Tel Aviv Stock Exchange moves toward offering crypto trading
A draft for the approval of an expansion of crypto trading activities to non-banking members has been published by the Tel Aviv Stock Exchange (TASE) for public comments.
In a TASE first, a Feb. 27 announcement stated the proposed structure will enable customers to deposit fiat money designated for investments in digital assets.
Non-banking members will act as licensed providers for crypto trading and custodial services should the proposal be approved. Customer funds will be placed in an “omnibus account” as the intermediary for crypto trading activities.
It will also allow clients to withdraw funds originating from the sale of crypto but the process is somewhat convoluted. This has been done to mitigate risks and enhance consumer protection, according to the announcement.
Once comments have been submitted, the proposal will be sent for approval by the TASE Board of Directors, however, no timeframe was provided.
Things may not go so smoothly for the Tel Aviv Stock Exchange and its crypto trading ambitions, however.
The regulatory outlook in Israel is becoming harsh for the sector as a proposed law plans to classify crypto assets as securities. In January, the Israeli Securities Authority (ISA) proposed a framework for regulating digital assets, placing them under the umbrella of securities.
In February, the CEO of Israeli crypto trading and custody firm Altshuler Shaham Horizon, Ilan Sterk, told Cointelegraph that the reclassification is “changing everything here,” and added, “it will kill the industry.”
Related: Proposed Israeli law to classify crypto as securities will hurt the industry, says crypto exec
The TASE announcement stated the current regulatory approach in Israel is to “impose regulation on financial
Read more on cointelegraph.com
