BREAKING: Iran Mandates Crypto or Yuan Payments for Strait of Hormuz Transit

Iran has issued a directive requiring vessels from friendly nations to pay transit fees through the strategic Strait of Hormuz exclusively in cryptocurrency or Chinese yuan, according to a Bloomberg report. The move represents a significant geopolitical shift toward digital asset and alternative currency adoption for critical global trade routes, with ships now needing to settle fees in these forms before receiving naval escort through the chokepoint.

Iran’s National Security Committee has approved a bill that would impose fees on the Strait of Hormuz, the semi-official Fars news agency reported, citing a member of the committee. The contours of a more formal system are now emerging, based on the accounts of multiple sources with knowledge of the situation.

Specifically, if a vessel makes the cut, then discussions over the toll begin. The people said that the Iranians have a ranking system of one to five for nations, with ships from countries that are seen as friendly more likely to get better terms. For oil tankers, the starting price in the negotiations is typically around $1 per barrel of oil, paid in yuan, or stablecoins — cryptocurrencies pegged to the value of hard currency.

Ship owners and operators face difficult legal questions over whether they should pay tolls, which rules, sanctions, and conventions may be applied to them by the US and Iran, and what might be covered by their insurance. The crypto route is an interesting option, but it is likely not covered by any insurance and is meant to be an encrypted way of paying. It is unclear how many oil rigs would agree to pay the fees in crypto vs the Chinese Yuan.

Furthermore, US President Donald Trump said on Tuesday night that he wants to end the US’s war with Iran within two or three weeks, whether or not the Strait of Hormuz is reopened. After his comments, Israel and the US continued to strike Iran, which fired missiles and drones at targets across the region.