A proposed digital payment tool aims to support everyday transactions in Gaza as traditional cash systems struggle
New York, United States, 24 February 2026 – Information about the possible creation of a stablecoin for Gaza has recently surfaced through several sources, drawing attention to how digital payments could help an economy under severe strain. According to available reports, the idea is still in its early stages, with many technical and operational details yet to be finalized.
Gaza’s economic system has been heavily disrupted following the recent conflict. Physical infrastructure damage, restricted access to cash, and limited financial mobility have made everyday transactions difficult for residents. The local administration does not have the ability to issue its own currency and relies primarily on the Israeli shekel for trade and daily payments.
However, access to shekels has become increasingly limited. US dollars are also in short supply and are not sufficient to support the full scale of economic activity. As physical cash becomes harder to obtain, informal cash traders have reportedly begun charging high commissions, adding pressure on households and small businesses. This situation has accelerated a shift toward electronic and digital payment methods.
In this context, the idea of a stablecoin has emerged as a possible supplementary solution. The proposed digital currency is not intended to replace existing currencies such as the shekel or dinar. Instead, it is being described as a digital transaction tool that could help people send, receive, and store value electronically, especially where cash is scarce.
The initiative is reportedly being explored under the framework of the Peace Council, a body established to support economic rebuilding efforts. The project is being advised by Israeli tech entrepreneur Liran Tanchman, who is involved in a voluntary capacity. It also includes participation from the National Committee for Gaza Management, a technocratic administrative body, along with representatives working under an international coordination structure. Sources familiar with the discussions emphasize that this is not a plan to create a new national currency or a politically driven financial system. Rather, it is positioned as a practical digital payment mechanism designed to support basic economic activity, such as buying goods, paying for services, and facilitating aid-related transactions.
By using blockchain-based stablecoin technology, the initiative aims to reduce reliance on physical cash and lower transaction costs. Stablecoins are typically pegged to existing currencies, which can help maintain price stability and build trust among users unfamiliar with cryptocurrencies.
While the proposal remains in a conceptual phase, it highlights a broader trend in global finance: the growing use of digital payments and blockchain solutions in regions facing financial access challenges. Whether this project moves forward will depend on regulatory clarity, technical feasibility, and on-the-ground adoption.
For now, the idea reflects an attempt to explore alternative financial tools that focus on everyday usability rather than speculation. As discussions continue, observers are watching closely to see whether digital currency solutions can play a practical role in supporting economic recovery and financial inclusion.
