{"id":24425,"date":"2026-04-17T09:11:24","date_gmt":"2026-04-17T13:11:24","guid":{"rendered":"https:\/\/www.merkley.senate.gov\/?p=24425"},"modified":"2026-04-17T09:11:25","modified_gmt":"2026-04-17T13:11:25","slug":"merkley-warren-van-hollen-sanders-probe-trump-backed-board-of-peaces-plan-to-rebuild-gaza-with-shady-cryptocurrency","status":"publish","type":"post","link":"https:\/\/www.merkley.senate.gov\/es\/merkley-warren-van-hollen-sanders-probe-trump-backed-board-of-peaces-plan-to-rebuild-gaza-with-shady-cryptocurrency\/","title":{"rendered":"Merkley, Warren, Van Hollen, Sanders Probe Trump-Backed Board of Peace\u2019s Plan to Rebuild Gaza with Shady Cryptocurrency"},"content":{"rendered":"\n

Washington, D.C. \u2013 Today, Oregon\u2019s U.S. Senator Jeff Merkley partnered with U.S. Senators Elizabeth Warren (D-MA), Chris Van Hollen (D-MD), and Bernie Sanders (I-VT) to press the Trump Administration over its plans to reportedly develop a US dollar-backed stablecoin for Gaza as part of post-war reconstruction efforts.<\/p>\n\n\n\n

The Senators raise serious policy and ethical concerns about this proposal from President Trump\u2019s \u201cBoard of Peace\u201d particularly given the fragile ceasefire between Israel and Hamas, and ongoing conflict across the region.<\/p>\n\n\n\n

\n

\u201c<\/strong>This proposal threatens to undermine the Palestinian financial system, raises significant surveillance and ethical concerns, and creates yet another opportunity for President Trump to promote stablecoin use as his own cryptocurrency company, World Liberty Financial, pushes stablecoin adoption. Therefore, we request information regarding the Administration\u2019s plans to promote the use of a stablecoin in Gaza,\u201d<\/strong> <\/strong>the Senators wrote to U.S. Secretary of State Marco Rubio.<\/p>\n<\/blockquote>\n\n\n\n

\n

They also expressed concerns about the involvement of Liran Tancman, a former member of Israel\u2019s intelligence corps and \u201can unpaid advisor to Trump\u2019s Board of Peace,\u201d stating, \u201cMr. Tancman\u2019s failed record of privatizing traditional humanitarian functions through [the Gaza Humanitarian Foundation]\u2014including findings that more than 1,200 people seeking aid were killed around GHF\u2019s sites\u2014 underscores the risks of moving forward with poorly vetted initiatives that affect Gaza\u2019s civilian population.\u201d<\/strong><\/p>\n<\/blockquote>\n\n\n\n

The Senators also stressed in their letter that the priority must be stability and ensuring the delivery of desperately needed humanitarian relief to Gaza, not changes to its financial system that create new risks for corruption.<\/p>\n\n\n\n

\n

\u201cThe proposal also carries significant conflict of interest risks,\u201d <\/strong>they continued. \u201cIn addition, the establishment and use of a stablecoin in Gaza raises significant ethical and financial risks: a Board-controlled stablecoin \u2018could give external actors unprecedented influence over Gaza\u2019s financial system,\u2019 and \u2018introducing a separate payment system\u2019 in Gaza \u2018risks further separating Gaza economically from the West Bank.\u2019 Meanwhile, the use of stablecoin increases the ability of external actors to restrict financial transactions among Gaza residents.\u201d<\/strong><\/p>\n<\/blockquote>\n\n\n\n

Merkley has long sounded the alarm over Trump\u2019s crypto corruption. He leads the\u00a0End Crypto Corruption Act<\/em><\/a>\u00a0to ban cryptocurrency-related corruption by elected officials at the highest levels of the federal government. Previously, Merkley and Warren\u00a0sent a letter to the Office of Government Ethics<\/a>\u00a0to raise significant concerns about a billion-dollar deal between a Trump-backed crypto company and a foreign crypto firm, as well as\u00a0two<\/a>\u00a0follow-up<\/a>\u00a0inquiries requesting further information on this shady deal and how it appears to enrich President Trump, his family, and members of his administration.<\/p>\n\n\n\n

Full text of the letter can be found by clicking\u00a0here<\/a>\u00a0and follows below:<\/p>\n\n\n\n

Dear Secretary Rubio:<\/p>\n\n\n\n

We write today to express deep concern regarding reports that the Trump Administration\u2019s \u201cBoard of Peace\u201d may develop \u201ca US dollar-backed stablecoin for Gaza\u201d as part of post-war reconstruction efforts. This proposal threatens to undermine the Palestinian financial system, raises significant surveillance and ethical concerns, and creates yet another opportunity for President Trump to promote stablecoin use as his own cryptocurrency company, World Liberty Financial, pushes stablecoin adoption. Therefore, we request information regarding the Administration\u2019s plans to promote the use of a stablecoin in Gaza.<\/p>\n\n\n\n

President Trump\u2019s \u201cBoard of Peace\u201d was initially envisioned to \u201cset the framework and handle the funding for the redevelopment of\u201d war-torn Gaza. President Trump serves as the \u201cChairman\u201d of the Board. His son-in-law, Jared Kushner, and current Special Envoy to the Middle East, Steve Witkoff, serve on both its \u201cExecutive Board\u201d and its \u201cGaza Board.\u201d You serve on the \u201cExecutive Board.\u201d The Board\u2019s charter, signed by President Trump in January 2026, ultimately provides the organization with broad authority\u2014outside the confines of traditional international governing structures\u2014\u201cto expand to address conflicts in which it determines that stability or lawful governance is at risk.\u201d Thus far, the Board appears to have made minimal meaningful progress in rebuilding Gaza; it did, however, recently present a slide deck at the World Economic Forum in Davos pitching a $25 billion plan to build \u201cgleaming skyscrapers rising on Gaza\u2019s coast and the construction of entirely new cities\u201d in the enclave. <\/p>\n\n\n\n

In recent weeks, however, the Board has floated the possibility of launching a U.S. dollar-backed stablecoin, governed in part by the Board, to aid reconstruction efforts and \u201cfacilitate digital payments.\u201d Public reporting indicates that Israeli tech entrepreneur and former member of Israel\u2019s intelligence corps, Liran Tancman, \u201can unpaid adviser to Trump\u2019s \u2018Board of Peace,\u2019\u201d is leading this effort. Mr. Tancman was reportedly involved in founding the Gaza Humanitarian Foundation (GHF), a Trump Administration-backed aid distribution initiative that was widely criticized by humanitarian organizations for its deadly implementation. Mr. Tancman\u2019s failed record of privatizing traditional humanitarian functions through GHF\u2014including findings that more than 1,200 people seeking aid were killed around GHF\u2019s sites\u2014 underscores the risks of moving forward with poorly vetted initiatives that affect Gaza\u2019s civilian population.<\/p>\n\n\n\n

The proposal also carries significant conflict of interest risks. World Liberty Financial\u2014founded by President Trump and his sons, and Steve Witkoff and his sons\u2014continues to promote its own stablecoin, USD1. USD1, as one commentator has noted, \u201cis essentially the official stablecoin of the Trump family\u201d\u2014and could be one of the \u201cobvious choices\u2026at the front of the pack\u201d if, as some reports suggest, the Administration decides to promote an existing stablecoin for use in Gaza. Another option is Tether, \u201cthe most popular stablecoin in the world.\u201d Tether \u201chas deep connections to Commerce Secretary Howard Lutnick, whose firm, Cantor Fitzgerald, holds a 5% stake in the company.\u201d<\/p>\n\n\n\n

There is no denying that Gaza\u2019s financial system is under extraordinary strain. The widespread destruction to Gaza, including to its physical banking infrastructure, wrought by the Israel- Hamas conflict and the Netanyahu government\u2019s restrictions on the delivery of shekels has made access to cash extremely difficult in Gaza. Limited internet access also has impeded electronic bank transactions, compounding the problem. Clearly, support is needed to strengthen the Palestinian monetary system, but that support must augment, not undermine, the ability of the Palestinian people to govern themselves and be free of conflicts of interest.<\/p>\n\n\n\n

In addition, the establishment and use of a stablecoin in Gaza raises significant ethical and financial risks: a Board-controlled stablecoin \u201ccould give external actors unprecedented influence over Gaza\u2019s financial system,\u201d and \u201cintroducing a separate payment system\u201d in Gaza \u201crisks further separating Gaza economically from the West Bank.\u201d Meanwhile, the use of stablecoin increases the ability of external actors to restrict financial transactions among Gaza residents. As one critic noted, the plan for the stablecoin could make it, \u201cmuch more difficult [to maintain economic links between Gaza and the West Bank] if they have no means of easy payment between the two.\u201d<\/p>\n\n\n\n

At a moment when a fragile ceasefire between Israel and Hamas hangs in the balance, the priority must be stability and getting desperately needed humanitarian relief to civilians. Any changes to Gaza\u2019s financial system must advance those goals \u2014 not create new risks of corruption.<\/p>\n\n\n\n

Given the serious policy and ethical concerns raised by this potential proposal, we request detailed responses to the following questions by no later than April 24, 2026:<\/p>\n\n\n\n

    \n
  1. In your capacity as Executive Board member of the Board of Peace, please provide a copy of the current Board of Peace proposal outlining the possibility of launching a stablecoin for use in Gaza. We ask you to also provide all associated documents and communications generated by the Board of Peace Executive Board and Gaza Board members regarding the proposal.<\/li>\n\n\n\n
  2. Has the United States pledged any monetary support for the establishment of a stablecoin for use in Gaza? If yes, please provide the statutory authority for such a pledge, along with the expected source of funds.<\/li>\n\n\n\n
  3. What role, if any, has World Liberty Financial or its employees, including Steve Witkoff, the \u201cCo-Founder Emeritus\u201d of WLF and current member of the Board of Peace\u2019s \u201cExecutive Board\u201d and \u201cGaza\u201d Board, played in the development of the Board\u2019s proposal for the development of a stablecoin for use in Gaza?<\/li>\n\n\n\n
  4. The Board of Peace is reportedly working with the National Committee on the Administration of Gaza (NCAG) and the Office of the High Representative on the proposal. Do any other members of NCAG, the Office of the High Representative, or its advisers hold a financial interest in stablecoin assets? If so, what role have they played in the development of a stablecoin proposal for Gaza?<\/li>\n\n\n\n
  5. What role, if any, has Jared Kushner played in the development of the Board\u2019s stablecoin proposal?<\/li>\n\n\n\n
  6. Has the \u201cBoard of Peace\u201d consulted with the Palestine Monetary Authority on the introduction of this stablecoin? Have Palestinian officials had the opportunity to provide input on the development of this stablecoin? If so, please summarize those conversations and the content of that input. We ask that you also provide copies of all associated documents and communications.<\/li>\n\n\n\n
  7. Would the stablecoin be used to surveil the transactions of Palestinians?<\/li>\n\n\n\n
  8. What is Liran Tancman\u2019s role in the development and implementation of this stablecoin? What are his official duties at the \u201cBoard of Peace\u201d? Does Mr. Tancman stand to benefit financially from its creation? If so, how? What ethics and financial disclosures, if any, did Mr. Tancman complete before serving as an \u201cunpaid advisor\u201d to the Board of Peace?<\/li>\n<\/ol>\n\n\n\n

    <\/p>\n\n\n\n

    Thank you for your attention to this issue.<\/p>\n\n\n\n

    ###<\/p>\n","protected":false},"excerpt":{"rendered":"

    Washington, D.C. \u2013 Today, Oregon\u2019s U.S. Senator Jeff Merkley partnered with U.S. Senators Elizabeth Warren (D-MA), Chris Van Hollen (D-MD), and Bernie Sanders (I-VT) to press the Trump Administration over its plans to reportedly develop a US dollar-backed stablecoin for Gaza as part of post-war reconstruction efforts. The Senators raise serious policy and ethical concerns about […]<\/p>\n","protected":false},"author":16,"featured_media":18846,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[24],"tags":[108,38,47],"class_list":["post-24425","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-press-releases","tag-democracy","tag-foreign-policy-and-national-security","tag-protecting-consumers-taxpayers-and-the-economy"],"acf":[],"yoast_head":"\nMerkley, Warren, Van Hollen, Sanders Probe Trump-Backed Board of Peace\u2019s Plan to Rebuild Gaza with Shady Cryptocurrency - Merkley<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.merkley.senate.gov\/es\/merkley-warren-van-hollen-sanders-probe-trump-backed-board-of-peaces-plan-to-rebuild-gaza-with-shady-cryptocurrency\/\" \/>\n<meta property=\"og:locale\" content=\"es_MX\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Merkley, Warren, Van Hollen, Sanders Probe Trump-Backed Board of Peace\u2019s Plan to Rebuild Gaza with Shady Cryptocurrency - Merkley\" \/>\n<meta property=\"og:description\" content=\"Washington, D.C. \u2013 Today, Oregon\u2019s U.S. Senator Jeff Merkley partnered with U.S. Senators Elizabeth Warren (D-MA), Chris Van Hollen (D-MD), and Bernie Sanders (I-VT) to press the Trump Administration over its plans to reportedly develop a US dollar-backed stablecoin for Gaza as part of post-war reconstruction efforts. 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