Some 200 chess players from the two countries faced each other in competitive matches through the Israeli chess club's Chess4Solidarity campaign.
Over 500 people worldwide participated in the tournament, which was held virtually.
The tournament will occur from December 8 to 17 and NIS 80,000 worth of prizes will be handed out to the winners.
“It’s not simply me giving you tips. It’s presenting my best games.” * “It is far more, I would say, kosher, for Israel to deal with these Gulf countries than with Putin.”
Saturday night marked the 29th event for Chess4Solidarity, which hosted 505 people from 80 countries.
Several former heads of state and government have made return visits to Israel after leaving office, but none more so than former UK prime minister Tony Blair.
The refusal is the latest in a long-standing trend by many nations to have competitors withdraw from competitions in order to avoid facing Israelis.
The Chess4Solidarity initiative has been a key component to Israel-Bhutan relations since the countries normalized ties in December 2020.
Israel and some Western countries have accused Iran’s regime of seeking to build, as well as secure technology for, a nuclear weapons device.
The event included 435 players from around the world.