately 15 Bitcoin, valued at around $1.25 million at the time of reporting. This will be in addition to acquiring the entirety of Bit2C's business operations and retaining its staff.
If these terms are met, the transaction will not only consolidate business activities but also aim to ensure service continuity and minimize potential harm to customers. The entry of eToro into the Israeli crypto market could bolster user confidence and introduce additional resources and operational capabilities. The primary concern remains how the transfer of operations will be managed and its ultimate impact on customers, though Bit2C has stated that services and fees will remain unchanged during the transition.