Israel’s Central Bank Chief Warns Stablecoins Are Now Systemic as Digital Shekel Advances

Bank of Israel Governor Amir Yaron declared that stablecoins can no longer be considered marginal due to their systemic risks, citing a market capitalization over $300 billion and monthly transaction volumes exceeding $2 trillion. Speaking in Tel Aviv, Yaron emphasized the need for enhanced regulatory oversight, pointing out concentration risk as 99% of activity is controlled by Tether and Circle. He outlined necessary priorities for stablecoin issuers and supervisors, including full 1:1 reserve backing, liquid reserve assets, and a scalable regulatory framework. Concurrently, Yoav Soffer, head of the Israeli digital shekel project, released a 2026 roadmap indicating an intention to provide official recommendations by year-end, suggesting the digital shekel will become "central bank money for everything."

(Source：CoinDesk)