Israel may ban trading in the shares of the cryptocurrency companies on the stock exchanges of tel Aviv, according to the Council of the Superintendency of securities of Israel (ISA).
The regulator proposed to amend the rules of exchanges to prohibit open trades on shares issued by companies that invest mainly in cryptocurrency and mining. If they are already traded at the stock exchange, will be excluded.
The ban does not apply to companies with capital of over 100 million shekels ($29 million).
The proposal to amend came after a sharp rise in shares of Mining Blockchain (BLCM.TA) — the company, which said it will pay less attention to the extraction of gold and iron, and will specialize in mining cryptocurrency.
According to representatives of the ISA, this phenomenon may have serious consequences for trading on the stock exchange in General and investor confidence in this trade.
«Stock prices of companies intending to work in the cryptocurrency sector, disconnected from their real value, said ISA. – The market considers its shares irrational».