The digital bank controlled by Prof. Amnon Shashua announced today (Sunday) that it is starting a pilot

The digital bank controlled by Prof. Amnon Shashua announced today (Sunday) that it is starting a pilot for the bank's activities. This is the first time in 43 years that a new bank has been established in Israel.
3 years ago Marius Nacht decided to set up a digital bank, but in May last year he retired from the venture, and Amusement became the main controlling shareholder and undertook to inject a total of $ 60 million as equity of the bank.
The digital bank already has a banking license from the Bank of Israel, it currently has 140 employees, it has signed a credit card issuance agreement with Isracard and has joined as a stock exchange member on the stock exchange, in preparation for activities it intends to launch in the capital market.
The pilot will include several hundred participants, be expanded by a further 1,000 people during the third quarter, and open to the general public towards the end of the year. At this stage, the pilot includes all basic banking services, and later on, the launch of activities in the securities field is also planned.
The digital bank says that the added value they bring is in the field of technology based on artificial intelligence, against the background of a record of amusement in the field with its other ventures, led by Mobilai in the automotive field, and Orcam - which provides solutions for the visually impaired.
"The artificial intelligence revolution is already here, and now it's coming to banking. The banking system is thirsty for innovation and competition after freezing on the yeast for many years. We have built a groundbreaking technology in order to assimilate it in the global market as well," said Shashua.
The digital bank faces a challenge: despite the negative atmosphere against the banks, the transition rates between the banks are quite low and are estimated at 4% per year. An interbank bank transfer system due to be launched in September may increase the transfer rate.
Today there is already a digital bank - Pepper of Bank Leumi. Leumi points out that Pepper is a great success, although the banking system states that they do not feel that Pepper caused any shock to market shares. The Digital Bank emphasizes that although there is today a digital bank in the form of Pepper, they still bring in the line because they do not belong to any of the traditional banking groups, and also bring in the line in the field of technology and innovation.
According to Digital Bank CEO Gal Bar-Dea, “Netflix has killed Blockbuster, Spotify has disrupted the music industry and Tesla has left dust on Ford and Mitsubishi. The banking industry is among the few industries that have not undergone a revolution. Big and old brands dominate the market with too little competition and offer exactly the same products. "