Tel Aviv Stock Exchange (TASE) About to Restructure & Create Crypto Platform

B. Ali
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The Tel Aviv Stock Exchange (TASE) demonstrated its willingness to restructure the exchange’s ownership structure and develop a blockchain platform to facilitate increased cryptocurrency trading. This step’s goal is to meet international standards. The TASE exchange, which debuted in 2019, announced the formation of a new publicly traded holding company that will own 100% of the exchange, effectively making it a private entity.

The exchange will have subsidiaries in the form of holding company units. It stated that, while its board had approved the idea, approval from the regulator and TASE shareholders was still pending. TASE stated in its five-year strategy that it plans to focus on organic growth and attract foreign investors by increasing the number of foreign goods traded and cleared on the market, including the relaunch of derivatives futures.

The exchange also stated that it will make every effort to create a platform for digital assets based on distributed ledger technology, also known as blockchain. As a result, digital assets could be traded while specialized technology services could be exported to smaller overseas exchanges.

Tel Aviv Stock Exchange Is Now the Latest Exchange to “Adopt” Crypto

TASE announced on October 24 that the development of a blockchain-based platform will allow us to expand our trading services to cryptocurrencies and other digital assets as part of a new strategic plan for 2023 to 2027. The crypto community in Tel Aviv, as well as the rest of the world, will benefit from this. However, as previously stated, the adoption includes a comprehensive five-year strategy that will cover both smart contracts and the tokenization of various types of digital assets.

TASE will encourage the use of cutting-edge technologies such as DLT, tokenization of various types of digital assets, and smart contracts. It is worth noting that the Tel Aviv Stock Exchange intends to investigate a number of potential courses of action, such as converting current infrastructure to cutting-edge technologies, integrating cutting-edge technologies into specialized platforms, providing a variety of services and goods for digital assets, and more. The exchange’s adoption decision on October 24 predicts the eventual development of technology services and solutions for other blockchain-oriented exchanges and market participants.

This may allow it to easily expand its market reach and develop into a thriving exchange appealing to traders worldwide. TASE subsidiaries, on the other hand, will be part of the new holding company. The new structure will include a holding company and multiple subsidiaries, according to the Tel Aviv Stock Exchange (TASE).

Revenue Generation, Sustainability & Transparency

Organic growth is expected to generate 10% to 12% CAGR (Compound Annual Growth Rate) revenue over the next five years, according to TASE’s five-year strategy. Since TASE will become publicly traded, its strategic investment or purchase methods will represent areas of shared values in its activities. One of these potential investments or purchases could be the proposal to acquire overseas and small exchanges. It’s also worth noting that they recently worked with Israel’s Finance Minister to test a blockchain-based trading platform for digital bonds. The Ministry of Finance will issue the bonds, but TASE wants to save money and make it easier to issue national bonds under the name Eden.

Toward the Adoption of Cryptocurrencies

In September, the Tel Aviv Stock Exchange (TASE) announced its partnership with the Bank for International Settlements (BIS) and other central banks. The use of central bank digital currencies (CBDCs) for international retail and remittance payments, on the other hand, was the subject of an independent investigation. As a result, these alliances were pivotal in the ultimate acceptance of cryptocurrencies because they amplified the TASE emphasis and growth ambitions.

About B. Ali PRO INVESTOR

Live webinar speaker and derivatives (Forex, Crypto, and Indices) analyst with a broad range of skills for evaluating financial data, investment trends, technical analysis, fundamental analysis, and the best ways to strategies investment selection.  Expertise: Trading Psychology; Speculative Positioning & Market Sentiment; Technical & Fundamental Analysis.