The Bank of Israel's Steering Committee on the Potential Issuance of a Digital Shekel has outlined possible scenarios for the development and deployment of a CBDC, a digital shekel called “SHAKED.” The bank is preparing an action plan for the potential issuance of a CBDC, though a formal decision has not been made. Possible drivers of CBDC development include increased stablecoin activity, which may impair the payment system and harm the monetary transmission, and a decline in the use of cash in Israel, which may result in a shift away from using central bank fiat. The Bank of Israel is monitoring the situation in preparation for advancing the digital shekel. (Cointelegraph)