Palestinian Government to Possibly Demolish the Israeli Shekel and Introduce Crypto

It has been revealed that yet another government will be considering the likes of cryptocurrencies in place of an already-established national currency. In particular, this involves the Palestinian government’s plans to possibly demolish the Israeli Shekel reports Al-Monitor.

Said news was publicly announced on Tuesday, July 9, 2019, where the Palestinian Prime Minister, Mohammad Shtayyeh noted that the reason for considering cryptocurrencies stemmed from the obstacles that arose from the use of the national currency to the Palestinian economy.

Shtayyeh appears to be keen on this decision, reiterating since Saturday, April 13, 2019, that nothing can be a hindrance of such plans. He also noted that despite the billions of shekels in circulation,

“we’re not forced to remain dependent on the shekel.”

Amidst Possible Crypto Adoption, Is It Truly Feasible?

While the news is a big move, as more and more countries consider alternatives to their national currencies, arguments have been made against executing made plans. It has been emphasized that a national cryptocurrency is not

“economically feasible.”

The news outlet has referenced an economic and social sciences professor based in Nablus, Bakr Shtayyeh, who does not think such moves are feasible for Palestine. Here are some of the concerns that have been expressed:

“If Palestine has its own currency, will it be able to prevent Israel from withholding tax clearance funds or controlling crossings and the movement of exports and imports? Will Palestine be able to conclude direct commercial deals with neighboring countries without the imported or exported goods passing through Israeli commercial ports?”

He further noted that the problem doesn’t rest in the national currency itself, but more so on the

“complex economic and political reliance on Israel.”

Israel and Palestine Relation to Prevent Crypto Adoption?

The economics professor believes that this endeavor could induce problems between Israel and Palestine. Some of which include Israel’s probable distaste for dealing with another currency and a rise in political tension. The latter alone could potentially devalue the cryptocurrency, which may defeat the main purpose behind considering its likes for economic gains.

Concerns Regarding Cyberattacks Disclosed

The professor further addressed the role of the Palestinian Authority (PA) needs to assume. In particular, he shared that an assessment needs to be done on the cryptocurrency to ensure that it can maintain a stable value.

With this being said, another area with concerns involves that of hacks and damages that could be achieved by Israel if political tension rises. That is,

“Is the PA capable of repelling cyberattacks and cyberpiracy that Israel could launch against the Palestinian cryptocurrency, especially since Israel is advanced in the field of software development?”

On the whole, Bakr Shtayyeh doesn’t think to issue cryptocurrencies as being impossible, but rather believes that there will be a lot of difficulties in making it happen. On the whole, Palestine needs to be considered with respect to the role it plays as a “consumer country” along with what the decision means for the national currency and economy.

As for the overall nature of the cryptocurrency, the Prime Minister supposedly did not share any specs. However, news outlet AA quoted him stating the following (closest possible translation):

“We are working to transform e-government into a reality that citizens feel,”

adding that more work needs to be done in,

“the preservation of information in official institutions,”

given that,

“the infiltration of information is part of the Israeli war on the Palestinian Authority.”

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Nirmala Velupillai
Nirmala Velupillai
Nirmala is a blogger who has been fascinated by the world of technology and its contributions to societal development. While a novice, her eager to learn about the crypto world has led her to write a number of pieces on its positive and negative aspects. On her spare time, she indulges in understanding and building statistical models and enhancing her painting skills.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,466FansLike
2,795FollowersFollow
4,237FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Bitfinex Offers $400M Reward For Info on 120k BTC Stolen in 2016; Hackers Can Collect Too

On August 2, 2016, Bitfinex experienced one of the biggest crypto heists of all time, as hackers exploited the system, running off with approximately...

Crypto Trading Platform, 2gether, Unable To Refund $1.4M Hack; Offers Its Native Tokens

Spanish cryptocurrency trading app, 2gether announced on Sunday the platform faced a hack on July 31 on its investment coffers losing €1.183 million ($1.4...

Venture Fund to Invest Majority of $100 Million Raised Fund in DeFi Protocols

San Francisco-based venture fund Electric Capital has raised $100 million from university endowments and other non-profits and it will be using this to invest...

Filecoin to Begins its Incentivized Testnet This Week Ahead of Project Launch Next Month

Crypto project Filecoin which proposes to create a peer-to-peer storage system, will begin its incentivized testnet this week. This testnet will allow users to...

Ethereum 2.0 Final Testnet, Medalla, Rolls Out; Is A 2020 Launch Now In Sight?

The Ethereum 2.0 Phase 0 Medalla public testnet finally went live on August 4, 2020 at around 1AM GMT giving hope of a possible...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today