Tel Aviv Stock Exchange to Restructure and Create Crypto Platform

The crypto adoption spree seems to be gaining credence daily as big set-ups and government agencies now create subtle changes in preparation for its inevitable adoption.

Julian Sawyer, the CEO of Bitstamp, Described Crypto as an Asset That Is Being Adopted at an Unprecedented Rate

In a statement, she said:

“We’ve seen interest propel in the years since the pandemic, and crypto is now part of the wider conversation in global macro-economic matters.

“Our survey shows something we have advocated over a long time: talking about the survival of digital assets is firmly over – the question is now about evolution”.

The Tel Aviv Stock Exchange (TASE) Becomes the Latest “Adopter” of Crypto

Of course,  this is a plus to the crypto community in Tel Aviv & the world at large. The adoption features a robust five-year plan that includes the tokenization of various classes of digital assets and smart contracts.

The exchange stated that:

“TASE will promote the implementation of innovative technologies, including DLT, tokenizing of various classes of digital assets and smart contracts. TASE intends to examine multiple potential action plans, including conversion of existing infrastructure to innovative technologies, deployment of innovative technologies into specialized platforms, offering a basket of services and products for digital assets and more.”

The October 24 adoption move by the exchange captures the eventual development of blockchain-inclined technological solutions and services to other exchanges and market participants. This could expand its market reach seamlessly and grow into a bourgeoning exchange with global appeal for traders. 

TASE subsidiaries will, however, act as units of the new holding company. “The new structure will consist of a holding company with several subsidiaries (both existing subsidiaries and subsidiaries that will be established to further the goals of the plan),” said TASE.

Plans on Revenue Generation, Sustainability & Transparency

Based on its five-year plan, a 10% to 12% CAGR (Compound annual growth rate) revenue target is to be accrued from organic growth. Because TASE will be going public, its strategic purchase or investment modalities will reflect the areas of collective values in its activity.

And one of these possible purchases or investment moves could be the acquisition plan of foreign and small exchanges. 

Recently, they partnered with Israel’s Minister of Finance to test a blockchain-backed platform for digital bond trading. Although the Ministry of Finance will be responsible for issuing the bonds, TASE aims to lower costs and facilitate the issuance of national bonds under the name Eden.

Build Up to the Crypto Adoption

You should recall that, in September, TASE announced its partnership with the Bank for International Settlements (BIS) and other central banks. However, this was an attempt to unilaterally study the use of central bank digital currencies (CBDCs) for international retail and remittance payments. 

These partnerships were the tipping point for the eventual crypto adoption because they re-echoed the TASE focus and growth ideals in loud tunes. 

TASE crypto adoption and its five-year plan is coming on the heels of a critical analysis of the current industry trends.