US Treasury Sanctions Iran-Linked Bitcoin Insurance Scheme Targeting Hormuz Shipping

The US Treasury Department has sanctioned two Iranian maritime insurance firms accused of forcing commercial ships to buy bitcoin backed coverage to pass through the Strait of Hormuz, with proceeds allegedly funneled to the Islamic Revolutionary Guard Corps.

Two Firms Designated Under Sanctions

The Office of Foreign Assets Control named Persian Gulf Marine Insurance Company and HormuzSafe Marine Services Authority, known as Hormuz Safe, as the entities behind the scheme. Treasury described the arrangement as extortion rather than genuine insurance, noting the policies covered risks like vessel seizures that Iran itself largely creates.

Bitcoin Payments Used to Dodge Sanctions

According to Treasury, Hormuz Safe was developed by Iran’s Ministry of Economy and accepts bitcoin and other digital assets as part of the regime’s effort to bypass Western sanctions. The plan was first reported in mid-May, based on state-linked Iranian media accounts describing a proposal to manage Strait shipping through bitcoin-settled marine insurance. At that time, the platform’s website showed only a basic landing page, and it remained unclear whether it was fully operational.

IRGC Ties and Financial Pressure

The insurance policies were approved by the Persian Gulf Strait Authority, an IRGC-linked body sanctioned earlier this year. Both newly designated firms fall under an executive order targeting Iran’s petroleum and petrochemical sectors, meaning US persons are barred from dealing with them and foreign firms risk exposure for engaging, including through bitcoin payments. Treasury Secretary Scott Bessent said Iran’s collapsing economy and triple-digit inflation are driving the regime’s search for cash.