Israel enacts new regulations on the crypto industry

The government of Israel is going to fight against illicit activities in the crypto industry through the introduction of new crypto regulation laws. 

According to reports, the government authorities of Israel are going to regulate the crypto market. Under the new provision, they will regulate all the crypto and fintech firms. The government will issue crypto licenses to these firms.

According to the report of local media news, Globes, to fight against money laundering, the Israeli enforcement department will issue licenses for the fintech companies and virtual currency service providers (VASP). Only under the license, they will be able to operate their blockchain and crypto operations. 

The Capital Markets, Insurance and Savings Authority, the country’s independent financial regulator, is now doing deep research on how they can regulate the operations of these companies by issuing a license. 

According to the report of Jerusalem, the director of the Israel Money Laundering and Terror Financing Prohibition Authority, Shlomit Wagman, shared his take on this initiative of the Israel government authorities and said that Anti Money Laundering (AML) rule will help this industry by keeping the illicit activities away. 

“The application of the regulations constitutes real progress for the Israeli economy, the fintech industry and for improving financial competition”

From time to time many reports indicated that Israel’s government worked much this year to regulate the crypto market to give a better ecosystem to their citizens and also ensure the protection of the investors. 

In July 2021, the Finance ministry department proposed a bill to restrict all the crypto buyers above $61,000, to report the tax declaration.

 And also Israel is a blockchain and crypto aware country because they are doing development work on the CBDCs. The pilot test of a digital shekel as of June 2021. 

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