Startups in Israel Reached $600 M in 2018 from ICOs
One Alpha is an analysis and research company that has been looking into cryptocurrencies, ICOs, and blockchain-based initiatives internationally over the course of this year. They are aiming at providing a complete overview of the position of blockchain technology and ICOs, with a specific focus on the Israeli market.
The study included the number of blockchain startups currently active in Israel, which stands at 140 companies, and when added to other investment firms, they have all raised a total of $1.3 billion in funds.
The report stated that over 60% of the firms and 88% of the total funds are related to ICOs. Furthermore, the numbers from the token sale exceeded the funds gathered from startups in the industry by conventional angel investors and seed funding during that time as well.
An Increase from Last Year
This year’s total shows a noticeable increase from last year’s figures, which is in alignment with the continuing growth in ICOs which has been seen in 2018. However, this increase was not a big jump for ICOs in Israel as findings show that Israeli startups reached a total of $586 million in 2017 with less than twenty total token sales.
The Chief Executive Officer of One Alpha, Yaniv Feldman, expressed that these numbers represent the overall strength behind blockchain technology in Israel in a more broad light.
He continued to say that Israelis are currently less than 0.1% of the worldwide population and for them to be raising 3-5% of international ICO fundings is for sure a representation of how important they are when it comes to innovation in the world of blockchain technology.
This year saw a number of regulators in Israel attempting to clarify where they stand on issues in relation to cryptos and blockchain projects. Last March, for instance, the ISA suggested certain rules that would differentiate between utility tokens and cryptocurrency assets considered to be a form of securities, a step that followed a draft that was released a few months before consideration regarding the taxation process of ICOs.
Feldman noted that Israel is not really interested in becoming overly friendly with cryptos going forward, in comparison to places like Malta or Gibraltar. He stated that the country would just rather see governments start regulating the industry more in a way that supports local companies, particularly US regulators.