Peace Council Explores Launch of Stablecoin to Revitalize Gaza's Economy

Informed sources have revealed ongoing efforts by officials in the Gaza Strip's Peace Council, established by US President Donald Trump, to explore the possibility of issuing a stablecoin. This initiative, still in its preliminary stages, aims to rebuild the economic structure in the Strip after the widespread devastation caused by the Israeli war and to provide secure financial alternatives for the residents.

The sources indicated that the shift towards digital currencies came as a result of the severe damage inflicted upon the traditional banking system and conventional payment networks within Gaza. The value of this currency is planned to be pegged to the US dollar to ensure its stability, with Palestinian and Gulf companies possessing extensive technical expertise providing the necessary technical and logistical support for the operation of this ambitious project.

These technical efforts are led by Israeli businessman and former reserve officer Liran Tankman, who serves as a volunteer advisor to the Peace Council, in coordination with the 14-member National Committee for Gaza Strip Management. The office of the High Representative for Gaza, Nikolay Mladenov, is also participating in drafting the executive vision for this currency, which aims to facilitate daily commercial exchanges without the need for physical cash.

These economic developments come at a time when the Gaza Strip faces severe humanitarian and field challenges, with human rights reports documenting approximately 1808 violations committed by the Israeli occupation since the ceasefire declaration last October. These breaches have led to the martyrdom of 641 individuals and the injury of over 1600 Palestinians, placing economic stabilization efforts at the mercy of ongoing security tensions.

On the political front, the Peace Council held an extensive meeting in Washington in mid-February, where international powers pledged a funding package of up to $17 billion for reconstruction. This coincides with the start of training a new police force affiliated with the National Committee for the management of the Strip, in implementation of Security Council Resolution 2803, which regulates the Council's tasks in monitoring de-escalation and managing the transitional phase.

Despite these ambitious plans, field obstacles continue to hinder the flow of aid, with only 259 trucks entering daily out of 600 agreed-upon trucks. The issue of movement through the Rafah crossing also suffers from extreme slowness, as only 40% of expected travelers have been able to leave the Strip since early February, amidst Palestinian demands for a complete Israeli withdrawal from vital areas to enable economic recovery plans.

This cryptocurrency will not be a new national currency, but rather a technical means allowing Gaza residents to conduct their financial transactions digitally in light of the disruption of traditional systems.