Earlier this month, the first-ever National Crypto Conference was held at the Israeli Knesset, initiated by the Forum of Crypto, Blockchain, and Web3 Companies. The conference aimed to present the interim report of the National Crypto Strategy Committee and to rally members of Knesset, from the coalition and opposition, around a much-needed strategic move: to remove barriers, regulate the space, and position Israel as a global hub for digital assets and stablecoins [privately-issued digital money with a constant value of $1 per token].
The event took place against the backdrop of a growing national deficit and ongoing geopolitical instability – making the need for resilient, smart, and agile economic infrastructure more urgent than ever.
Stablecoins as a tool for economic growth
In such a reality, where the economy must generate new engines of growth, stablecoins have evolved from an experimental idea into a foundational tool for supporting economic resilience and growth – just as we’re seeing across the global economy. In the United States, the GENIUS Act has created the first formal legal framework for institutional use of stablecoins.
US President Donald Trump has pushed forward plans for a national digital reserve and appointed a crypto czar, while major banks such as Bank of America are preparing to launch their own digital currencies. Europe is also advancing legislation aimed at removing barriers, promoting competition, and establishing regulatory clarity.
The message is clear: stablecoins – digital assets pegged to a fixed value – have moved from theory to practical, secure payment infrastructure. Unlike Bitcoin, they maintain price stability, making them a viable and trusted payment method even for traditional financial institutions.
Stablecoin revolution transforming the economy
According to a recent report based on a survey of 300 senior decision makers across banking, fintech, and crypto, the trend is unmistakable. Ninety percent are already exploring or implementing stablecoin-based payments, and 49% are actively using them. The total market cap of stablecoins stands at $243 billion and is expected to grow eightfold in just three years. On the Fireblocks platform alone, over $1.5 trillion in stablecoin transactions are processed annually – roughly 15% of the global stablecoin volume.
Crucially, this revolution is not just technological – it is strategic and social. Stablecoins are transforming the rules of the global economy: streamlining payment systems, reducing reliance on intermediaries, and empowering businesses of all sizes to access markets directly and efficiently.
In Israel, the potential is just as clear. According to recent estimates, around half a million Israelis currently hold digital assets. Over 160 companies in the crypto and blockchain sectors employ more than 2,500 professionals, serving a community of more than 500,000 active users. In the past year alone, the number of active users of crypto platforms has risen by about 30%, transactions have more than doubled, and new account openings have increased by over 120%.
A notable shift is also happening in attitudes toward regulation. Two years ago, 85% of industry respondents viewed regulation as a major obstacle. Today, that number has dropped to just 25% – a direct result of clear regulatory frameworks being adopted in more and more countries. Israel can still catch this wave and leverage it for growth, just as other leading economies are doing.
Israeli innovation is already deeply embedded in the digital economy. Now, Israel has a unique opportunity to implement supportive regulation, adjust tax policy, and officially recognize the field – thereby realizing its full potential, leveraging its unique strengths, and stepping confidently into a leadership role in the global digital transformation.
The writer is co-founder and chief product officer at Fireblocks – an enterprise-grade platform delivering a secure infrastructure for moving, storing, and issuing digital assets.