A few sources with connections to the Finance Ministry say the government wants a national cryptocurrency to reduce the underground market industry.
A digital currency would make this less possible.
Israel is also considering new laws that would reduce the amount of paper cash in the country. One of these laws would make it illegal to pay workers wages in cash and the digital currency would replace this.
The government wants to pass the ‘Economic Arrangements Bill, which would create a separate board for banks to create a digital currency.
An Israeli crypto wallet company, Colu, is also involved with the legislations with the government.
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