Iran Reportedly Launches Bitcoin-Based Insurance Service for Shipping in Strait of Hormuz

Deep News05-18 21:56

According to documents obtained from Iran's Ministry of Economic and Financial Affairs, as reported by the semi-official Fars News Agency, Iran has initiated a shipping insurance service backed by Bitcoin, targeting shipping companies seeking to transit the Strait of Hormuz.

The service, named "Hormuz Safe," is projected by the Iranian government to generate over $10 billion in revenue for the country. However, specific timeframes and operational details of the service have not been disclosed.

Since the United States and Israel began airstrikes against Iran starting February 28, Iran has effectively closed the Strait of Hormuz. This waterway is a crucial channel for global energy supply and the flow of other goods. Following this, the Iranian government and the Islamic Revolutionary Guard Corps have been seeking to institutionalize their control over this route, including imposing tolls and other fees, with insurance services potentially becoming another means of fundraising.

Based on screenshots of the "Hormuz Safe" website shared by Fars, the service targets "Iranian shipping companies and cargo owners." Iran has long been subject to severe U.S. sanctions, and the use of cryptocurrencies such as Bitcoin and Tether has significantly increased since U.S. President Donald Trump began targeting Iran's economy and energy exports during his first term.

"For goods passing through the Persian Gulf, the Strait of Hormuz, and surrounding waterways, insurance policies verifiable through encryption technology will be provided, with premiums settled in Bitcoin," Fars News Agency reported, citing the website hormuzsafe.ir, which appears to be inaccessible outside Iran. "Cargo will be insured upon confirmation, and a signed receipt will be issued to the cargo owner."

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