Israel Approves First Regulated Shekel-Pegged Stablecoin BILS on Solana

Israel's Capital Market Authority approved BILS, the country's first regulated shekel-pegged stablecoin, on April 28, 2026, following a two-year pilot program conducted by Tel Aviv-based exchange Bits of Gold in collaboration with Solana, Fireblocks, and auditor EY. The approval comes as the global stablecoin sector has surged past $300 billion in 18 months, driven by formal regulatory frameworks in major markets, though U.S. dollar-pegged tokens maintain overwhelming dominance. The move addresses concerns about financial sovereignty as markets outside the U.S. seek alternatives to dollar-denominated blockchain payments, with currencies like the euro, yen, and Singapore dollar gaining traction. The Israeli shekel has appreciated more than 20% against the dollar over the past year, making it the best-performing currency among nations with GDP exceeding $250 billion, supported by a resilient technology sector and consistent macroeconomic management.

Israel's approval of the first shekel-pegged stablecoin BILS

• ▪Tel Aviv-based cryptocurrency exchange Bits of Gold received authorization to issue the BILS token.
• ▪Big Four consultancy firm EY provided auditing oversight for BILS.
• ▪Israel's Capital Market Authority granted approval for a stablecoin pegged to the shekel for the first time.
• ▪Israel's Capital Market Authority announced the BILS approval on April 28, 2026.
• ▪BILS was developed in collaboration with the Solana network and Fireblocks.
• ▪Bits of Gold underwent a two-year evaluation and pilot process before receiving authorization for BILS.

Global stablecoin market growth and dollar dominance concerns

• ▪Formal regulatory regimes in major markets such as the U.S. fueled the growth of the stablecoin sector.
• ▪The euro, yen, and Singapore dollar are beginning to gain traction in blockchain-based financial systems.
• ▪U.S. dollar-pegged tokens have overwhelming dominance in the stablecoin sector.
• ▪Markets outside the U.S. have concerns about losing financial and digital sovereignty if onchain payments default to dollars as their unit of account.
• ▪The stablecoin sector has surged to more than $300 billion in the last 18 months.

Shekel's strong performance among major currencies

• ▪The Israeli shekel is supported by a resilient technology sector and consistent macroeconomic management.
• ▪The Israeli shekel is the best-performing currency among countries with an annual GDP exceeding $250 billion.
• ▪The Israeli shekel gained more than 20% against the dollar over the past year.

Perspective of Israel's Capital Market Authority

• ▪The two-year evaluation and pilot process for BILS demonstrated Israel's commitment to thorough regulatory oversight of digital assets.
• ▪Israel's Capital Market Authority positioned the BILS approval as enabling innovation while maintaining financial stability safeguards.

Perspective of Non-U.S. financial sovereignty advocates

• ▪Countries outside the United States risk losing monetary policy autonomy if blockchain payments default to dollar-denominated tokens.
• ▪Shekel-pegged stablecoins like BILS represent a defense against U.S. dollar hegemony in blockchain-based payment infrastructure.

Perspective of Solana network

• ▪The BILS approval demonstrates Solana's capability to support government-regulated financial instruments at scale.

Perspective of Israeli technology sector

• ▪The shekel's 20% appreciation against the dollar creates favorable conditions for shekel-denominated digital financial products.

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