U.S. OFAC sanctions two Iranian maritime insurers over Bitcoin toll scheme
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The U.S. Office of Foreign Assets Control on July 29 designated HormuzSafe Marine Services Authority and Persian Gulf Marine Insurance Company as blocked entities. U.S. persons must now freeze any property of the firms and report transactions to OFAC within 10 business days. The Treasury Department alleged the companies support an Islamic Revolutionary Guard Corps-backed scheme that forces commercial vessels to purchase insurance for Strait of Hormuz passage, accepting Bitcoin to bypass sanctions.
The Sanctions Action
The OFAC notice listed both Iranian maritime insurance firms under Executive Order 13902 for operating in Iran’s financial sector, subjecting them to secondary sanctions. HormuzSafe had previously been described as a Bitcoin-settled insurance proposal. The designation adds two named entities to an existing framework but identifies no wallet addresses or payment volumes.
Alleged Iran-Backed Scheme
Treasury alleged that HormuzSafe and PGMIC support an IRGC-backed scheme that coerces commercial vessels into buying insurance for safe transit through the Strait of Hormuz. HormuzSafe accepts Bitcoin and other digital assets to bypass Western sanctions. The strait handles roughly one-fifth of global oil consumption, making it a critical maritime chokepoint.
Compliance Obligations
U.S. persons must freeze any property of these entities in their possession and report to OFAC within 10 business days. The 50 Percent Rule blocks unlisted entities if blocked persons own at least 50%, directly or indirectly. OFAC recommends ownership due diligence on counterparties and account relationships. Foreign exposure turns on any U.S. nexus, not merely transiting the strait.
What's Next
The move heightens compliance risks for international shipping and crypto firms with any U.S. nexus, even as the designated pages lack specific crypto wallet addresses. It remains unclear whether further designations or guidance will follow to clarify the scope of digital asset exposure.
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U.S. OFAC sanctions two Iranian maritime insurers over Bitcoin toll scheme
