Israel Is Reportedly Considering Getting Into The Cryptocurrency Game

With the rising influence of cryptocurrency practically in every financial industry, it’s no surprise that central banks of certain countries are considering getting in on the action. The newest one to consider doing so is reportedly the Bank of Israel. Nothing has been officially confirmed, but it would be a huge boost to the legitimacy of cryptocurrency if this ends up being true.

The report came from a recent article by Reuters, which got the information from a source inside the bank. According to the source, the decision involves issuing some form of cryptocurrency, which is intended to make payment faster. It could also work to reduce the number of physical currency in the market.

Apparently, if the central bank gave the proposal the green light, the government is already on standby to include it in the budget for 2019. Although nothing has been confirmed, this kind of development could lead to cryptocurrency becoming a legitimate currency that would then be handled by central banks all across the world.

Of course, this would make it different from the kind of cryptocurrency such as Bitcoin, since those are largely decentralized. It’s quite unlikely for governments to allow for such a system since it provides them with less control.

There are also those who are opposed to the idea of even a centralized kind of cryptocurrency, Futurism reports. One prominent example is Bank of England governor, Mark Carney who recently spoke at the British parliament and expressed his concerns over the financial impact of such a system.

“You create a situation where you can have an instantaneous run. So as soon as there were any concern, people can switch in their account at the Bank of England … There are many talents of the Bank of England, but I think credit allocation across the entire economy would not be a good idea,” told attendees.