Iran has launched a platform called “Hormuz Safe” designed to provide digital insurance policies for vessels passing through the Strait of Hormuz, with the system reportedly accepting cryptocurrency payments.
The insurance crisis in the strait
War-risk insurance premiums for vessels transiting the strait have surged from roughly 0.25% to as high as 10% of a vessel’s value for a single passage. A ship worth $100 million could face a $10 million insurance bill just to sail through the corridor. Average daily ship transits through the strait have dropped by about 95% due to heightened risks and threats from Iranian forces, according to recent tracking data.
Why crypto payments matter here
Iran has been under extensive international sanctions for years, which means the country is largely cut off from the global banking system. Traditional insurance payments routed through Western financial institutions would be flagged, frozen, or blocked outright. Iran has previously used digital currency channels, including Bitcoin, for international trade.
