The problem is that the 1967 borders or lines, or whatever you call them, could be defended by Israel if hostilities were to arise with extreme difficulty. Israel’s future security, perhaps even existence, would become dependent upon a future Palestinian government - a government that would, at this point, include Hamas members.

That’s a very scary prospect.

I can’t imagine Israel agreeing to this without significant border adjustments, and I don’t know where the “tradeable” territory within pre-1967 Israel is.

I might suggest, as an alternative, that Israel be allowed to “buy” land outside the pre-1967 borders, with compensation payments to individual Palestinians (not the Palestinian government).