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Bank of Israel and Economists Rebuke Netanyahu's Proposal to Use Crypto Against Sanctions

Israel

Amir Cohen/Reuters

Amir Cohen/Reuters

What Happened

Prime Minister Benjamin Netanyahu warned Israel should prepare for the eventual end of the tens of billions in U.S. military aid, saying it "won't" continue. He said he has ordered officials to draft a plan to use blockchain and digital currencies to help bypass potential banking sanctions.

What Happened

Prime Minister Benjamin Netanyahu warned Israel should prepare for the eventual end of the tens of billions in U.S. military aid, saying it "won't" continue. He said he has ordered officials to draft a plan to use blockchain and digital currencies to help bypass potential banking sanctions.

Where Sources Agree

  • arrows_inputFuture of Military Aid: Initial reports confirm that Prime Minister Benjamin Netanyahu warned Israel can no longer assume continued US military defense funding, stating that the country should prepare for the eventual end of tens of billions of dollars in aid because America has changed.
  • arrows_inputBlockchain for Sanctions Evasion: Outlets concur on the development of a blockchain-based strategy to bypass potential banking sanctions, per Prime Minister Benjamin Netanyahu.
  • arrows_inputSanctions Database Tracking: Most reporting highlights the Jewish People Policy Institute’s tracking of 139 international measures against Israel as a primary indicator of global pressure, noting 111 of these are currently active, according to JPPI records.

Where Sources Disagree

  • arrows_outputUS Measure Count Discrepancy: Reports vary regarding the number of JPPI-recorded measures against Israel within the United States; one account cites eight academic-focused measures, while another recent survey identifies 15 total restrictions.
  • arrows_outputUK Measures Count Discrepancy: Reports citing the Jewish People Policy Institute database differ on the number of measures recorded against Israel in the United Kingdom, with some sources listing seven measures and others identifying eight.
  • arrows_outputUS Measures Characterization: Some data breakdowns specify that US measures against Israel are limited to academic restrictions rather than government economic sanctions. In contrast, general assessments categorize US actions as part of the broader sanctions and diplomatic restrictions tracked in global databases.

Timeline

October 23, 2026

Crypto sector responds cautiously: Also reported on Friday, Nir Hirschman, CEO of the Crypto Companies Forum, welcomed government exploration of crypto and blockchain solutions but warned these technologies are not a means to hide transactions and emphasized transparency and regulatory cooperation.

October 23, 2026

Netanyahu orders blockchain contingency: On Friday (reported October 23, 2026) Prime Minister Benjamin Netanyahu said he had asked for a plan to use blockchain and digital currencies to help Israel circumvent possible banking and financial sanctions, and warned that the tens of billions in US defense aid secured previously would not continue indefinitely.

October 18, 2026

JPPI documents global measures: On October 18, 2026 the Jewish People Policy Institute published a database recording 139 measures across 64 countries and entities, of which 111 were classified as active, mapping the global spread of sanctions and restrictions affecting Israel.

Perspectives and Debates

Is Netanyahu's crypto proposal mainly a sanctions workaround or part of broader strategic preparation?

Summary by Ground AI

A varied selection of sources chosen by Ground to reflect the diversity of this story’s coverage.

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