One may say the adoption of cryptocurrencies in Israel is high, although the country falls behind the regulations around the world. Cryptocurrency is still not a legal tender and defined as a financial asset.
Government View
Although the government does profit from taxation on cryptocurrencies it does not regulate the issue and private banks are not allowed to deposit high amounts of money without a wide report about its whereabouts.
The Israeli government has announced a new act against money laundering and financial aid for terror organizations through cryptocurrencies. The new act also defines a privacy regulation and demands the individuals who trade with cryptocurrencies to display their identity and their financial background.
In terms of taxation, individuals who trade cryptocurrencies would need in 25% tax on their profits.
Trading Methods
Trading
Privacy
A new act from February 2021 requires individuals and organizations to display their identification and financial background, before dealing with crypto, towards the authorities.
