Key Points
- Preliminary conversations underway regarding a dollar-backed stablecoin initiative for Gaza residents
- Digital currency would facilitate electronic transactions rather than serve as fiat replacement
- Israeli technology entrepreneur Liran Tancman spearheads project with National Committee for Gaza Administration
- Cash availability has collapsed throughout Gaza following ATM destruction and blocked currency shipments
- GENIUS Act stablecoin legislation signed by Trump in July 2025
According to five sources briefed on the discussions, Trump’s Board of Peace has begun preliminary conversations about launching a dollar-pegged stablecoin for Gaza, the Financial Times reports.
The proposed digital currency would enable Gaza residents to conduct electronic transactions. The initiative is not intended as a speculative token or substitute for traditional money.
President Donald Trump established the Board of Peace in January 2026. Operating independently from the United Nations, the board requires a $1 billion membership fee.
Twenty-six nations became charter members, including Israel, Saudi Arabia, Hungary, and El Salvador. Most Western European nations opted not to participate.
The United States committed $10 billion to the program. Trump serves as chairman, with son-in-law Jared Kushner playing a significant leadership role.
Last week’s inaugural Washington D.C. meeting featured Israeli tech entrepreneur Liran Tancman, who presented plans for a comprehensive “secure digital backbone” encompassing payment systems, financial services, online education, and medical care.
The Case for Digital Payments in Gaza
Cash availability has plummeted across Gaza. Banking machines have been demolished or shuttered, while Israel maintains restrictions on new currency shipments, the FT reports.
These circumstances have forced residents toward electronic payment methods by default. The stablecoin initiative represents a direct response to these ground-level conditions.
Tancman collaborates with the National Committee for the Administration of Gaza on the stablecoin development. No issuing organization has been designated at this stage.
Snir Levi, who leads blockchain intelligence firm Nominis, told Cointelegraph the concept remains in nascent stages. He noted that Gaza’s OTC trading desks have already processed over $100 million in stablecoin transactions despite minimal regulatory structure.
Trump’s Expanding Cryptocurrency Footprint
The GENIUS Act became law under Trump’s signature in July 2025, marking America’s inaugural federal stablecoin legislation. His engagement with cryptocurrency markets has expanded considerably.
Trump and his relatives participate in crypto venture World Liberty Financial, which launched the USD1 stablecoin. Several legislators have expressed concerns regarding potential conflicts of interest as cryptocurrency regulatory frameworks remain under Congressional deliberation.
Reports indicate Trump has also contemplated a proposal to tokenize property in postwar Gaza. The concept would utilize blockchain tokens to facilitate resident relocation and housing during a prospective US territorial administration.
In February 2025, Trump stated America should “take over” Gaza and transform it into the “Riviera of the Middle East.” A ceasefire agreement officially commenced in October 2025, though Israeli military forces have allegedly breached the terms repeatedly.
The White House declined to provide commentary regarding the stablecoin proposal.
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