The Israeli Ministry of Finance will establish a working team on digital currencies together with the heads of the big accounting firms and relevant professional chambers, Bitcoin News reported.
The decision was made at a meeting initiated by Finance Minister Moshe Kahlon with the same bodies, where they acknowledged that Israel has not prepared well enough to handle the issue of digital currencies so far.
Israeli serial entrepreneur and vocal Bitcoin (EXANTE: Bitcoin) advocate Moshe Hogeg, who met with the Finance Minister last month, said: “We are leading this with the minister and very happy to see he is all for it.”
As for a potential timetable, he added: “The committees will begin their operations very fast. In my opinion, we will see results on the ground in up to six months.”
In June the Tel Aviv district court ruled that banks can deny service to Bitcoin-related ventures, such as exchanges due to the banks’ inability to verify their own KYC and AML obligations before the law.
In the beginning of the year, the Israeli Tax Authority determined that if Bitcoin is not legally defined as a currency, the sale of it will be subject to a number of taxes that can severely hurt adoption.