Iran: Toll System for Strait of Hormuz Included In Peace Deal

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Iran’s Fars news agency has reported that the proposed peace deal between US and Iran explicitly recognises joint Iranian-Omani authority over management of the Strait of Hormuz.

The agency claimed it was an amendment that appeared in the “final moments” of negotiations. Iran has agreed to allow free passage in the strait for 60 days and then plans to collect revenues for security, navigation, environmental and insurance services.

The idea of a toll first appeared in early April. The initial plans for the toll suggested that ships would pay $1 per barrel of oil and that the toll could be paid using cryptocurrencies, including Bitcoin. 

Bitcoin was chosen as the preferred means of payment because it bypasses traditional financial channels, is non-sovereign, and is not exposed to sanctions.

However, vice president JD Vance told CNBC: “Our expectation is that the strait is going to be opened in a toll-free way for the long term, and that’s the sort of thing that we’re going to figure out in these technical negotiations.”

Any toll system would be a major concession from Trump who previously said that the shipping lane would remain “permanently toll-free.”

Emmanuel Macron, the French president, has said that any tolls on the strait would violate international law, vowing that “we will do everything” to avoid them.

If toll payments are made with Bitcoin, these will all be visible on-chain and will be trackable using Arkham Intel. 

This is a developing news story.