Israeli crypto industry voices “concerns over harm to businesses” over Netanyahu’s crypto asset

Israeli blockchain industry figures are voicing concern over Prime Minister Benjamin Netanyahu's proposal to use cryptocurrencies as a fallback if the country faces international financial sanctions, warning the plan could backfire on legitimate businesses. Executives from blockchain analytics firm Addressable and blockchain company Orbs told Bitcoin.com that framing digital assets as a sanctions-evasion tool could signal to foreign banks and exchanges that Israeli firms require stricter scrutiny, potentially cutting them off from global financial channels. Netanyahu said he would review blockchain and virtual assets as alternative means of payment and finance in anticipation of possible sanctions, with the Bank of Israel also weighing the issue. The concern matters because Israel's crypto sector depends heavily on access to international banking and exchange services, and being tarred as a sanctions-evasion channel could raise compliance costs and de-risking pressure across the industry. Watch for whether the Bank of Israel or other officials clarify the policy's scope, and for any concrete steps by foreign financial institutions to tighten onboarding or review processes for Israeli crypto and blockchain companies.