U.S. sanctions Iran-linked bitcoin insurance scheme for Strait of Hormuz ships

At the time the platform’s website showed only a landing page, and CoinDesk could not verify whether it was operational or whether any cargo owners had used it. Fars claimed at the time the model could generate more than $10 billion without explaining how it arrived at that figure.

The policies were approved by the Persian Gulf Strait Authority, an IRGC-backed body Treasury designated in May. Both firms were sanctioned under an executive order covering Iran’s petroleum and petrochemical sectors.

Designation means U.S. persons are barred from dealing with the two companies, and foreign firms that transact with them risk sanctions themselves. Payments in bitcoin carry the same exposure as payments through banks.

“With its economy in freefall and inflation in the triple digits, the regime is desperate for cash,” Treasury Secretary Scott Bessent said in the statement.

The Strait of Hormuz is one of the world’s most important energy chokepoints, and traffic through it has thinned during weeks of U.S. strikes on Iran that have kept oil prices elevated.