Full coverage· Economy· Updated
Netanyahu Considers Crypto to Evade Sanctions, Economy Warns of Fallout
Prime Minister Benjamin Netanyahu proposed using cryptocurrencies and blockchain technology to bypass potential international sanctions against Israeli banks, drawing widespread criticism from economic experts, academics, and the Bank of Israel. The proposal follows a UK-led initiative involving 12 countries to impose sanctions related to Jewish terror and activities in Judea and Samaria.
5 newsrooms · 2 languages · since
What happened
- 01Prime Minister Benjamin Netanyahu proposed using cryptocurrencies and blockchain technology to bypass potential international sanctions against Israeli banks.
- 02The Bank of Israel rejected the proposal, stating that cryptocurrencies cannot provide a pathway to circumvent international sanctions.
- 03The proposed sanctions stem from a UK-led initiative involving 12 countries targeting Jewish terror and activities in Judea and Samaria.
- 04Former anti-money laundering chief Shlomit Wagman-Ratner warned the plan would turn Israel from a nation fighting sanctioned entities into one evading sanctions.
- 05Economic experts cautioned that the cryptocurrency plan is impractical and could severely damage foreign trade, investments, and economic stability.
- 06Netanyahu clarified that cryptocurrencies are only one possible tool among others and that no final decision has been made to use them.
The Bank of Israel issued a statement asserting that cryptocurrencies cannot provide a pathway to circumvent sanctions, emphasizing that the government's primary responsibility is to prevent sanctions from being imposed. Experts warned that while cryptocurrency may offer a technical means for fund transfers, it cannot replace the trust and banking relationships essential for economic stability.
Former Israeli anti-money laundering chief Shlomit Wagman-Ratner also criticized the plan, warning that it would shift Israel's position from a nation fighting sanctioned entities, such as Iran, to one evading sanctions itself. She described the prospect of international bodies chasing Israel instead of those who fund terror as an indescribable irony.
In response to the criticism, Netanyahu stated that cryptocurrencies are one of several potential tools and that it is not certain Israel will use them. He acknowledged the objections but maintained that he would consider all options to ensure Israel's economic prosperity.
Summarized by baba from the reports of 3 newsrooms. Updated
Latest report: Davar. Read Davar’s originalThe coverage
5 newsrooms on this story
Who covered it
- Left1
- Centre1
- RightNone
- HarediNone
- Arab2
- Other1
How it broke
How the headlines differ
Netanyahu Considers Crypto to Evade Sanctions, Economy Warns of Fallout
