[Bitcoin Now] Iran Launches Bitcoin Insurance for the Strait of Hormuz

Iran has launched a Bitcoin-based insurance service for vessels passing through the Strait of Hormuz.

According to Iran’s semi-official Fars News Agency on May 17 (local time), a website called "Hormuz Safe" has begun offering insurance services for maritime cargo passing through the Strait of Hormuz.

Fars News Agency reported that Iran’s Ministry of Economic Affairs has been working on a plan to manage the Strait of Hormuz using insurance since early this month. It also explained that Iran expects to generate over $10 billion in revenue through this initiative.

Regarding Hormuz Safe, Fars News Agency stated that "cryptographically verifiable insurance policies are provided for cargo passing through the Persian Gulf, the Strait of Hormuz, and surrounding waters," adding that "payments are settled in Bitcoin."

Bloomberg News pointed out that there is uncertainty as to whether this system can function in practice. It noted that Bitcoin’s high volatility has limited its adoption as a payment method. In addition, the report explained that foreign shipowners may be reluctant to use the insurance due to concerns about violating U.S. sanctions against Iran.

This content was produced with the assistance of AI translation services.