Netanyahu's final campaign strategy: Fear - opinion

Benjamin Netanyahu launched a final phase of his election campaign on Friday, warning that Israel faces imminent international banking sanctions and proposing the use of cryptocurrency and blockchain technology to circumvent such measures. The Prime Minister made these remarks during an interview with Channel 10’s economic broadcaster, days before the parliamentary election scheduled for Tuesday, October 27. His statements triggered immediate alarm within Israel’s financial sector and drew sharp rebukes from the central bank and opposition leaders. Netanyahu stated that foreign governments could impose sanctions on Israeli banks, necessitating the creation of a bypass economy. When asked specifically if he referred to digital assets, he confirmed the reference to cryptocurrency. He added that he had instructed his advisers to prepare a plan utilizing blockchain technology. The Prime Minister framed the issue as a matter of national survival, arguing that preparation for an alternative economic system was essential. The Bank of Israel responded swiftly on Saturday with an unusually harsh statement rejecting the proposal. The central bank asserted that digital currencies cannot serve as a route for bypassing sanctions. Officials emphasized that cryptocurrencies cannot replace vital economic relations with Israel’s primary trading partners. The bank urged the government to prioritize preventing sanctions rather than seeking workarounds, noting that the best defense is avoiding the imposition of penalties in the first place. Criticism extended beyond the central bank to include a broad coalition of economic experts. More than 100 economists signed a letter warning against the plan. This group included former Bank of Israel officials, ex-governor Jacob Frenkel, and several Nobel laureates. They argued that the proposal could lead to higher unemployment, reduced foreign investment, and further damage to Israel’s international standing. Citing examples such as South Africa, Iran, and Russia, the signatories warned that such isolation could undermine the state’s ability to finance its security apparatus and deteriorate living standards. Political opponents seized on the controversy ahead of the vote. Gadi Eisenkot, Netanyahu’s main rival, labeled the initiative madness. He warned that what he termed the BibiCoin policy could drive companies away from the country and weaken national security. Opposition leader Yair Lapid accused the Prime Minister of making alarming promises to voters. The backlash highlighted deep divisions within Israel regarding how to handle growing diplomatic pressure. This diplomatic strain coincides with increased international scrutiny of Israel’s settlement policy in the occupied West Bank. Countries including Britain, France, and Canada have announced measures targeting goods from Israeli settlements. These actions cite concerns over settler violence and continued expansion. The convergence of economic warnings and diplomatic isolation forms the backdrop for Netanyahu’s campaign messaging. On Saturday night, Netanyahu intensified his rhetoric in a video release. He warned that Iran had resumed its nuclear program and intended to destroy Israel. He claimed the country’s survival depended on the outcome of the upcoming election. Netanyahu advised voters to heed the counsel of US President Donald Trump and cast ballots for his candidacy. The following day, he shared an artificial intelligence-generated image depicting a mushroom cloud rising over Tel Aviv. The visual was paired with a warning that if Iran obtained a nuclear weapon, all other issues would become irrelevant. The sequence of communications shifted the focus from economic policy to existential threats. By linking financial stability with physical safety, the Prime Minister presented a unified narrative of danger. Critics argue this approach exploits genuine risks for electoral gain. Supporters view the warnings as necessary preparations for a hostile regional environment. The debate centers on whether specific threats justify the proposed economic strategies and the tone of the campaign. Netanyahu addressed the central bank’s criticism later on Saturday. Speaking to Channel 14, he acknowledged the institution’s advice but stated he would ultimately rely on his own judgment. He maintained that preparing for potential sanctions was a prudent course of action. The Prime Minister did not retract his earlier comments regarding the utility of digital assets in a sanctioned environment. The campaign strategy relies heavily on the perception that only Netanyahu can navigate these dual crises. Previous elections have featured similar appeals to voter anxiety regarding national security. Analysts note that the current situation combines traditional military threats with novel economic vulnerabilities. The role of emerging technologies in state finance adds a new dimension to the discourse. Voters are being asked to weigh the credibility of these warnings against the feasibility of the proposed solutions. As the election approaches, the focus remains on the intersection of domestic politics and international relations. The potential impact of sanctions on daily life continues to dominate public discussion. The central bank maintains its stance that economic resilience requires stable partnerships rather than technological evasion. Political rivals continue to attack the administration’s handling of both the Iranian threat and the diplomatic fallout from settlement activities. The coming days will determine whether these fears translate into electoral support or rejection. The outcome will shape Israel’s path in a complex geopolitical landscape.