Following a two-week ceasefire agreement between the United States and Iran, Iranian authorities have introduced a Bitcoin-based strategy to maintain control over the Strait of Hormuz, while permitting oil tankers to continue their passage. According to a Financial Times report from Wednesday, Iran plans to impose a $1 fee per barrel of oil traversing the strait, with payments required in Bitcoin.
Ships must notify Iranian officials about their cargo contents and await authorization before proceeding. Once approved, operators have “a few seconds” to transfer Bitcoin to an Iranian-controlled wallet. An Iranian official explained this system prevents fees from being traced or seized due to sanctions.
The initiative aims to prevent weapon transit through the Strait during the ceasefire period agreed upon by the United States and Iran. The conditions for implementing this toll were determined by Iran’s Supreme National Security Council.
Iran gained control of the Strait shortly after attacks on its territory by the United States and Israel in late February, impacting a third of global crude oil supply that passes through annually. The conflict has led to soaring oil prices.
Other regional oil exporters like Saudi Arabia, UAE, and Qatar may oppose Iran’s extended control over the shared waterway.
On Wednesday morning, President Donald Trump expressed interest in possibly collaborating with Iran on tolls in a joint venture during an interview on ABC News. However, Iranian officials did not mention any such arrangement when announcing their Bitcoin-based plan.