Israel’s Central Bank has issued a formal request to receive information about Distributed Ledger Technology (DLT). The document called “Regulatory Coordination of Virtual Assets” states that the Israeli regulators believe there is room to “renew and strengthen cooperation and coordination among all regulators and the public” in regards to DLT. Additionally to the Central Bank, other members of the team include Securities Authority, the Ministries of Finance and Justice, the Tax Authority, the Israel Money Laundering and Terror Financing Prohibition Authority and various other local regulatory bodies.
Among questions included in the document are barriers to the development of the DLT industry in Israel. Additionally, the team specifically inquires about issues experienced by local companies working in the DLT industry, as well as their relationships with investors and consumers dealing with virtual assets. Moreover, the document asks about the risks associated with using digital and crypto currencies, and also how DLT technology can help to resolve issues with Anti-Money Laundering (AML) and terrorism financing.
According to the statement, interested parties are welcome to submit relevant information in response to the inquiry by December 31, 2018. After the responses are received, the Committee is planning to use them in preparation of its final recommendations to the industry, and future legislation drafts.