Why is the Bank of Israel opposing Netanyahu’s cryptocurrency plan?

The Bank of Israel has publicly rejected Prime Minister Benjamin Netanyahu’s proposal to explore cryptocurrency as a way around potential international financial sanctions, exposing a disagreement between the country’s central bank and political leadership. Summary The Bank of Israel has rejected Netanyahu’s suggestion that cryptocurrency could help Israel bypass financial sanctions. Netanyahu said he requested a blockchain contingency plan but acknowledged that cryptocurrency might never be used. The central bank urged political leaders to preserve international banking and trading relationships. Opposition politicians criticized Netanyahu’s proposal ahead of Israel’s October 27 election. No cryptocurrency-based sanctions workaround has been announced or implemented by the Israeli government. According to the Bank of Israel’s October 24 statement, as reproduced in Israeli reporting, cryptocurrencies cannot be used to bypass sanctions. The central bank urged the government to preserve economic relations with Israel’s main trading partners, while Netanyahu responded to the criticism by saying he would consider the advice but make his own decisions. JUST IN: Israel's central bank rej...