US OFAC Warns: Paying 'Strait of Hormuz Toll' to Iran via Digital Assets Carries Sanction Risks

On May 2, the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) stated that it has noted threats issued by Iran regarding shipping, as well as demands for payment of tolls through the international Strait of Hormuz for safe passage. These demands may include various payment methods, such as fiat currency, digital assets, offset arrangements, informal swaps, or other physical forms of payment, such as nominal charitable donations to the Iranian Red Crescent Society, the Bonyad Mostazafan Foundation, or accounts of the Iranian embassy. OFAC issued this warning to remind U.S. and non-U.S. entities that making payments to the Iranian regime or seeking passage guarantees carries sanction risks, regardless of the payment method.