Bank

Boost

Rising Sun

Shekel

Challenge

<ul>
 <li>BoI’s Digital Shekel Challenge bridges traditional finance with Web3 tech, fostering innovation in Israel’s financial sector.</li>
 <li>Deputy Governor Abir highlights transparency as key to public support for Israel’s digital shekel CBDC.</li>
 <li>Privacy concerns pose challenges for Israel’s CBDC adoption, urging BoI to enhance data security measures.</li>
</ul>
In a bid to explore the concept of digital currency, the central Bank of Israel (BoI) has recently initiated the Digital Shekel Challenge which is inspired from the BIS Innovation Hub’s Project Rosalind.
Bank of Israel Initiates Innovative Digital Shekel Challenge
As Israel’s future digital central bank currency (CBDC), the <a href="https://www.boi.org.il/publications/pressreleases/a28-05-24/" target="_blank" rel="noopener noreferrer nofollow">project</a> aims to foster the development of a robust ecosystem for the digital shekel. Israel’s business, public, and academic sectors are among the varied entities that are invited to participate in the Digital Shekel Challenge.&nbsp;
Participants will engage in a three-phase program that includes application submission, access to a new network infrastructure, and final presentations to a panel of judges, signalling a collaborative effort to innovate real-time CBDC payment solutions.
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 The Bank of <a href="https://twitter.com/hashtag/Israel?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#Israel</a> has launched a digital shekel <a href="https://twitter.com/hashtag/CBDC?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#CBDC</a> experiment inspired by Project Rosalind from the <a href="https://twitter.com/hashtag/BIS?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#BIS</a> Innovation Hub. The initiative, called the "Digital Shekel Challenge," involves creating an advanced digital payments ecosystem using a <a href="https://twitter.com/hashtag/sandbox?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#sandbox</a> environment and <a href="https://twitter.com/hashtag/APIs?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#APIs</a>,… <a href="https://t.co/a1ib1xGuj8" rel="noopener noreferrer nofollow">pic.twitter.com/a1ib1xGuj8</a>— TOBTC (@_TOBTC) <a href="https://twitter.com/_TOBTC/status/1795768599283720584?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">May 29, 2024</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
Bridge between Traditional Finance and Web3
Shauli Rejwan, Managing Partner at Masterkey Venture Capital, highlighted the initiative’s potential to bridge the gap between the traditional financial sector and emerging Web3 technologies.&nbsp;
Despite focusing primarily on centralised finance, Rejwan emphasised the project’s role in fostering innovation and integration within the financial landscape. Deputy Governor Andrew Abir expressed optimism about public support for the digital shekel, underscoring its potential benefits for the economy.&nbsp;
He emphasised transparency in the development process, reassuring stakeholders that the BoI would uphold accountability and reliability, distinguishing the digital shekel from anonymous cryptocurrencies like Bitcoin.
Problems &amp; Privacy Issues
Although there is excitement, stakeholders have expressed worries about data security and privacy. The BoI should address the dangers connected to CBDCs in order to guarantee their widespread adoption and acceptability.&nbsp;
In order to improve Israel’s financial infrastructure through technological innovation, the Digital Shekel Challenge is a critical first step. Participants in the project expect revolutionary advancements in digital payment methods as it moves forward, demonstrating Israel’s resolve to remain at the forefront of financial technology.
<h4 class="wp-block-heading" id="h-read-also">Read Also:</h4>
<ul class="wp-block-yoast-seo-related-links">
 <li><a href="https://cryptonewsland.com/israels-web3-community-creates-crypto-aid-israel-for-humanitarian-relief/" rel="noopener noreferrer nofollow">Israel’s Web3 Community Creates “Crypto Aid Israel” for Humanitarian Relief</a></li>
 <li><a href="https://cryptonewsland.com/israel-to-trial-cbdc-on-ethereum-blockchain/" rel="noopener noreferrer nofollow">Israel to Trial CBDC on Ethereum Blockchain</a></li>
 <li><a href="https://cryptonewsland.com/israel-cracks-down-on-crypto-seizes-190-binance-accounts-linked-to-terrorism/" rel="noopener noreferrer nofollow">Israel Cracks Down on Crypto, Seizes 190 Binance Accounts Linked to Terrorism</a></li>
 <li><a href="https://cryptonewsland.com/chainlink-and-pitangos-first-labs-unveil-summit-and-hackathon-to-boost-web3-development-in-israel/" rel="noopener noreferrer nofollow">Chainlink And Pitango’s First Labs Unveil Summit And Hackathon To Boost Web3 Development In Israel</a></li>
 <li><a href="https://cryptonewsland.com/cbdc-to-emerge-in-the-land-of-the-rising-sun/" rel="noopener noreferrer nofollow">CBDC To Emerge in the Land of the Rising Sun</a></li>
</ul>
The post <a href="https://cryptonewsland.com/bank-of-israel-launches-digital-shekel-challenge-to-boost-cbdc-development/" rel="noopener noreferrer nofollow">Bank of Israel Launches Digital Shekel Challenge to Boost CBDC Development</a> appeared first on <a href="https://cryptonewsland.com" rel="noopener noreferrer nofollow">Crypto News Land</a>.

Bank of Israel Launches Digital Shekel Challenge to Boost CBDC Development

Crypto News Land

Other articles published on May 29, 2024

Crypto’s Capitol Consensus: Senator Lummis’s Insights

PayPal Announces Integration of PYUSD Stablecoin with Solana Blockchain

OKX’s 19th PoR Report; $22.5 Billion in Primary Assets

Solana (SOL)'s Bearish Trends, Shiba Inu (SHIB)'s Key Developments, and Furrever Token's Growth: ...

$TRUMP Hits All-Time High: Whale Makes $540K in Unrealized Profits

Nearly 50% of US voters want cryptocurrencies in their portfolios!

Join our free newsletter for daily crypto updates!