Hormuz require to use a secret code / crypto payment and furute proposals

[arzuo]

This news seems positive to me for the crypto market / future of crypto.

According to Bloomberg, ships wishing to transit the Strait of Hormuz will be required to use a secret code and a one-time or crypto payment.

Why could this be positive for crypto?

The tendency to avoid conventional banking systems
If ships are asked to use a “secret code” or crypto payment, it is understood that

There may be an attempt to avoid international sanctions.

If the crypto potential situation is good, it would be great to highlight the following proposals!

# Alternatives to SWIFT or banking channels may be sought.

# Geopolitical pressure = increased use of crypto

# If political tensions or sanctions increase in the Middle East region

# Alternative economic systems and neutral financial systems may emerge.

# Possible future scenarios: Use of crypto in the shipping industry, payment of fees in stablecoins, port clearance or transit fees could be on the blockchain.

[OmegaStarScream]

This article here claim that the payments are negotiated in Chinese Yuan or stablecoins[1]. But I don't see it happening. Why would they go with any major stablecoin when the risk of their wallets getting tracked and frozen is high, or pretty much guaranteed? Them using something more decentralized like BTC sound more believable to me...

[1] https://www.independent.co.uk/news/world/middle-east/iran-oil-tanker-strait-hormuz-tollbooth-crypto-b2950686.html

[Karl_3000]

I saw it on the news I think yesterday. According to the news, it has started already but only stable coins was mentioned aside yuan which is still not good. Why stable coins all the time? It is very possible that it will be coins that may be freezed like USDT or USDC was that I was thinking as some USDT has been

Recent reports from blockchain analytics firms Elliptic and Chainalysis indicate that Iran has utilized US dollar-pegged stablecoins, particularly Tether (USDT), as a central component of its financial operations to evade international sanctions

https://www.elliptic.co/blog/iran-has-acquired-us-dollar-stablecoins-worth-at-least-half-a-billion-dollars

I hope their USDT will not be frozen.

Why do Iran not make bitcoin part of the payment options? A coin that can not be frozen.

[Hazink]

This article here claim that the payments are negotiated in Chinese Yuan or stablecoins[1]. But I don't see it happening. Why would they go with any major stablecoin when the risk of their wallets getting tracked and frozen is high, or pretty much guaranteed? Them using something more decentralized like BTC sound more believable to me...

Even if no one is aware of the danger of using USDT or any other stablecoin in a crisis, then the incident with Venezuela should serve as a warning and such an option should not even be considered. It's better to use the Chinese yuan than go for USDT, or better still, they should go for cash payment of what ever currency they choose I consider that safer to avoid the 3 letter government in collaboration with Trump get the fund frozen.

[Fiatless]

Use of crypto in the shipping industry, payment of fees in stablecoins, port clearance or transit fees could be on the blockchain.

This is not the first time a country has used crypto to bypass international payment platforms like SWIFT. The speculations that Russia has been using cryptocurrencies for international trade. This is a temporary payment system that might stop immediately the war ends.

I am wondering how Iran will accept such payments in stablecoins that are usually pegged to the dollar. Can't these payments be tracked and frozen by the US government? I have heard of countries bypassing sanctions through using Bitcoin and others but never heard of stablecoins. China has not yet rolled out its own stablecoins so I am wondering how Iran will deal with this. Maybe they they are not giving out the right information. They might be using Bitcoin or other decentralized coins.

[promise444c5]

This article here claim that the payments are negotiated in Chinese Yuan or stablecoins[1]. But I don't see it happening. Why would they go with any major stablecoin when the risk of their wallets getting tracked and frozen is high, or pretty much guaranteed? Them using something more decentralized like BTC sound more believable to me...

Even if no one is aware of the danger of using USDT or any other stablecoin in a crisis, then the incident with Venezuela should serve as a warning and such an option should not even be considered. It's better to use the Chinese yuan than go for USDT, or better still, they should go for cash payment of what ever currency they choose I consider that safer to avoid the 3 letter government in collaboration with Trump get the fund frozen.

And do you think everyone really care about the full details on how their assets were seized or frozen?
I’m sure there are still a lot of people who don’t know it’s actually possible.

[Joy_learns_crypto]

Use of crypto in the shipping industry, payment of fees in stablecoins, port clearance or transit fees could be on the blockchain.

This is not the first time a country has used crypto to bypass international payment platforms like SWIFT. The speculations that Russia has been using cryptocurrencies for international trade. This is a temporary payment system that might stop immediately the war ends.

I am wondering how Iran will accept such payments in stablecoins that are usually pegged to the dollar. Can't these payments be tracked and frozen by the US government? I have heard of countries bypassing sanctions through using Bitcoin and others but never heard of stablecoins. China has not yet rolled out its own stablecoins so I am wondering how Iran will deal with this. Maybe they they are not giving out the right information. They might be using Bitcoin or other decentralized coins.

Iran can’t be struggling not to use the US dollar and then use a us dollar pegged stable coin. It can be traced and they aren’t up against it being frozen by the us although I don’t think the US can just freeze it but it can be hacked .
Iran has been working in secret last time they lied about the reach of their missile so yes they could be giving the wrong information again.

[Hazink]

Even if no one is aware of the danger of using USDT or any other stablecoin in a crisis, then the incident with Venezuela should serve as a warning and such an option should not even be considered. It's better to use the Chinese yuan than go for USDT, or better still, they should go for cash payment of what ever currency they choose I consider that safer to avoid the 3 letter government in collaboration with Trump get the fund frozen.

And do you think everyone really care about the full details on how their assets were seized or frozen?
I’m sure there are still a lot of people who don’t know it’s actually possible.

I don't doubt you, there are a lot of people who don't really know, just as most people don't know, that not everything called cryptocurrency is decentralised.

But it would be very foolish for a nation to decide on using something which they did not conduct research on in referring to a country choosing USDT as a means of large-scale exchange, especially when they are not in diplomatic agreement with the US government.

That would be a direct donation dashed to tether and the Trump administration as the possibility of it being tracked and seized is on the high side.

[serjent05]

This article here claim that the payments are negotiated in Chinese Yuan or stablecoins[1]. But I don't see it happening. Why would they go with any major stablecoin when the risk of their wallets getting tracked and frozen is high, or pretty much guaranteed? Them using something more decentralized like BTC sound more believable to me...

Even if no one is aware of the danger of using USDT or any other stablecoin in a crisis, then the incident with Venezuela should serve as a warning and such an option should not even be considered. It's better to use the Chinese yuan than go for USDT, or better still, they should go for cash payment of what ever currency they choose I consider that safer to avoid the 3 letter government in collaboration with Trump get the fund frozen.

Choosing the stablecoin USDT or USDC would be the worst decision made.  Developers have control over the USDT and USDC blockchain and can block any address anytime.  Just think of the scenario when everything seems ok, and people are paying in USDT or USDC, then all of a sudden the developers of these stablecoins were ordered to freeze or block the address that received the toll payment. Then if their receiving wallet was frozen, then all of their effort of collecting money and the risk will all be in vain.

[Alphakilo]

Use of crypto in the shipping industry, payment of fees in stablecoins, port clearance or transit fees could be on the blockchain.

This is not the first time a country has used crypto to bypass international payment platforms like SWIFT. The speculations that Russia has been using cryptocurrencies for international trade. This is a temporary payment system that might stop immediately the war ends.

I am wondering how Iran will accept such payments in stablecoins that are usually pegged to the dollar. Can't these payments be tracked and frozen by the US government? I have heard of countries bypassing sanctions through using Bitcoin and others but never heard of stablecoins. China has not yet rolled out its own stablecoins so I am wondering how Iran will deal with this. Maybe they they are not giving out the right information. They might be using Bitcoin or other decentralized coins.

Bitcoin is supposed to be a top consideration as the Iranian de-dollarization plan is in progress because the USDT of which is under Tether with strong links to the US government, can at any time freeze any wallets associated with the Iranian nation.
I think though that this is where mixers would be vastly used to evade situations like this , but there's also the Chinese Yuan in play for payments to get the secret code to get through.

This is also a warning to investors that this isn't an investment opportunity but a geopolitical crisis and that means don't go swapping all your BTC holdings to USDT because of this news because BTC remains valuable.
Although BTC is highly volatile now due to every news from this angle, hence its current price, please traders should use risk management procedures like to ensure that stop loss are set to prevent liquidity that's unpredictable.

[macson]

Using USDT or any stablecoin to conduct negotiations is a stupid move. Even though USDT is pegged to the dollar, it is very easy to track and freeze. I don't think it's a wise decision for them to use stablecoins knowing how easy it is to intervene. In my opinion, using Yuan is much easier and safer for these negotiations.

[rat03gopoh]

Why stable coins all the time? It is very possible that it will be coins that may be freezed like USDT or USDC was that I was thinking as some USDT has been

They don't store it for a long time, they use special brokers who provide great liquidity to exchange stable coin pairs to domestic currencies or safer  cryptocurrencies.

As far as I know, they also own Nobitex, the main local exchange which is still operational and the funny thing is they have a USDT/Rial token pair.

[SeriouslyGiveaway]

This article here claim that the payments are negotiated in Chinese Yuan or stablecoins[1]. But I don't see it happening. Why would they go with any major stablecoin when the risk of their wallets getting tracked and frozen is high, or pretty much guaranteed? Them using something more decentralized like BTC sound more believable to me...

Stablecoins are reasonable but there are risk of fund freeze by governments and stablecoin companies so it's not a safe option.
Chinese Yuan can be another choice and likely it is safer than stablecoins but it is less convenient than stablecoins as it will have to go through bank systems with money tracking and anti money laundering. Funds in bank accounts can be frozen too, while if Chinese Yuan is used for this purpose, it's like an official announcement that China and Chinese government are engaged deeply with Iranian regime that is not what they really like to admit.

PSA: Most Stablecoins Can Be Frozen, Even in Your Own Wallets
Can stablecoins frozen by issuers?

[yhiaali3]

Using stablecoins as tolls for crossing the Strait of Hormuz is never an ideal option for Iran because these are simply central currencies pegged to the dollar and can be easily tracked and frozen at the request of the United States. The ideal option is to use Bitcoin or another cryptocurrency with privacy.

As for the use of the yuan to cross the Strait of Hormuz, it will be a good deal for China, which came to it for free, and a harsh blow to the United States, which had hoped that the results of the war would be control of the strait or at least that it would be under its supervision.

[JeffBrad12]

Using USDT or any stablecoin to conduct negotiations is a stupid move. Even though USDT is pegged to the dollar, it is very easy to track and freeze. I don't think it's a wise decision for them to use stablecoins knowing how easy it is to intervene. In my opinion, using Yuan is much easier and safer for these negotiations.

USDT is basically a bank in the blockchain, if the money reaches millions it will get flagged everywhere, CEX will demand for additional verification data, big move will alert those whale alert bots, big redeem will potentially get halted by Tether themselves and it could even get frozen.

[MarjorieZimmermanGinger]

Why could this be positive for crypto?

The tendency to avoid conventional banking systems
If ships are asked to use a “secret code” or crypto payment, it is understood that

There may be an attempt to avoid international sanctions.

So what about the freeze? Did Iran consider this situation, or did they deliberately spread this kind of news to create a stir among their opponents? Iran is not stupid and I suspect they are considering the Yuan as a means of transaction rather than using stablecoins. If the reason is to circumvent international sanctions, using the Yuan should be a much better choice.

But in certain contexts, evading secondary sanctions from the United States will not be avoided even if they use the Yuan as a means of transaction. Iran is not a small country; it was once a powerful nation during the Persian period, so any steps taken must have been carefully considered and based on sound testing.

[NeuroticFish]

# Possible future scenarios: Use of crypto in the shipping industry, payment of fees in stablecoins, port clearance or transit fees could be on the blockchain.

Stable coins are the poorest option, since they can be seized programmatically.
Smart people would use proper strong and decentralized blockchains like Bitcoin, or, if they don't want the world find out about the payment, then Monero.

Even more, the news on the matter are imho chaotic and cannot be trusted.
One tells about payment, another one denies that.
One tells about Yuan, others tell about USDT (!!!???!)
I've read lately some claims that some EU ships were allowed because they've paid (for the cargo, not for the passage!) in EURO (duh!)

[noorman0]

-snip-
I've read lately some claims that some EU ships were allowed because they've paid (for the cargo, not for the passage!) in EURO (duh!)

That's impossible. Iran is still under secondary international sanctions from the European Union, and I think those are still in effect, including restrictions on the use of EUR.
Or, are you referring to the logistics ships from Western Europe (flying the Maltese flag) that were first permitted after the war broke out?

[NeuroticFish]

-snip-
I've read lately some claims that some EU ships were allowed because they've paid (for the cargo, not for the passage!) in EURO (duh!)

That's impossible. Iran is still under secondary international sanctions from the European Union, and I think those are still in effect, including restrictions on the use of EUR.
Or, are you referring to the logistics ships from Western Europe (flying the Maltese flag) that were first permitted after the war broke out?

I had to search back and I've found claims like

IRAN OFFERED EU A HORMUZ DEAL PETRODOLLAR AT RISK
Iran: EU gets Hormuz transit pays in EUROS, not dollars
THIS IS HUGE: • Hormuz = 20% of world's oil • EU energy bill up $16.2B in 30 days • Gas up 100%, oil up 60%
One non-dollar oil deal could trigger: → BRICS accelerates

or

European tankers that pay their oil in Euro or RMB - is able to get free pass through Straits of Hormuz. No USD payment allowed!

I didn't verify whether they are real - as I stated already, I find the other claims too - e.g. those related to USDT - mere speculations.

[aoluain]

This news seems positive to me for the crypto market / future of crypto.

According to Bloomberg, ships wishing to transit the Strait of Hormuz will be required to use a secret code and a one-time or crypto payment.

I dont think that is correct, AFAIK Iran are requesting that oil be paid in Chinese Yuan or
Iranian Rial. Iran have control over the traffic through the strait of Hormuz and are looking
to damage the petrodollar system and create an alternative based on the Yuan, they
dont necessarily need to request Bitcoin or crypto.

Its possible that Bloomberg are correlating the control of the Strait of Hormuz to Bitcoin
but in a negative way.

The secret code is correct. After a deal has been made with the Iranian officials about
payment the code is given so that it can then be passed to the IRGC and safe passage
will follow.