The Central Bank of Israel has allowed the issue of a national crypto shekel

Despite the fact that a final decision on the launch of the digital shekel has not yet been made, the central bank of Israel reported that the feedback from the public and stakeholders on the project is mostly positive.

«The conclusions from the consultations with the public and the fintech community indicate support for continuing research on various implications for the payments market, financial and currency stability, legal and technological issues, and more,» the country’s main financial authority said.

The CBDC (national digital currency) project was first considered by the central bank in late 2017. A year later, a study group recommended suspending the project, but in May 2021, the Bank of Israel revived the idea.

In November 2021, its representatives announced that they would speed up the research. In March 2022, the central bank of Israel confirmed that it sees no threat to the national banking system that could come from the potential launch of the digital shekel.