But it's being reported now that Hamas has rejected it:

Here's more from the Times of Israel:

A senior Egyptian who spoke to The Associated Press on condition of anonymity says terror group Hamas has rejected Israel's proposal for a two-month ceasefire in which Hamas would release Israeli hostages in exchange for Palestinian security prisoners.

The official says Hamas leaders have also refused to leave Gaza and are demanding that Israel fully withdraw from the territory and allow Palestinians to return to their homes.

Under Israel's proposal, Yahya Sinwar and other top Hamas leaders in Gaza would be allowed to relocate to other countries.

The official says Egypt and Qatar, which have brokered past agreements between Israel and Hamas, are developing a multi-stage proposal to try to bridge the gaps. The proposal would include ending the war, releasing the hostages and putting forth a vision for resolving the Israeli-Palestinian conflict.

There's no way Israel will end the war and I'm honestly surprised that they even suggested a pause in the fighting that would span months.

As I've said all along, the hostages are the only leverage Hamas has and they won't let them go free as long as Israel is trying to exterminate them. Which means – and it sucks – that Israel must continue with their goal to end Hamas and hope for the best when it comes to freeing the remaining hostages.