Key Points
- The Board of Peace has initiated preliminary conversations regarding a dollar-backed stablecoin for Gaza
- The digital currency would facilitate electronic transactions for Gaza residents
- Israeli technology entrepreneur Liran Tancman spearheads the initiative with the National Committee for the Administration of Gaza
- Physical currency access remains minimal following ATM destruction and halted cash shipments
- President Trump enacted the GENIUS Act stablecoin legislation in July 2025
The Board of Peace has entered preliminary discussions regarding the development of a dollar-pegged stablecoin for Gaza, based on a Financial Times report drawing from five sources with knowledge of the conversations.
The proposed stablecoin would enable Gaza residents to conduct digital transactions. The project centers on practical payment functionality rather than speculative or fiat currency replacement purposes.
President Donald Trump established the Board of Peace in January 2026. The organization functions independently from the United Nations and requires member nations to contribute $1 billion for participation.
Twenty-six nations became founding participants, with Israel, Saudi Arabia, Hungary, and El Salvador among them. Western European nations largely opted against membership.
The United States committed $10 billion to the program. Trump chairs the board alongside his son-in-law Jared Kushner, who holds a leadership position.
The board convened its inaugural meeting in Washington D.C. last week. Israeli tech entrepreneur Liran Tancman presented during the session, describing plans for a “secure digital backbone” encompassing payments, financial services, e-learning, and healthcare infrastructure.
The Push for Digital Financial Infrastructure
Physical currency circulation in Gaza has declined dramatically. Banking machines have been demolished or deactivated, while Israel has prevented fresh cash shipments from entering, the FT reports.
These circumstances have compelled residents to adopt digital transaction methods. The stablecoin initiative responds directly to these operational conditions.
Tancman coordinates the stablecoin development with the National Committee for the Administration of Gaza. The proposal has yet to identify a formal issuing organization.
Snir Levi, CEO of blockchain intelligence platform Nominis, told Cointelegraph the initiative remains in nascent stages. He noted that over-the-counter trading desks operating in Gaza have already facilitated more than $100 million in stablecoin transactions despite operating without established regulatory frameworks.
Trump Administration’s Cryptocurrency Engagement
President Trump enacted the GENIUS Act in July 2025, marking the first federal stablecoin legislation in American history. His administration has expanded its cryptocurrency involvement across multiple fronts.
Trump and his family members participate in the crypto venture World Liberty Financial, which launched the USD1 stablecoin. Congressional members have expressed concerns regarding potential conflicts of interest as cryptocurrency regulatory frameworks continue evolving in Washington.
Reports indicate Trump has explored plans to tokenize property in postwar Gaza. The concept would employ blockchain-based tokens to facilitate resident relocation and housing reconstruction during a possible US administrative presence in the territory.
In February 2025, Trump suggested the US should “take over” Gaza and transform it into the “Riviera of the Middle East.” A ceasefire agreement has remained officially active since October 2025, though Israeli military forces have reportedly breached the accord on several occasions.
The White House declined to provide comments regarding the stablecoin proposal.
