developing· Politics· Updated 18:27

Netanyahu Stuns With Call for Crypto Economy to Bypass Sanctions

Prime Minister Benjamin Netanyahu has sparked intense debate after calling on Israel to prepare for a potential cutoff of U.S. security aid and international economic sanctions by developing an alternative "bypass economy" based on cryptocurrency and blockchain technology. Netanyahu stated that U.S. aid is temporary and that Israel must prepare for a rainy day by achieving armament independence and strengthening regional alliances. He acknowledged that disconnection from the global banking system is a plausible scenario following recent UK sanctions against communities in Judea and Samaria.

3 newsrooms · 1 language · since 14:12

Plus

Netanyahu Stuns With Call for Crypto Economy to Bypass Sanctions — Illustration by baba

What happened

01Prime Minister Benjamin Netanyahu urged Israel to prepare for a potential U.S. aid cutoff and international sanctions by developing a cryptocurrency-based alternative economy.
02Netanyahu stated that U.S. security aid is temporary and that Israel must achieve armament independence.
03National Economic Council head Professor Avi Simchon confirmed that Netanyahu is seriously contemplating the possibility of international sanctions.
04High-tech and finance industry leaders warned the plan would destroy the Israeli economy and compared it to the models of Iran and North Korea.
05Economist Yaron Zelekha strongly criticized the proposal, calling it an absurd disgrace and urging the government to focus on the cost of living.
06The proposed bypass economy would utilize blockchain technology to circumvent potential banking sanctions and international money transfer blocks.

While Netanyahu's advisors, including National Economic Council head Professor Avi Simchon, confirmed that the Prime Minister is seriously considering these scenarios due to shifting global politics, the proposal has faced fierce backlash. High-tech and finance industry leaders warned that such a move would isolate Israel, destroy its modern economy, lead to mass unemployment, and cripple the crucial high-tech sector, comparing the proposal to the economic models of Iran and North Korea.

Economist Professor Yaron Zelekha also strongly criticized the plan, calling it absurd, a disgrace, and an irrelevant virtual plan. Zelekha urged Netanyahu to focus on immediate domestic economic issues, such as the rising cost of living, rather than preparing for banking sanctions with cryptocurrency.

Summarized by baba from the reports of 3 newsrooms. Updated 18:51

Latest report: Channel 13. Read Channel 13’s original