The Bank of Israel has launched a Technological Consultation process to gather input from potential vendors, technology experts and academics on how to deliver the capabilities of the proposed Digital Shekel System. The exercise is intended to deepen the Bank’s understanding of the technological feasibility and implementation options for key components of a multipurpose Central Bank Digital Currency (CBDC) design that is intended to serve both retail users and wholesale financial entities. Input is sought across six areas: the backend layer, secure transaction messages and communication, offline capabilities, payment authorisation including secure containers and cryptographic key management, an alias management system, and a fraud monitoring system. Respondents may address one or more topics, focusing on technologies or solutions that can enable the desired functionalities and address identified challenges. The Bank will hold an explanatory webinar for potential respondents on May 21, 2025 (16:00–17:15 Israel time) and reiterated that the consultation supports assessment of a potential future CBDC issuance, with no decision yet made to issue a digital shekel.

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