Prime Minister Benjamin Netanyahu raised eyebrows on Friday when he said Israel must begin preparing solutions for the possibility that sanctions imposed by Western countries could extend to the Israeli banking system.
Speaking in an interview broadcast on Israel's Economy Channel, the Prime Minister stated that digital currencies could offer one possible solution.
"Of course I'm concerned," Netanyahu replied when asked about the possibility of sanctions targeting Israel's financial system. "You have to understand that there could be sanctions, including banking sanctions. You need to prepare an alternative economic system. And you know what that is. You know about digital currencies, and I'm working on that as well. There are other things, too."
Asked whether he was referring to blockchain technology as an alternative, the Prime Minister replied: "Yes, that's one of the ways. And I've already asked for a plan to be prepared for that."
Netanyahu also commented on the issue of US military assistance to Israel.
"If you think we're going to continue receiving what I secured twice, tens of billions of dollars in American assistance for the defense budget, get used to the fact that it won't continue, because America has changed. It's over. It's only a matter of time."
Opposition leader Yair Lapid responded to Netanyahu's remarks, saying, "Netanyahu's statement is insane, but correct. If his government is reelected, military aid will stop and severe economic sanctions will be imposed on the State of Israel."
Nir Hirshman, CEO of the Israeli Crypto Companies Forum, also commented on the Prime Minister's statements.
"Israel is among the world's leaders in developing cryptocurrency and blockchain technologies. Crypto has the potential to strengthen Israel's connections to global financial markets and make capital transfers more efficient. At the same time, the technology is not a safe haven for hiding money: Public blockchain networks allow transparency and the tracking of transactions."
"The Crypto Companies Forum is ready to work with the government and regulators to advance appropriate reforms in this field, strengthen the economy, and reinforce its ties with the rest of the world," Hirshman added.
(Arutz Sheva-Israel National News' North American desk is keeping you updated until the start of Shabbat in New York. The time posted automatically on all Israel National News articles, however, is Israeli time.)