Bank of Israel is testing possible CBDC on Ethereum

English Jun 24, 2021

According to BNN Bloomberg, Israel's central bank reportedly completed tests for a central bank digital currency (CBDC) using Ethereum technology.

The test was carried out in an experimental and closed environment, based on the Ethereum architecture, involving the experimental issuance of tokens representing digital shekels and their transfer in digital wallets.

As part of its pilot, the BOI successfully tested its ability to schedule a transfer of car ownership certificate using non-fungible digital tokens (NFT). The transaction was instantaneous, without any risk or need for a central or fiduciary intermediary.

Finally, the BOI asked industry players to propose smart applications that could be prospectively built on the infrastructure of a future digital shekel.

The mature stance of the Israeli government in experimenting with Ethereum reflects the importance of seeking a fairer and more democratic future society, betting on the benefits of using decentralized technologies over existing centralized ones, resulting in the creation of a complete ecosystem for the digital shekel , which operates harmonically with other cryptoassets.


Morel Hernandes

Writer passionate about politics, economics, blockchain and crypto-currencies.