Gaza resident Noor did not know anything about Bitcoin before her make-up boutique was destroyed during the 2021 war with Israel and she started investing in cryptocurrencies to survive.
“I cannot remember the days we had to endure after the war ended except with misery and despair,” Noor tells The National.
“I struggled all day to help my family. We lacked essential supplies that at some point our neighbours donated to us.”
Destitute and with little prospect of finding work in the crowded Gaza Strip, where a 15-year blockade by Israel has left 44 per cent of the Palestinian territory’s 2.3 million residents unemployed, Noor started learning about trading cryptocurrencies.
From having to rely on handouts, the English Literature graduate made enough money to launch an online make-up store.
“My fortunes changed when I learnt to invest in Bitcoin and started selling make-up online,” she says.
Blockaded Gaza turns to solar — in pictures
The blockade of Gaza has not only shut Palestinians off from physical international markets, but also financial ones.
The Palestinian Monetary Authority in Ramallah cannot issue banknotes and Palestinians across the West Bank and Gaza are heavily reliant on handouts and international aid as a financial lifeline.
However, the decentralised, online and apolitical nature of cryptocurrencies has opened a path for Gazans seeking to invest internationally.
This is despite the jolt the sector has experienced with the collapse of crypto exchange FTX, which was headed by founder Sam Bankman-Fried.
FTX's filing for bankruptcy on November 11 has cast a shadow over the wider cryptocurrency sector, undermining confidence.
Unlike traditional currency trading, cryptocurrencies like Bitcoin use blockchain — in effect, a decentralised register of trades — to allow peer-to-peer exchanges of the coins with no regulatory oversight or third parties.
Palestinian "financial subordination to Israeli finance regulations" has been ongoing since before the 1990s, says Dr Tariq Dana, an assistant professor of political economy and conflict and a policy adviser for Al-Shabaka, The Palestinian Policy Network.
"Israel has long had huge power in politics, the economy and financial software,” Dr Dana says.
“From a critical perspective, installing an online, practical and secure financial system under Israel’s control is almost impossible.”
But he adds that an increasing number of Palestinians have turned to cryptocurrencies like Bitcoin as an alternative to traditional financial routes.
The anonymous nature of Bitcoin means it is hard to gauge how many Gazans are investing in cryptocurrencies, but anecdotal evidence suggests numbers have grown rapidly over recent years.
“I believe the decentralised bank status of crypto is encouraging enough for us [Palestinians] to have an income through a safe and freelance platform,” says Kareem, a resident of Gaza who trades in Bitcoin.
“I have been in the industry for almost three years and I feel it [removes] the Israeli limitations on our livelihoods.”
However, the turbulent market is also highly risky.
Since the start of 2022, Bitcoin has lost almost 75 per cent of its value, from over $238,000 per coin to just $63,300. This has wiped away the savings and fortunes of many investors.
Haitham Zuhair, a Palestinian businessman, Bitcoin investor and analyst currently based in Dubai, says investors in cryptocurrencies need to monitor the political, economic and military factors that influence the market worldwide.
“Even with the good advantage of crypto, risks of loss are still omnipresent," he says.
"I am certain the drop in Bitcoin price has cost many traders in Gaza so much, because their initial investments and capital are not as high as one would think.
“Education and experience are essential to persist with crypto as a space of online income and a symbolic tool of economic steadfastness in Palestine. It only takes one wrong call to lose an earth-worth profit in crypto.”
While cryptocurrencies have opened the door for many Palestinians to profit from the global trade, it is not a viable avenue for Palestinian authorities, warns Mohammed Khaled, a business journalist in Gaza City.
“It is impossible to make state-level procedures with Bitcoin,” he says.
“Even with the huge adoption of crypto, Palestine doesn’t possess the political or economic force to designate Bitcoin or any other digital currency as the official medium of finance.”
However, as well as the risks of the market, traders also believe that Israeli authorities are going after their gains.
“The crypto exchange system in Palestine is centralised, meaning that Israel can pause deposits and withdrawals,” says Mr Khaled.
Aftermath of Israel-Hamas fighting — in pictures
Crypto trader Mohammed Awni from Gaza says that while he initially earned a good return, his digital savings have disappeared.
“At the beginning of my tenure in crypto trading, everything seemed excellent and I had an opportunity to have a four-times return for my capital," he says.
"I started planning to get married, only to find out my earnings were gone in the blink of an eye.
“I worked hard to make $6,000. It was my only hope to marry the girl I love. But my dream has been crushed.
"When I sought an explanation from others with similar experiences, it turned out the Israeli military had confiscated my digital wallet for no reason at all.”
Outgoing Israeli Defence Minister Benny Gantz has authorised the military to seize crypto wallets that they believe are being used to fund Hamas — Gaza’s hardline leadership, which is listed as a terrorist group by Israel, the US, the EU and others.
Hamas officials say the campaign of seizures is wider than targeting funding for the group, and that the Israeli military is going after ordinary citizens as well.
Mr Awni says cryptocurrencies have been good business, giving people opportunities and work that would otherwise be closed off in the blockaded strip.
But he says this will not be enough unless there is the “immediate stop of the Israeli full control of the economy, as well as the seizure and confiscation of digital wallets — our people's only means of survival”.
Killing of Qassem Suleimani
UAE currency: the story behind the money in your pockets
Killing of Qassem Suleimani
Most sought after workplace benefits in the UAE
- Flexible work arrangements
- Pension support
- Mental well-being assistance
- Insurance coverage for optical, dental, alternative medicine, cancer screening
- Financial well-being incentives
More from Neighbourhood Watch:
BUNDESLIGA FIXTURES
Saturday, May 16 (kick-offs UAE time)
Borussia Dortmund v Schalke (4.30pm)
RB Leipzig v Freiburg (4.30pm)
Hoffenheim v Hertha Berlin (4.30pm)
Fortuna Dusseldorf v Paderborn (4.30pm)
Augsburg v Wolfsburg (4.30pm)
Eintracht Frankfurt v Borussia Monchengladbach (7.30pm)
Sunday, May 17
Cologne v Mainz (4.30pm),
Union Berlin v Bayern Munich (7pm)
Monday, May 18
Werder Bremen v Bayer Leverkusen (9.30pm)
More from Rashmee Roshan Lall
More on animal trafficking
Killing of Qassem Suleimani
What is dialysis?
Dialysis is a way of cleaning your blood when your kidneys fail and can no longer do the job.
It gets rid of your body's wastes, extra salt and water, and helps to control your blood pressure. The main cause of kidney failure is diabetes and hypertension.
There are two kinds of dialysis — haemodialysis and peritoneal.
In haemodialysis, blood is pumped out of your body to an artificial kidney machine that filter your blood and returns it to your body by tubes.
In peritoneal dialysis, the inside lining of your own belly acts as a natural filter. Wastes are taken out by means of a cleansing fluid which is washed in and out of your belly in cycles.
It isn’t an option for everyone but if eligible, can be done at home by the patient or caregiver. This, as opposed to home haemodialysis, is covered by insurance in the UAE.
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More from Neighbourhood Watch:
UEFA CHAMPIONS LEAGUE FIXTURES
All kick-off times 10.45pm UAE ( 4 GMT) unless stated
Tuesday
Sevilla v Maribor
Spartak Moscow v Liverpool
Manchester City v Shakhtar Donetsk
Napoli v Feyenoord
Besiktas v RB Leipzig
Monaco v Porto
Apoel Nicosia v Tottenham Hotspur
Borussia Dortmund v Real Madrid
Wednesday
Basel v Benfica
CSKA Moscow Manchester United
Paris Saint-Germain v Bayern Munich
Anderlecht v Celtic
Qarabag v Roma (8pm)
Atletico Madrid v Chelsea
Juventus v Olympiakos
Sporting Lisbon v Barcelona
2025 Fifa Club World Cup groups
Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, Leon.
Group E: River Plate, Urawa, Monterrey, Inter Milan.
Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
Group H: Real Madrid, Al Hilal, Pachuca, Salzburg.
Killing of Qassem Suleimani
Feeding the thousands for iftar
Six industrial scale vats of 500litres each are used to cook the kanji or broth
Each vat contains kanji or porridge to feed 1,000 people
The rice porridge is poured into a 500ml plastic box
350 plastic tubs are placed in one container trolley
Each aluminium container trolley weighing 300kg is unloaded by a small crane fitted on a truck
The five pillars of Islam
1. Fasting
2. Prayer
3. Hajj
4. Shahada
5. Zakat
Key figures in the life of the fort
Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.
Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.
Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.
Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.
Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.
Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.
Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.
Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.
Sources: Jayanti Maitra, www.adach.ae
Tips on buying property during a pandemic
Islay Robinson, group chief executive of mortgage broker Enness Global, offers his advice on buying property in today's market.
While many have been quick to call a market collapse, this simply isn’t what we’re seeing on the ground. Many pockets of the global property market, including London and the UAE, continue to be compelling locations to invest in real estate.
While an air of uncertainty remains, the outlook is far better than anyone could have predicted. However, it is still important to consider the wider threat posed by Covid-19 when buying bricks and mortar.
Anything with outside space, gardens and private entrances is a must and these property features will see your investment keep its value should the pandemic drag on. In contrast, flats and particularly high-rise developments are falling in popularity and investors should avoid them at all costs.
Attractive investment property can be hard to find amid strong demand and heightened buyer activity. When you do find one, be prepared to move hard and fast to secure it. If you have your finances in order, this shouldn’t be an issue.
Lenders continue to lend and rates remain at an all-time low, so utilise this. There is no point in tying up cash when you can keep this liquidity to maximise other opportunities.
Keep your head and, as always when investing, take the long-term view. External factors such as coronavirus or Brexit will present challenges in the short-term, but the long-term outlook remains strong.
Finally, keep an eye on your currency. Whenever currency fluctuations favour foreign buyers, you can bet that demand will increase, as they act to secure what is essentially a discounted property.
Read more about the coronavirus
Zayed Sustainability Prize
The specs
Engine: Dual 180kW and 300kW front and rear motors
Power: 480kW
Torque: 850Nm
Transmission: Single-speed automatic
Price: From Dh359,900 ($98,000)
On sale: Now
