Tel Aviv creating cryptocurrency Platform as part of new five-year plan
Israel's Tel Aviv Stock Exchange?(TASE) creating?blockchain based cryptocurrency Platform, as a part of?the new five-year plan.
The news release states that TASE will increase its usages of cutting-edge technology, including blockchain, tokenization of multiple asset classes, and smart contract implementation. The construction of a blockchain infrastructure for cryptocurrency trading and other digital assets is part of the new development plan for years 2023–2027 revealed by Tel Aviv Stock Exchange (TASE) which is the sole and primary public trading platform for equity and debt in Israel.
The five-year strategy will also entail increasing the market reach. It will enable the creation of a new publicly traded holding company with 100% ownership of the bourse, switching to a private-firm model, and creating and selling technical solutions and services to other exchanges and market participants. The units of the new holding company will be its subsidiaries. The management of TASE has established a five-year compound annual growth rate revenue aiming at 10% to 12% from organic growth in the new strategic plan.
Among the possible action plans, TASE intends to examine that may lead to convert existing infrastructure to innovative technologies, deploying innovative technologies into specialized platforms, and offering a basket of products and services for digital assets.
In order to promote the implementation of innovative technologies, the TASE will investigate the use of distributed ledgers (DLT) for immutable record-keeping, tokenization, and smart contracts that can be used to execute crypto trades, improve existing market infrastructure, and offer digital asset services and products.
Legislators and regulators in Israel are also interested in encouraging regulated crypto activity. Days after the business announced a cooperation with Israel's Ministry of Finance focussing to develop a blockchain-backed platform for trading digital bonds, TASE unveiled the proposal. TASE claimed that it was based on an examination of market patterns.
The Ministry of Finance will issue the bonds under the name Eden, and the project's goal is to lower costs and streamline the issuance of national bonds. To investigate the use of central bank digital currencies for international retail and remittance payments, TASE announced in September a partnership with the Bank for International Settlements and other central banks. The partnership will use proof-of-concept systems to test important features and the technical viability of connecting domestic CBDC. In a pilot project, the European Union has approved the use of DLT for direct settlement of trades rather than through intermediaries.
CBW - External Analyst