Israel shows support for cryptocurrencies.
You may have noticed the massive interest that all leading cryptocurrencies are getting today. Dash, Ripple, Bitcoin, Ethereum, along with the other cryptos continue to reaching an incredible milestone when it comes to their price. This is an amazing milestone that every cryptocurrency pioneer has been waiting for years. It’s incredible to see how much the industry has grown despite everything that those cryptocurrencies have been through.
Now, countries are now even considering to create and launch their own cryptocurrencies. Japan revealed their interest, followed by Russia and other countries. Now, Israel opens their interest towards the same goal.
According to the sources close to the Finance Ministry, Israel’s black market is approximately 22 percent of the country’s gross domestic product. A digital currency, registered with the government of Israel, would make black market transactions less possible.
Additionally, per the news source, the government is considering legislation that would substantially reduce the amount of physical cash in the economy. For example, one suggestion would be a law against paying wages in cash.
The process for the creation of the digital shekel is just getting underway, however. The government has offered the ‘Economic Arrangements Bill,’ which, if passed would create a separate panel for the Bank of Israel to consider creating the digital shekel.
The addition of the physical cash laws is the result of a failure by the Knesset to pass legislation of the same ilk two years ago. The pressure for digital currency adoption is high, as recent comments from the Israeli Prime Minister indicate.
Colu, an Israel-based Blockchain wallet application, has been part of the conversation with the Israeli government in pursuing a digital currency. Mark Smargon, VP Blockchain Colu told Cointelegraph:
“The Israeli regulators have been looking into digital currencies for a while, we were even part of this conversation. If this initiative becomes a reality, Colu will be happy to collaborate…as we believe digital currencies are the future of money.”