US Treasury sanctions two Iranian insurance firms that are allegedly linked to an IRGC-backed insurance network. One of the companies is said to have accepted Bitcoins (BTC) as well as other digital assets in order for them not be subjected Western sanctions.
The Treasury Department’s Office of Foreign Assets Control announced on Wednesday that the Office of Foreign Assets Control is now a part of Treasury. said It claimed that Persian Gulf Marine Insurance Company (PGMIC) and HormuzSafe Marine Services Authority (HormuzSafe Marine Services Authority) were part of an IRGC backed insurance system that mandated commercial vessels purchase coverage approved before crossing the Strait of Hormuz. They were allowed to work in Iran’s financial sector.
This action follows earlier reports that Iran had considered a Bitcoin-based platform for maritime insurance. US authorities claim that this network is now generating revenue for IRGC. Treasury has also identified eight ships as being blocked and sanctioned companies that are linked to Iran’s shadow fleet.
OFAC stated that HormuzSafe accepts BTC as well as other crypto currencies in order to avoid sanctions. The platform was said to generate revenue for the IRGC and help Iran gain greater control of shipping in the strait.
“The United States will not allow Iran to hold global commerce hostage,” Treasury Secretary Scott Bessent has accused the regime of utilizing international shipping to raise money for the IRGC.
HormuzSafe moves from a reported report to a sanction target
HormuzSafe screenshot of May 18 had circulated online offering “digital insurance” Policies are payable in Bitcoin for shipping. The website at the time was not accessible, despite reports that Iran still considered the insurance model.
Fars News Agency of Iran (a media owned by the Iranian government) said the platform would be able to issue certificates and policies for marine insurance, as well as financial responsibility certificates. It could also generate more than $10 billion dollars in revenue.
You can also find out more about the following: Strait of Hormuz About one fifth of global oil is traded through waterways, so efforts to control or monetize traffic have significant impacts on international energy markets.
Related: Bitcoin threatens $62K in risk-asset rout as President Trump says US will ‘run’ closed Hormuz Strait
The Bitcoin Policy Institute was cited in earlier reports that Iran would accept oil tolls paid with Chinese yuan (CHF), Tether USDt(USDT), or Bitcoin. But there were no proofs on-chain. Bitcoin payments had yet been made.
Bitcoin is attractive because there are no central issuers that can freeze funds. This makes it different from centralized stablecoins, whose issuers have the ability to block addresses. In April, US authorities froze $344 million USDT, a stablecoin tied to Iran.
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Source: cointelegraph.com
