Iran’s Islamic Revolutionary Guard Corps Navy is now requiring commercial vessels to coordinate their passage through the Strait of Hormuz, the narrow waterway separating Iran from the Arabian Peninsula. Every oil tanker, cargo ship, and commercial vessel looking to transit must get authorization from the IRGC before proceeding.
Iran has also floated the idea of Bitcoin-settled maritime insurance and a crypto-based toll system for oil tanker passage, potentially priced around $1 per barrel.
What’s actually happening in the strait
The IRGC reported that on May 20, it authorized 26 vessels to cross within a single 24-hour window. Between late May and early June, daily transits ranged from 15 to 35 vessels receiving IRGC approval.
Military vessels have been outright prohibited from passage. Commercial ships, meanwhile, face a detailed review process covering their cargo and destination before getting the green light.
