Trump’s Peace Committee Pushes to Introduce ‘Digital Dollar’ in Gaza Strip

▲ Donald Trump, U.S. Dollar (USD), Stablecoin / ChatGPT-generated image

U.S. President Donald Trump is advancing a bold peace initiative to introduce a U.S. dollar-pegged stablecoin to support the economic reconstruction of the Gaza Strip and restore its financial infrastructure.

According to a Feb. 23 report by cryptocurrency-focused media outlet BeInCrypto, the “Board of Peace,” chaired by Trump, is reviewing the issuance of a dedicated stablecoin for Gaza. The plan aims to address the collapse of the banking system and severe cash shortages caused by the war, while enabling transparent distribution of aid funds through digital payment infrastructure. By collaborating with Israeli technology entrepreneurs to build a dollar-based digital asset, President Trump seeks to curb Hamas’ influence and enhance the region’s economic self-reliance.

The Board of Peace serves as the central body responsible for implementing Trump’s 20 key initiatives for Gaza. It includes prominent international political and economic figures such as Secretary of State Marco Rubio, Special Envoy Steve Witkoff, former U.K. Prime Minister Tony Blair, and World Bank President Ajay Banga. The board will oversee transitional governance, develop reconstruction plans, and manage overall economic recovery efforts in cooperation with a Palestinian technocratic committee responsible for restoring day-to-day administration and services. The adoption of a stablecoin is viewed as a strategic choice to rapidly rebuild the financial system without relying on traditional banking infrastructure.

The planned Gaza stablecoin is not intended to replace the territory’s legal tender but to function as a supplementary tool to facilitate digital payments. Since 2023, the destruction of ATMs and restrictions on physical currency supplies have led to a severe cash crisis in Gaza. In this context, digital dollars are seen as an alternative capable of improving the efficiency of aid delivery, wage payments, and everyday transactions. The virtual asset industry believes the initiative could become the first global case of utilizing digital dollar infrastructure for post-conflict economic reconstruction.

However, concerns have been raised regarding surveillance systems associated with digital currencies and the potential long-term erosion of economic sovereignty. Given the traceable nature of blockchain transactions, critics warn that external forces could exert excessive control over Gaza’s financial system. Gaza’s limited 2G network environment and the possibility of deepening economic isolation from Western nations are also cited as obstacles to implementation. Despite these concerns, President Trump has transferred $10 billion to the Board of Peace, signaling an expansive push for Gaza’s reconstruction.

The Gaza stablecoin initiative is expected to serve as a significant test case demonstrating how virtual assets can be used as tools for resolving geopolitical conflicts and delivering humanitarian aid. Guided by the belief that economic stability is a prerequisite for peace, President Trump is actively projecting an entrepreneurial approach into foreign policy while seeking a new order in the Middle East. The actions of the Board of Peace and the success of the digital asset’s adoption are likely to leave a historic milestone in future global stablecoin regulation and models for supporting conflict-affected regions.

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