Israel's Crypto Industry Calls for Comprehensive Regulatory Reform

The Israeli crypto industry is at risk of losing companies and talent unless the government adopts comprehensive digital-asset legislation, according to Nir Hirschmann Rub, CEO of the Crypto Companies Forum. The country is significantly behind schedule compared to the US, where regulators have provided clearer rules for digital assets.

Hirschmann argues that Israel's regulatory barriers are pushing entrepreneurs abroad, where they can operate in a more stable business environment. A recent KPMG study found that removing these barriers could generate an additional NIS 110-120 billion in GDP over a decade and create 70,000 jobs.

The government has stalled on passing legislation for a Digital Assets Law and a Stablecoins Law, which were deemed necessary as early as 2023. Hirschmann urges the government to consolidate existing bills and complete them within the first 100 days of the next government.