Experts Warn Netanyahu Against Crypto Solution to Sanctions
Translated & summarized from i24NEWS French by baba
Over 100 Israeli experts, including Nobel laureates, warned Prime Minister Benjamin Netanyahu on Sunday against using cryptocurrencies to counter international banking sanctions. They stated the proposed solution would be ineffective and could lead to severe economic paralysis, impacting everything from daily transactions to foreign investment and healthcare imports. The experts' concerns echo a similar warning previously issued by the Bank of Israel.
The story in 6 lines · by baba
- 109 Israeli experts warned Prime Minister Netanyahu against using cryptocurrencies to bypass sanctions.
- Experts believe a cryptocurrency solution would be ineffective and could paralyze Israel's economy.
- Potential consequences include inability to use credit cards internationally and inaccessibility of online platforms.
- The health sector could face import difficulties for medicines and medical equipment.
- Foreign investment may collapse, unemployment could rise, and high-tech exports could be paralyzed.
- The experts called the crypto solution 'strange' and associated with criminal organizations.
More than 100 Israeli economists, business leaders, and former senior officials issued a joint warning on Sunday, cautioning Prime Minister Benjamin Netanyahu against using cryptocurrencies to circumvent potential international banking sanctions. The signatories, including two Nobel laureates, argued that such a strategy would be ineffective and could paralyze Israel's economy.
They expressed grave concern that exclusion from major international banking circuits could prevent Israelis from using credit cards for international transactions and make online platforms like Amazon and AliExpress inaccessible. The health system could face difficulties importing essential medicines and medical equipment. Foreign investment might collapse, unemployment could rise sharply, and export-oriented companies, particularly in the high-tech sector, could see their operations halted.
Notable signatories included Nobel laureate Joel Mokyr, Nobel laureate Aaron Ciechanover, and former Bank of Israel Governor Jacob Frenkel, alongside former Finance Ministry and central bank officials and tech entrepreneurs. They described the proposed cryptocurrency solution as "strange" and typically associated with criminal organizations, stating it would be "of no use" against significant international sanctions.
The experts accused Netanyahu of risking considerable and irreversible economic damage and leading Israel toward isolation. This warning follows a similar caution from the Bank of Israel regarding the ineffectiveness of cryptocurrencies in bypassing sanctions.
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