Remix.run Logo
Iran starts Bitcoin-backed ship insurance for Hormuz strait(bloomberg.com)
135 points by srameshc 3 hours ago | 198 comments

https://finance.yahoo.com/markets/crypto/articles/iran-start...

everdrive 3 hours ago | parent | next [-]

Much of the post-WW2 American-led world order was founded partially on the United States using its military to keep international waters open. It would be quite stunning Iran defeated the united states in this sense. The military might is there, but this administration clearly had no idea what they were getting themselves into and did not plan accordingly. (and does not have the will or public support to do so)

The baffling part of this is that nearly everyone was aware that Iran could close the straight if pressed hard enough. The fact that this outcome is surprising represents a very loud and public failure on the administration's part.

mrandish 2 hours ago | parent | next [-]

I don't know enough about the current state of naval warfare but I've assumed this is related to the asymmetry that's emerged around protecting capital warships, especially in the scenario of a very narrow strait and a long enemy-controlled coastline. They can shoot relatively low-cost, short-range guided missiles from anywhere along the coast. Even if a warship stops the vast majority of them, only one has to get through to sink a multi-billion dollar ship that takes a decade to replace.

There are now similar asymmetries emerging across war-fighting and even though warships can still be effective (and less vulnerable) in other scenarios, this specific one seems especially bad. The other factor is that most of what ships carry through the straight isn't going directly to the U.S. so the impact on the U.S. is mostly secondary, reducing the risk the U.S. is willing to take. Of course, all this was known beforehand by military strategists which makes this all look even worse for the U.S. administration.

nradov 18 minutes ago | parent | next [-]

Modern US surface warships such as the DDG-52 Arleigh Burke class are pretty survivable. The Iranians (and their Houthi proxies) have made sustained attacks on them and don't seem to have hit anything. And a single hit would be highly unlikely to sink such as vessel: we're not talking about something like the Russian Moskva cruiser that was crewed by drunks and had inoperative defensive systems.

The real problem is that there are too few such vessels to sustain convoy escort operations. Each destroyer can only provide area air defense for a handful of merchant vessels, and they can only stay on station for a few days at a time before they have to cycle out to refuel, rearm, and conduct critical maintenance. Some of the key munitions also appear to running low. And it appears that the other Gulf states are refusing to allow use of their facilities over fears of Iranian retaliation.

Other countries generally aren't really in a position to assist as part of a coalition either. They either don't have sufficiently capable warships at all, or lack the logistics train to sustain them in the Persian Gulf / Gulf of Oman region. After the Cold War a lot of countries like the UK and Germany essentially dismantled their navies so that they now exist only as government jobs programs.

xrd 10 minutes ago | parent | next [-]

I don't know anything about this but I am a software engineer.

Stop laughing for a minute because I do have a point.

As a software engineer, I typically build something and engineer it so I can iterate quickly and improve it. I know that the first version won't work.

Isn't this a perfect opportunity for Iran to iterate on sinking cargo ships? I'm struggling to believe that a regime that is (allegedly) weeks away from a nuclear bomb wouldn't be able to keep launching missiles at ships until they notice the right type of hole.

And, think of the apprenticeship opportunities.

crossbody a few seconds ago | parent [-]

Iterating on a rocket design is not like making a tweak to a line of code. It needs production line changes, manufacturing, testing, (repeat X times) where the process takes weeks, months or even years untill desired results can be achieved. And their manudacturing sites have been reduced to rubble, so that slows things down too.

bparsons 4 minutes ago | parent | prev [-]

The Iranians (and their Houthi proxies) have made sustained attacks on them and don't seem to have hit anything.

That's because the US has kept the surface combatants far back from the Persian Gulf for the duration of the war.

As far as we know, they have attempted to run the strait twice and had to turn back because they were under sustained attack.

I assume these ships can defend themselves for some period of time, but eventually the munitions run out, and they become sitting ducks. There is a reason the US Navy fled the Persian Gulf on Feb 26 and has not returned since.

Majromax 27 minutes ago | parent | prev | next [-]

> I don't know enough about the current state of naval warfare but I've assumed this is related to the asymmetry that's emerged around protecting capital warships, especially in the scenario of a very narrow strait and a long enemy-controlled coastline.

It's not the billion-dollar warships that transport oil, it's the much more fragile and unarmed tankers.

Even if the US Navy begins full escort duty, it can't remain on-station forever. What are shippers to do afterwards? One drone strike might cause a tanker to have a very bad day, yet it's extremely difficult to so permanently degrade an entire country that they become incapable of launching sporadic attacks.

Ultimately, the status of the Strait must be settled diplomatically, and the US and Iran are each betting that the other side will blink first.

dragontamer 5 minutes ago | parent [-]

It's not even the strait that's the important geopolitical entity here. It's all the oil pumps and refineries in Saudi Arabia, Qatar or UAE.

The US began to patrol the strait with Destroyers and immediately stopped when the scared Saudis immediately realized that Iran was about to attack Saudi oil rigs.

--------

Iran has too many targets and the only thing that can stop them is the equivalent to an Israeli Iron Dome across the entirety of the Middle East, Saudi Arabia, Qatar and UAE, maybe more.

wongarsu 17 minutes ago | parent | prev | next [-]

All of this was well known before the war though. The idea that navy is incredibly vulnerable modern anti-ship defenses has been a major consideration in the Taiwan situation for at least a decade (mostly in relation to the ability of the US navy to even operate in the area in a war). More recently, Ukraine has made a great show of sinking navy ships with cheap unmanned surface vehicles

Back in WWII you could sail your navy up a river and expect positive results. In the 21st century, the idea of attacking an enemy-held strait with navy doesn't work

taffydavid 2 hours ago | parent | prev | next [-]

Cheap drones taking out an AWACS is a great example of this. The US has only 16 of these and it will cost $700 million to replace, and was taken out by a drone that probably cost less than your car.

euroderf 2 hours ago | parent [-]

The very definition of asymmetric.

ifwinterco an hour ago | parent | prev [-]

The US military is also just less powerful than it was at its peak at the end of the Cold War as well.

Still the most powerful navy in the world, but spread increasingly thin (turns out "the whole world" is quite a big place).

This is no longer Reagan's (almost) 600 ship navy, and projecting power halfway round the world is no mean feat when your opponent can lob missiles and drones at you from their back garden

AnonC 2 hours ago | parent | prev | next [-]

> United States using its military to keep international waters open

Being a little pedantic, as per my knowledge, the Strait of Hormuz is not “international waters”. It’s territorial waters belonging to Iran and Oman. AFAIK, Iran hasn’t ratified UNCLOS either, and claims it is not subject to it.

Majromax 19 minutes ago | parent | next [-]

> It’s territorial waters belonging to Iran and Oman.

The trick is that it's still an 'international strait', or a segment of water that forms the only connection between two areas of high seas -- in this case the Persian Gulf and the Gulf of Oman. The principle of freedom of navigation establishes that innocent traffic (civilian traffic, and even warships in peacetime) have a right to use the strait to go from one body of international water to the other.

Iran may claim that it doesn't have to abide by that right, but international law is never self-executing. One question to be resolved by this war is whether Iran will ultimately recognize the right to navigation in any settlement (and then choose to abide by said settlement).

nradov 15 minutes ago | parent | prev | next [-]

If Iran doesn't want to observe the terms of the UNCLOS (regardless of whether they have ratified it or not) then their territorial waters claims revert to the older 3NM limit. They can't have it both ways. Of course, in practice those legalisms don't matter without a means of enforcement.

adrr 33 minutes ago | parent | prev | next [-]

> Iran hasn’t ratified UNCLOS either, and claims it is not subject to it.

Which isn't unique. Bunch of countries haven't ratified it and aren't legally bound by it but do follow it in spirit. US, Turkey, UAE, Israel etc.

bpodgursky 2 hours ago | parent | prev | next [-]

All straits other than the Bosporus (which has some additional rights to Turkey given the proximity to a major city) are international waters for the purposes of free transit, under the Montreux Convention.

WorkerBee28474 2 hours ago | parent | next [-]

The Montreux Convention only covers the Bosporus and Dardanelles straits. Not all straits in the world.

throw9394048 an hour ago | parent | prev [-]

Why is US blocking hormuz straits then?

nradov 7 minutes ago | parent [-]

The US is is not blocking the Strait of Hormuz. There don't appear to be any US warships even in the Strait at the moment. What the US is doing is enforcing a partial blockade against Iran, largely in waters southeast of the Strait. We can argue about whether this is a good policy but let's not make things up.

https://www.centcom.mil/MEDIA/PRESS-RELEASES/Press-Release-V...

Pay08 2 hours ago | parent | prev [-]

No, the Strait is international waters and always have been.

jbxntuehineoh 2 hours ago | parent | next [-]

Wikipedia says it's been Iranian/Omani territorial waters for quite a while:

> In 1959, Iran altered the legal status of the strait by expanding its territorial sea to 12 nmi (22 km) and declaring it would recognize only transit by innocent passage through the newly expanded area. In 1972, Oman also expanded its territorial sea to 12 nmi (22 km) by decree. Thus, by 1972, the Strait of Hormuz was completely "closed" by the combined territorial waters of Iran and Oman.

FireBeyond 2 hours ago | parent | prev [-]

The Strait may well have some, but the traffic separation scheme for shipping is absolutely in Omani territorial waters, and another part of traversing the Strait includes passing through Iranian territorial waters.

throwaway27448 an hour ago | parent [-]

Ok, so just de facto iranian.

However, I believe Oman also collects fees. So in practice the distinction wrt shipping is moot

w29UiIm2Xz 28 minutes ago | parent | prev | next [-]

The power wasn't there in the first place if the administration couldn't defend Hormuz. It's all the same capital and resources that prior administrations had. The actual blunder was exposing that weakness to the world. We could have done nothing and reputation would've carried the idea that we could.

dylan604 11 minutes ago | parent [-]

> It's all the same capital and resources that prior administrations had.

Is it? Depending on how far back into "prior administrations" you go, the modern US Navy is a shadow of itself.

asdff 2 hours ago | parent | prev | next [-]

Seems like piracy is more about the land than the sea. I can't think of any major american military action against piracy aside from actions against somali terrorists. Seems piracy as it was known historically died out as the old historic pirate havens of say Tortuga or Outer Banks went from places of anarchy to places that were controlled by some government in some capacity. And that is exactly where we see the somali piracy today: here is a state that is unable to govern its land mass and thus there is piracy, even with the american navy directly taking action against this piracy. Seemingly this has nothing to do with the american navy at all, even though that is supposedly one of its mandates and it takes actions in the spirit of advancing these anti piracy goals. The fundamentals of why piracy does and doesn't occur don't really change. It seems it comes down to government capacity on land, not from projecting naval power.

throwaway27448 an hour ago | parent | next [-]

> somali terrorists

Pirates are many things, maybe even criminals under international law, but terrorists they are certainly not.

asdff an hour ago | parent [-]

Are they not commingled with Al Shabaab, Daesh, and the Houthis?

throwaway27448 an hour ago | parent [-]

Sir do you just think all muslims are the same people? What else ties these groups together?

asdff an hour ago | parent [-]

No? I'm talking about who is sponsoring the somali pirates. I'm not connecting them to these groups. They are already connected to these groups in particular. I didn't just name three random terrorist organizations. These groups are all operating in somalia right now.

throwaway27448 an hour ago | parent [-]

I'm not sure the extent to which either Daesh or Andar Allah are formally operating in Somalia, but I apologize if I cast unfair aspersions. I don't believe there are any formal or uniform or centralized funding of the pirates at all, though—many were simply fisherman who could no longer make a living. This is just my understanding however. I'm also open to the idea that the pirates aren't just from Somalia.

asdff 40 minutes ago | parent [-]

The level of ordinance is enough evidence that there is significant outside support. RPG-7s do not grow on trees in Somalia. I hazard to guess an RPG on the black market is also a great expense to anyone who isn't being given one by one of these groups connected to the arms trade in effort to advance their goals or position in some way.

_DeadFred_ an hour ago | parent | prev [-]

I mean that is ignoring the American military experience with Islamic pirates and Islamic slavers.

https://en.wikipedia.org/wiki/Barbary_corsairs

asdff an hour ago | parent | next [-]

That also supports the government capacity argument. The US was able to make peace with the barbary states and extract a right of safe passage assurance from them. Why? Because the leadership of these states had enough government capacity to compel their domestic pirates into agreeing to the terms their government dictated. Today, in Somalia, we see what the lack of government capacity manifests as. I'm sure the government of Somalia does in fact have laws against piracy. The fact they aren't being enforced, and the pirate industry there exists, shows what happens when law and agreements meet the hard realities that there needs to be government capacity to see them enforced and heeded.

_DeadFred_ an hour ago | parent [-]

The Islamic governments there always had the capacity though contrary to your central point. As evidenced by the many treaties there were entered into by those governments, not by the Islamic pirates/slavers.

From the writings at the time 'Muslim sources, however, sometimes refer to the "Islamic naval jihad"—casting the conflicts as part of a sacred mission of war under Allah'

These Islamic pirate/slavers are the SPECIFIC pirates that "The Barbary threat led directly to the United States founding the United States Navy in March 1794.". These are the specific type of pirates that the US Navy was founded to combat to protect ships being seized and their crews sold into slavery.

asdff an hour ago | parent [-]

Of course it gets a little muddy when you consider the europeans also had state sponsored privateers. I would not consider state sponsored pirates like this to be the same as pirates who operated against the interests of basically all states and required a little corner of the earth free of anyone's control to operate. Kind of a different phenomenon with different incentives and funding structures and goals.

throwaway27448 an hour ago | parent | prev [-]

Let us not confuse north africa with the horn of africa. Two wholly different people with different cultures, motivations, and practices.

WarmWash 41 minutes ago | parent | prev | next [-]

The gamble, which was certainly egged on by Israel, was that two stars aligned and it was high time to strike Iran.

The first star was intense civilian unrest, the months leading up to the strikes was marked by riots and protests.

The second star was the meeting of Iran's top brass in one spot at one time, both of which Israel knew about.

It was almost certainly sold to Trump as a domino event, where the US would blow the head off and the people of Iran would ravage the body. On paper it looks clean, and certainly he was riding on a high after the swift coup in Venezuela.

Of course though, that did not happen, and now he had to go to China to beg under a thin veil for them to pressure Iran to back off. Trump rolled a critical failure on what appeared to be a moderate-low risk attempt.

jayd16 36 minutes ago | parent | prev | next [-]

The plan was ostensibly to distract and insider trade. Winning would be counter productive anyway.

amelius an hour ago | parent | prev | next [-]

Say what you want but it seems like Iran are the ones playing 4D chess here.

rainbowzootsuit 2 hours ago | parent | prev | next [-]

I would amend that to be that everyone thought Iran could close the straight, but now they _know_ they can close the straight.

tootie an hour ago | parent | prev | next [-]

Side note that the US offered the same plan as Iran. Selling insurance (in USD) to shippers to transit the Strait. They have done $0 in business.

https://www.ft.com/content/eabadd1a-a712-4b44-99bf-bb50eb753...

option 42 minutes ago | parent | prev | next [-]

This outcome is still favorable for nethyanandu and he used trump and USA as tool.

nerfbatplz 2 hours ago | parent | prev | next [-]

Ironically the US has never ratified UNCLOS. The American professed interest in maintaining right of passage does not appear to require them to be held to the same standards.

Also the Strait of Hormuz is an international strait not international waters. The entire strait lies within Iranian and Omani waters. Frankly it's a bit absurd to complain that your ships can't transit a country's waters while you bomb them.

WarmWash 30 minutes ago | parent | next [-]

No one owns anything or has the right to anything.

Everything is either what you hold by force, or have a friend who holds it by force for you.

Jensson 2 hours ago | parent | prev | next [-]

> Frankly it's a bit absurd to complain that your ships can't transit a country's waters while you bomb them.

The issue is they block all non-Iranian ships, not just American ships. Basically nobody would have complained if they only blocked American ships.

nerfbatplz an hour ago | parent [-]

Incorrect, plenty of countries have had their ships transit the Strait including China, Philippines and Pakistan

https://www.bbc.com/news/articles/c79jqx1xdy9o

LorenPechtel 2 hours ago | parent | prev [-]

The original ship channel was in Omani waters, not Iranian. It is entirely unreasonable to consider it reasonable for Iran to mine Omani waters.

statguy an hour ago | parent [-]

It is reasonable for Iran to do things that hurt the US (and the world) when the US hurts them.

nozzlegear an hour ago | parent [-]

> It is reasonable for Iran to do things that hurt the US

Yes

> (and the world)

No

thiagoharry 41 minutes ago | parent [-]

It is not the world. Only Israel, USA and their direct allies are explicitly banned. Most of the world is not.

myko an hour ago | parent | prev | next [-]

Iran defeated the US the minute trump was sworn in.

In a sense, this is the defeat of the US by bin Laden - it's been a steady slide until the trump cliff since then.

zzzeek an hour ago | parent | prev | next [-]

there is only one man who is surprised and he is Orange and Extremely Ignorant

ericmay 18 minutes ago | parent | prev | next [-]

The post-WW2 American-led world order was, at times a shared world order between the United States and Soviet Union. Free trade, perhaps, was enforced by the United States Navy but that was for the benefit of all nations and it seems to me to have been something pretty widely understood.

If the US military fails to keep international waters open, that harms everyone, and everyone more so than the United States. There's this continued misunderstanding that America did this or that, or securing global shipping is for America to do, or what have you. But you can't have your cake and eat it too here. If you accept American hegemony of the seas and the associated benefits, you have to also accept American action in places like Iran. It's a package deal - you get both or neither. There seems to be a misunderstanding about that, I hope it's a little more clear now.

> It would be quite stunning Iran defeated the united states in this sense.

To this second point, the US can just keep the Strait closed. No big deal. It isn't really possible for Iran to forcibly win here because while the US has higher gas prices, we're the #1 oil and gas market and we can stomach the pain much longer less you get complaints from MAGA/far-left anti-American types. Iran would simply watch their entire economy collapse, while Americans are paying a couple bucks more for cheeseburgers and milkshakes.

But the perspective that the US would be defeated is the incorrect one. In fact, what would be defeated here is the very American-led world order. For the US to be defeated here, as so many seem to rejoice at the prospect of, you would also lose American naval power and security, and instead each and every country would have to spend a lot more human capital and treasure to secure their own shipping and trade arrangements, because there would be no America to come help and save the day. No more NATO. No more caring about Taiwan or Ukraine (remember Iran helps Russians kill Ukrainians?) or getting involved in expeditionary affairs. Much more transactional - pay to play and a global security tax. A scenario like the one in Iran, in which a genocidal dictatorship that is all to happy to steal tribute from weaker nations simply becomes the norm, if not simply more common, and the EU or China or whoever can deal with it.

So I'd say, be careful to join other isolationists and smugly cheer for the US to "lose" to Iran, and in which case you can expect much worse as the US says "forget it" and only seeks to protect its own vital interests without regard to the rest of the world - the Trumpian and far left view which is a marriage of convenience.

colordrops 2 hours ago | parent | prev | next [-]

The administration knew this very well. They've been swinging the markets wildly and intentionally several times and they and their buddies have made billions from it.

electrondood 43 minutes ago | parent | prev | next [-]

> this administration clearly had no idea what they were getting themselves into

All of the advisors in the room with Trump (Cheung, Caine, etc.) told him explicitly after the meeting with Netanyahu that attacking Iran was a horrible idea. His military advisors told him that Strait closure was the most obvious consequence.

The root cause here, is that all decisions are being made by a single biological neural network with a really high error rate, which is increasing.

deadeye 2 hours ago | parent | prev [-]

Or is it posible this administration just took a win-win-win position?

1 - US oil and gas companies make money as oil proces rise. The US is the largest producer in the world.

2 - China loses it's major source of oil and gas.

3 - Iran gets neutralized. It may not look like it now, but it will probably end up that way.

adjejmxbdjdn an hour ago | parent | next [-]

1 - A win for the shareholders of U.S. oil companies, close to half of which aren’t even Americans, but not a win for Americans even on a purely financial basis given that they are paying more for gas and food. 2 - China hasn’t lost its source of gas and oil. They have more reserves than the rest of the world put together and can outlast every other country, and they’re still getting shipments. 3 - The exact opposite of reality. Iran’s potential to acquire nuclear weapons was one of their biggest dangers for the rest of the world. But with this the U.S. has given Iran a new actual power that had been conjectured but never realized. Control over 20% of the world’s fuel supply and large percentages of other critical raw materials.

ifwinterco an hour ago | parent | prev | next [-]

People can try to come up with 4D chess explanations for the Trump admin's actions here all they want, but the truth is this is 0D chess.

Just a massive strategic blunder, one for the history books.

Any minor damage to China is tiny compared to the strategic loss America has undergone here

everdrive 2 hours ago | parent | prev | next [-]

Even if this analysis were accurate, I would feel much better if the administration had intentionally gone this route rather than accidentally blundering into it.

kakacik 2 hours ago | parent | prev [-]

3 - Iran moderates are neutralized, so hardcore fanatics from IRGC take over. Loss for literally everybody.

Otherwise, 1) and 2) are true, Europe is bleeding through the nose with buying US oil and depending on its current antagonist, not smart long term situation that we need to move away asap.

Somebody in US government is making literal billions on shorts and various trade deals just before major announcements keep happening, those are not that hard to see in markets. Current top public bet on this is trumps family and his close coworkers, and their families. If you ever want a witch hunt on traitors and collaborators against US citizens and society, smart up, forget Wall street and just follow those money very directly to culprits.

_DeadFred_ an hour ago | parent [-]

Iranian moderates ordered the gunning down in the streets of 3000 (by their own number) to up to 30,000 of their own people who were against their daughters/sisters/mothers being arrested/raped/murdered when they don't properly wear hats in accordance with the skygod worshippers requirements.

The 'moderates' often referred to PERSONALLY pushed students off of the tops of buildings to their deaths.

Moderate is being used very loosely.

Please read and understand the violence inflicted upon ordinary Iranians who fought to get to this point against the 'moderates' Shia Islamic theocrats.

https://en.wikipedia.org/wiki/Woman,_Life,_Freedom_movement

Have the Islamic regimes coverings rules been repealed? No. Have the Basij Islamic religious police been disbanded and removed from the street? No.

Are there any link' to the regimes revision of rules/laws and elimination of the religious police? Or have the moderates been forced to tolerate women?

All I see are brave Iranian women willing to push back against Islamic theocracy at personal risk. Amazing stuff!

throw310822 39 minutes ago | parent | next [-]

> who were against their daughters/sisters/mothers being arrested/raped/murdered when they don't properly wear hats

Have a look at some pics from Tehran and let me know if you notice something:

https://apnews.com/photo-gallery/tehran-iran-daily-life-cafe...

ipaddr an hour ago | parent | prev | next [-]

The peaceful daughters mother's and sisters protest you think happened resulting in thousands of people killed were really men with machine guns backed by the CIA and Israel trying to give Trump justification for invading.

throw310822 33 minutes ago | parent | next [-]

I'd be curious to know what people think would happen if the US decided they want their government gone. The most obvious strategy is to start internet and social media campaigns first (of which the US have complete control), and second step is to fund and arm "rebels" who are willing to conquer the state from inside and hand it over to the US on a silver plate. Complete deniability, no official war declaration, no domestic debate. And if the targeted country blocks the internet or shoots the "rebels", then the entire Western press can denounce that government as an illiberal, ferocious entity that censors information and kills its own citizens.

_DeadFred_ 41 minutes ago | parent | prev [-]

That is not what the videos that came out showed. Of course, now Iran has shudown the internet so information can not get in out.

Spin harder.

The truth is after the start of this war Iran has been importing Shia militias members from Iraq, Afghanistan, and Pakistan to be their enforcers because the Islamic regime does not have legitimacy with the Iranian populace.

1234letshaveatw 39 minutes ago | parent | prev [-]

That “moderate” narrative is nuts. Moderate Khamenei lol

MASNeo an hour ago | parent | prev | next [-]

Why is everyone obsessed with US military when the news seems to be Bitcoin? Just like that the US Dollar suffered because clearly a crypto currency may well become what the US Dollar was, a commodity to exchange value in a way that nobody can reasonably refuse. Whether that is for better or worse, I think that is bigger news then whose got the bigger gun.

thijson 35 minutes ago | parent [-]

It is bigger news indeed. I think previously China and Saudi were settling their account deficit with gold, a big airplane load every now and then.

danbruc 16 minutes ago | parent | prev | next [-]

The US should be happy about this. Maybe. Iran seeking reparations is a reasonable demand, this gives the US a way to satisfy a demand without having to pay themselves - which certainly would not be popular, to say the least - making an exit easier. There is of course the risk of setting an undesirable precedent and it is not clear what the consequences of that would be.

daymanstep 14 minutes ago | parent | next [-]

The US allowing Iran to levy a toll on Hormuz would completely discredit the US and set the precedent for other countries to levy their own shipping tolls . It's a non-starter.

iwontberude 2 minutes ago | parent | prev [-]

If anything we hand them tons of cash near 0% to rebuild and they join the Eurodollar cartel pushing our hegemony further. Politicians would need to do a better job explaining deficit spending and Keynesianism more generally.

mrandish 3 hours ago | parent | prev | next [-]

I guess I'm just surprised they even bother trying to mask an obvious shake down under the euphemism "insurance" when it's such a trope. Obligatory Sopranos clip of old school mobsters trying to sell "protective insurance" to a Starbucks: https://www.youtube.com/watch?v=_Gsz7Gu6agA

LorenPechtel an hour ago | parent [-]

It lets people not look up. And given the slightest opportunity an awful lot of people will take the don't look up answer.

u1hcw9nx 16 minutes ago | parent | prev | next [-]

Even if Iran would charge $2 million per ship (like it has done) it would be manageable cost for for shipping companies and would generate same amount of income as Iran's domestic oil production.

When the US violates the law of the sea in the South America, why not. Everybody complains but understands.

int32_64 3 hours ago | parent | prev | next [-]

There's no insurance scheme the IRGC can concoct that protects against the US navy hitting your rudder with a 20mm gun.

jltsiren 2 hours ago | parent | next [-]

Military history is full of quotes like "war is too important to be left to the generals". When you put people who focus on technical matters in charge, they often make poor decisions, as they are not looking at the big picture.

The question is not about whether the US can blockade the Hormuz Strait but who gets blamed for the blockade. Iran is messaging that it is making serious attempts to reopen the strait, while China and Russia are probably reinforcing the message. When people around the world suffer from the consequences of the blockade, they are more likely to blame America for their troubles. Or at least that's what Iran is trying to achieve.

Jensson 2 hours ago | parent [-]

No government have accepted Iranian tolls so far, that is just not going to fly ever. If every country controlling a strait started taking out such tolls that would cause much worse issues than we are seeing currently, nobody will have that.

telchior an hour ago | parent [-]

No government has accepted Iranian tolls so far, but some shippers sure have; ships have been passing through the strait. Those shipments go on to countries with governments. I don't think you can actually know that there wasn't government support for any of those payments so far.

And cryptocurrency should be even better for deniability. In reality it would be a really good idea for certain governments that rely heavily on Middle Eastern oil (e.g. Philippines) to pay fees in the short term. More than a month ago the Philippines was already claiming to have "safe and preferential access", if that involves money they'll pay it. (https://www.rappler.com/business/philippine-flagged-ships-sa...)

yongjik an hour ago | parent | prev | next [-]

Sure, but when it happens it's no longer Iran's problem - it's your problem. (And maybe America's problem, unless America gains anything from the global trade burning down.)

baq 3 hours ago | parent | prev | next [-]

Just wait for CENTCOM bulletin with their USDC blockade insurance address

outside2344 2 hours ago | parent | next [-]

bc1qxy2kgdytzdonaldjlostiranwartrump

FireBeyond 2 hours ago | parent | prev | next [-]

Hah, far more likely that it would be $TRUMP or $PATRIOT shitcoins. Gotta skim somehow.

spwa4 3 hours ago | parent | prev [-]

You mean that these mafia style insurances are a joke, but free (as in safe and not taxed) access to the seas is something many wars have been fought over. "Insurance" selling by navies was the norm until WW1 at least.

outside2344 2 hours ago | parent | prev | next [-]

A Iran drone then bombing UAE's oil infrastructure as payback?

Jensson 2 hours ago | parent [-]

They are already doing that so it wouldn't change anything.

kakacik 2 hours ago | parent [-]

No they are not right now, otherwise we would have full news every day of it. Defense rockets for stuff like Patriot ran out, those systems are trivial to overwhelm and deplete in the age of cheap drones and become useless quickly.

Same for the major airports, they keep working, people keep flying to the asia, albeit in less numbers.

_DeadFred_ an hour ago | parent [-]

Yesterday Iran stuck a nuclear plant with a drone, and launched them at other targets as well.

https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e5...

adrr 26 minutes ago | parent | next [-]

UAE is firing weapons at Iran's oil infrastructure.

https://www.wsj.com/articles/the-u-a-e-has-been-secretly-car...

tmnvix 11 minutes ago | parent | prev [-]

Just to be clear, Iran has been accused of the attack.

mothballed 2 hours ago | parent | prev | next [-]

A combination of enough insurance to make it worth the time of the owner + offer the workers a generous amount to their next of kin could make it worth it. Being turned into minced meat might be worth it for some people if it means their families become rich.

wang_li 2 hours ago | parent | prev | next [-]

Exactly. The US just announces that they will take any vessel that pays for transit. So, what happens then? Any vessel that goes through and the IRGC doesn't shoot them, the US seizes. So, no one pays since they can't pay for successful transit. The fun game is that all the vessels just go at once. Any that the IRGC doesn't shoot the US takes. Any that it does shoot sink. So, no transit. Unless IRGC doesn't shoot at all, in which case everyone gets out of there with just one vessel paying the ransom. Ultimately this doesn't work for the IRGC as the US is far more capable of closing the strait than Iran is.

The US can also fuck with Iran by getting slight cooperation from ships in the Gulf of Oman by getting some small inflatable boats with remote control and AIS transmitters on them. Put the boat in the water next to a ship, turn of the ship's AIS, turn on the boats AIS, and send the boat through. Send hundreds of them. IRGC won't know what to shoot at or will expose their positions by firing at a rubber raft.

lefra an hour ago | parent [-]

Or they'll use a pair of binoculars (or a drone with a camera) to ignore the decoys and shoot at the actual ship...

wang_li 14 minutes ago | parent [-]

The horizon at sea level is about 3 miles. The strait of Hormuz is 35+ miles wide. Any mechanism used to get around this would be detectable and could be attacked with relatively inexpensive ordinance.

bdangubic 3 hours ago | parent | prev | next [-]

US Navy has shown particular strength in this conflict against Iran, sitting in the international waters many (many, many) miles away and chillin :)

srean 3 hours ago | parent | next [-]

I would have never realised that things would have taken such an Onion worthy scatological turn.

s/n/d/6

Jensson 3 hours ago | parent | prev [-]

Whats weak about doing the smart thing?

nerfbatplz 2 hours ago | parent [-]

American destroyers and aircraft carriers have been chased away from the Strait multiple times now.

Hilariously the USS George HW Bush had to go the long way around Africa rather than risk transiting the Bab El Mandeb after the Houthis defeated the US Navy last year.

Jensson 2 hours ago | parent | next [-]

In what way were they chased away? Iran tried to sink them and didn't hit any shots, and many on Iran's side died trying. Many IRGC soldiers dying and not even scratching the paint on US vessels doesn't show US to be weak.

> Hilariously the USS George HW Bush had to go the long way around Africa rather than risk transiting the Bab El Mandeb after the Houthis defeated the US Navy last year.

Valuing the lives of your crewmen and avoid terrorists is bad how? USA not wanting their soldiers to die is weak? Would you want more deaths on US side to show strength?

USA can win this war with barely any casualties, why would you not do that? And USA being able to do this with barely any losses shows tremendous strength to me, Iran was more powerful than Ukraine but USA could establish aerial superiority immediately with no losses, this is so much stronger than what Russia displayed.

srean 2 hours ago | parent | next [-]

Given how expensive they are they were presumably supposed to do more than primarily stay out of range. There are less expensive ways of doing that.

Jensson 2 hours ago | parent [-]

They block Iranian ports so Iran can no longer export oil, that is doing a lot.

srean 2 hours ago | parent [-]

And Iran has blocked the strait too. It's at best a stalemate.

Jensson 2 hours ago | parent [-]

But this stalemate benefits US corporations by raising the price for oil, so its not really hurting the attacker. In order to hurt a plutocracy like USA you need to hurt the American stock market but American stocks are doing great.

srean 2 hours ago | parent | next [-]

That's true. Both USA and Russia should be quite happy with the current state of affairs. China not so much.

Rest of the world is quite pissed with USA. But that's just emotion. Unless it gets realised into something concrete it matters little.

yongjik 44 minutes ago | parent | prev [-]

Trump is at -20% net approval and it's steadily getting worse even now. Seems like most Americans don't decide whether things are going great by looking at S&P 500.

LorenPechtel 2 hours ago | parent | prev [-]

We are quite incapable of dealing with a mass attack by Iranian small boats with bombs.

Jensson 2 hours ago | parent [-]

They are not, they updated their tactics to account for that so they destroyed a lot of Iranian small boats with bombs trying to attack the vessels. If they were incapable of countering that we would have seen American casualties in these skirmishes but only Iranians died.

ericmay 32 minutes ago | parent | prev [-]

> Hilariously the USS George HW Bush had to go the long way around Africa rather than risk transiting the Bab El Mandeb after the Houthis defeated the US Navy last year.

The ship went the long way around because why risk being attacked by missiles? It's less that the US Navy "was defeated", which itself is a plainly asinine comment which only serves a purpose of trying to incite others, and more so a practical safety concern.

But if you really want to argue that the US Navy was defeated, I would submit our next step should be to utilize nuclear weapons on Yemen and destroy the Houthis. That way you can't make these claims and we'll see who really is defeating who :)

tehjoker 2 hours ago | parent | prev [-]

You realize that America "in theory" wants ships to transit the strait right? The US blockade is self-defeating.

You can't block the strait if we block the strait! lmao

Pay08 2 hours ago | parent | next [-]

The US is blockading the Iranian coast, not the entirety of the Strait.

IncreasePosts 2 hours ago | parent | prev [-]

The reason the US is blockading is because Iran is only partially blockading it. If Iran wasn't blockading at all then America wouldn't either. But it's pretty clear that "only shops whose countries pay a lot of money to Iran" would help Iran.

srean 3 hours ago | parent | prev | next [-]

Bitcoin does make the transaction publicly traceable. Either they have not realised that, seems unlikely, or they prefer it that way.

thisisit 18 minutes ago | parent | next [-]

Oh they are well aware and using bitcoin for years. Nobitex is an Iranian exchange and they have been processing billions using crypto networks:

https://www.reuters.com/investigations/how-trumps-crypto-ven...

misja111 3 hours ago | parent | prev | next [-]

It's not about traceability, it's about not having to use the dollar as currency.

srean 3 hours ago | parent | next [-]

That's significant messaging though -- we don't have anything to hide, down with the dollar.

I have read many comments that the regime wants to money launder the inflow. Bitcoin would be rather inconvenient for that.

bdangubic 3 hours ago | parent [-]

What would be a reason to money launder the inflow?!?

srean 3 hours ago | parent [-]

I have no clue.

Waterluvian 3 hours ago | parent | prev [-]

I don’t know stuff but I feel I’ve learned that the Americans can make basic commerce unbelievably painful for whoever they choose through sanctions and disconnection from various financial systems.

hggh 2 hours ago | parent | prev | next [-]

> Bitcoin does make the transaction publicly traceable

It can be untraceable with CashFusion

freerk 9 minutes ago | parent | next [-]

No, that doesn't work with Bitcoin, it only works with a fork of Bitcoin that has less than 0.5% of the value of Bitcoin.

taffydavid 2 hours ago | parent | prev [-]

I read that as coldfusion and I got some ptsd

tboyd47 3 hours ago | parent | prev | next [-]

What difference does it make?

krupan 2 hours ago | parent | prev [-]

I mean, kind of. If I give you an address to use to send me money, and I don't tell anyone else that address, and you don't tell anyone else that address, then nobody else can be sure who is behind the transaction.

sureglymop 2 hours ago | parent | prev | next [-]

My first thought: what mining power does Iran have? Seems important.

elzbardico 8 minutes ago | parent | prev | next [-]

Let’s be frank. Iran could have built at least crude gun type fission bombs since they reached industrial scale for enrichment. And this being very dismissing of Iranian scientific and technological capabilities.

Given modern computer consumer hardware, I don’t see why they couldn’t even have built implosion lens based fission devices without testing. DPRK would probably provide them with all the data they needed for the simulations.

Iran has been a few weeks from having a few bombs for the last 30 years because they decided not to build it.

yxwvut 3 hours ago | parent | prev | next [-]

More of a "Bitcoin-Backed Protection Racket", presumably?

genxy 3 hours ago | parent [-]

We know they are just going to spend it all on polymarket.

daft_pink 2 hours ago | parent | prev | next [-]

I’m not convinced that bitcoin is stable enough to use in insurance products. The currency volatility risk is too high to reasonably cover the covered losses which will need to be covered in some other currency to do things like replace boats etc.

asdff 2 hours ago | parent | next [-]

The volatility is only an issue if you need to convert the bitcoin in the near future. If you are willing to wait, volatility goes in your advantage. Bitcoin is volatile enough that if you wait for maybe a few years you will probably hit a pump that will far exceed the growth of most other investments. You don't even need to sell at the high to do this, the run up is often plenty enough gain.

tencentshill 31 minutes ago | parent | prev [-]

They were charging 0BTC per ship before, so they come out ahead no matter the current value of the coin. They can change their fees by the day as well.

bradley13 an hour ago | parent | prev | next [-]

Nice ship you have there. Be a shame if something...happened to it.

stormking 2 hours ago | parent | prev | next [-]

Finally, the killer app for blockchain: Paying ransom to a terror state.

adrr 5 minutes ago | parent | next [-]

Using bitcoin to pay extortions or ransoms is very common. What ransomware doesn't use bitcoin?

colordrops 2 hours ago | parent | prev [-]

Is the US or Israel asking for blockchain payments for access?

"terror state". I would have hoped that HN users would be smarter than to parrot FOX news propaganda.

Jensson 2 hours ago | parent | next [-]

> "terror state". I would have hoped that HN users would be smarter than to parrot FOX news propaganda.

Europe also designated them as a terrorist organization, happened right before the war started. It is a terror state, its just left wing propaganda that they aren't. Or is EU also too influenced by foxnews propaganda? Many countries recognizes them as terrorists, including US, Canada, Australia, Saudi Arabia etc.

"EU terrorist list: Council designates the Islamic Revolutionary Guard Corps as a terrorist organisation"

https://www.consilium.europa.eu/en/press/press-releases/2026...

delecti 18 minutes ago | parent [-]

Iran is no more or less a "terror state" than the US or Israel. The fact that only Iran gets labeled as such is where the propaganda comes in.

If anything, in the current war, Iran has suffered far more civilian casualties than it has inflicted.

TacticalCoder 40 minutes ago | parent | prev | next [-]

> "terror state". I would have hoped that HN users would be smarter than to parrot FOX news propaganda.

Even the most leftist publications in the west acknowledged that the iranian regime has been slaughtering 30 000+ of its own, unarmed, civilians in january this year. They went as far as following the, still unarmed, wounded into hospitals to finish the job.

Iran also then, once they came back to Iran, publicly hung iranian athletes who spoke against the islamist regime while competing abroad.

Now of course the leftist propaganda machine being what it is in the left, here's a documentary I saw on "Arte" (a heavily left-slanting TV channel producing movies and documentaries): as they couldn't not mention the 30 000+ deaths the iranian regime made, they made a documentary about it...

But the entirety of the documentary was about the "hurt feelings" of a poor islamist guard of the iranian regime who was forced, poor him, to kill innocents.

That movie channel, Arte, literally managed to make a documentary turning the thing on its head and presenting the killers as the victims because it was "so hard" to kill unarmed civilians.

So enlighten me a bit a propaganda please.

isr 2 hours ago | parent | prev | next [-]

I echo your sentiments. Much of the 'Murika 'Murika bluster even on this thread is so childishly unreal (as if from a MAGA wet dream parallel universe) that it almost doesn't rankle anymore. One feels that even they don't believe their own propaganda anymore, and are still shouting it to somehow "will" it into existence ...

myko an hour ago | parent | prev | next [-]

I agree with your perspective on the US and Israel but the Iranian regime has been far worse _to their own people_ and the world would be better off if moderates were in charge there.

Too bad trump and Hegseth killed them all as they were wantonly blasting targets in Iran and now there is nobody in a good position to take over.

CommanderData 2 hours ago | parent | prev [-]

Terror state, for them doesn't include genocidal colonialist invaders like Israel.

These descriptions are from objective scholars including Jewish ones btw.

LorenPechtel an hour ago | parent [-]

Genocide? Iran has unquestionably killed at least 10x as many as Israel.

And that declaration of "genocide"--by an organization whose sole membership qualification is paying the membership fee. And at that by a small portion of said organization.

(And I'm no Faux Noise sheep. The "mainstream" news is bad, Faux is worse. The quest for eyeballs means all news is slanted towards what the viewer wants to see.)

bflesch an hour ago | parent | prev | next [-]

If they put a substantial portion of their wealth into bitcoin we might witness the ultimate rugpull when the BTC creators cash in their large share of previously untouched coins.

yieldcrv 27 minutes ago | parent | prev | next [-]

crypto insurance products have been very successful in the DeFi space for more than half a decade, a protocol you are using gets hacked and instead of whaling about it on hackernews the insurance policy you opened pays out immediately

there is a lot of examples on how to design it, and it doesn't really seem like this Iranian one for shipping is designed well if its just an insurance pool in bitcoin at all times

but if they are using the bitcoin blockchain to sign the insurance transactions, and then the state administrator acquiring bitcoin to pay out policies at time of claim, then that could work. that was one of the bullish cases theorized for bitcoin back in 2011, 2012, its a long list

LeFantome 2 hours ago | parent | prev | next [-]

This global tax will be Trump’s legacy. It will be what the world knows him for generations after he is gone.

mempko 3 hours ago | parent | prev | next [-]

I had fairly deep knowledge about the bitcoin code base 7 years ago and I got a weird vibe from it as I've seen government code before. When I learned that Tor was funded by the Navy something clicked. Just as it makes sense to have a large onion network to allow spies abroad to surf the web anonymously, it would make sense to also have a currency you can use to fund agents or groups abroad that lived outside the banking system. Bitcoin makes sense for that purpose. If you have a large border-less digital currency with many people on it, even if it is traceable, it's still less risky then using cash which you would have to launder.

The fact that many states are now using it for funding purposes to get around the banking system further adds proof to bitcoin's potential origin.

Also, it doesn't help that Satoshi Nakamoto means basically central intelligence in Japanese...

I'm not saying Bitcoin was created by the government, but if it was there are signs...

tehjoker 2 hours ago | parent [-]

It's a lot easier to carry bitcoins than suitcases full of foreign cash or gold bars too. In China, they moved to digital currencies in part I believe to defeat CIA bags of cash (no point in getting stacks of paper money you can't use...). However, censorship resistant digital currencies allow them to continue their sneaky tricks.

This kind of thing explains in part why despite being an obvious scam, the government allowed cryptocurrencies to grow so large that eventually they formed their own feedback loop so strong that crypto bros were the biggest funders the 2024 presidential campaigns.

jauntywundrkind 3 hours ago | parent | prev | next [-]

Maybe after the mobster losers in the white House finally get kicked out we can just ban this thing forever. How can we abide this crypto stuff?

anukin 3 hours ago | parent | next [-]

How do you ban bitcoin? It’s not hosted or supported by American financial rails or any entity like swift which can be influenced by the USA in any meaningful way.

wrs 3 hours ago | parent | next [-]

It's supported and influenced by the USA in the sense that if you can't ever turn it into dollars it becomes much less interesting.

nuancebydefault 3 hours ago | parent [-]

Anything anyone wants to spend money on, can be converted into dollars. The currency has no tell in what it is used for.

wrs 3 hours ago | parent [-]

The hypothetical was that the US "bans" bitcoin, presumably meaning it becomes illegal for US financial institutions (or US-dependent ones, which is nearly all of them) to convert bitcoin to dollars. Somebody else might give you dollars for bitcoin, but then it becomes their problem. As the saying goes, "you can't eat bitcoin".

LorenPechtel an hour ago | parent [-]

It's not like the Dollar is the only worthwhile currency.

Convert it into Euros. Or Yen. Or Yuan.

nathan_compton 2 hours ago | parent | prev | next [-]

You could make it prohibitively problematic to use for most things.

jauntywundrkind 2 hours ago | parent | prev [-]

You do what the the US is doing right now to starve Cuba & end civilization there: you embargo/sanction anyone doing business there.

Like the Treasury/Dept of Commerce & others did with North Korean backed Tornado Cash. Some very quickly retrieved/not well researched (caveat reader) search links; https://home.treasury.gov/news/press-releases/jy0916 https://www.paulhastings.com/insights/crypto-policy-tracker/...

anukin 3 hours ago | parent | prev | next [-]

How do you ban this? It’s not part of swift or any us govt. backed global financial rails. If Iran(a sanctioned entity) supports this then this is more proof that the thing works.

LPisGood 3 hours ago | parent | next [-]

I’m not gonna comment on if it’s a good idea or not, but the US government could make it illegal for any financial institution that does business in America interacting with crypto.

They could also make it illegal for any US financial institution to do business with any financial institution that interacts with crypto.

They could probably also make it a crime to buy/sell crypto in America.

bruce511 2 hours ago | parent | next [-]

They could do all those things. But they won't. This administration is all-in on crypto, it's a key mechanism for receiving gift. They're not gonna cut it off.

Its also trivial to turn your crypto into yuan and your yuan into $. So I'm not sure such a ban would be even remotely effective.

furyofantares 14 minutes ago | parent [-]

> They could do all those things. But they won't. This administration is all-in on crypto, it's a key mechanism for receiving gift. They're not gonna cut it off.

This comment chain starts with "Maybe after the mobster losers in the white House finally get kicked out we can just ban this thing forever."

sheikhnbake 3 hours ago | parent | prev [-]

I wish I could pick the brain of banking finance expert on how feasible/realistic that could be after the cartel and FTO money laundering fiasco.

donkyrf 3 hours ago | parent | prev | next [-]

China already bans crypto. If America and Europe followed suit, the market for crypto would quickly collapse

iamkrazy 3 hours ago | parent [-]

China has banned crypto about a 100 times now.

bigyabai 3 hours ago | parent | prev [-]

> How do you ban this?

In America? KYC would suffice.

anukin 3 hours ago | parent | next [-]

America is not the world. They can’t go and sanction companies operating out of China or Japan who want a safe passage through hormuz. Especially now that the military power that supports the sovereign guarantee of US dollar is under siege.

smallerize 2 hours ago | parent | prev [-]

> > Iran Starts Bitcoin-Backed Ship Insurance for Hormuz Strait

> In America?

No.

TacticalCoder 10 minutes ago | parent | prev | next [-]

> ... we can just ban this thing forever.

I don't give a f--k about Bitcoin but I wouldn't want governments to start banning it.

Because then why not ban VPN forever too? And require a digital ID for anyone going on to the Internet?

And why not also mandate cameras operated by the state in every room of your apartment/house to make sure you behave?

And backdoor in every cryptographic protocol.

I mean why stop at banning Bitcoin komrade?

BTW the EU is thinking about creating an EU-wide registry of every single asset owned by every single EU citizen, down to every gold coin (oh btw maybe we should ban individuals owning gold coins too?), every jewel, every painting, sculpture, old car, watch, pokemand and Magic the Gathering card: they literally have a plan to make an inventory of every single asset. When asked, by a member of the EU parliament I think, if they could promise this would never be used as a basis for confiscation the EU Commission answered they couldn't promise that.

Where do you draw the line? Is there one point at which you start saying that freedom shouldn't be taken away?

ck2 3 hours ago | parent | prev [-]

Kicked out?

If the Dems don't win the Senate, nothing will change until maybe February 2029 but pretty sure the same people that gave him this power of insanity are just going to vote for the next nightmare, there's no lesson learned, not even with $5 gas and $6 diesel

I don't even think a full blown recession would change anything

And now they are bringing the warships back to Cuba so get ready for next distraction from this distraction from the other distraction while they crime-spree away

selectodude 3 hours ago | parent [-]

You and I and everybody else just handed $1 million to Jan 6th insurrectionists.

Whatever is going to happen over the next 24 months is already in motion. All we can do now is prepare. And maybe get a little less squeamish.

konschubert 3 hours ago | parent | prev | next [-]

“Insurance”

Cider9986 2 hours ago | parent | prev | next [-]

https://archive.ph/r8TuZ

Corrupted but there's more I guess.

tomhow an hour ago | parent [-]

Syndicated here: https://finance.yahoo.com/markets/crypto/articles/iran-start...

bradley13 3 hours ago | parent | prev [-]

Iran could easily have garnered a lot of international sympathy and support. Instead, they attacked their neighbors, impacted the world economy, and now are basically asking for blackmail money: "nice ship you have there...".

Maybe Trump should bomb them some more?

srean 3 hours ago | parent | next [-]

Sympathy gets you Gaza, West Bank and a few refugee camps.

Geopolitics understands one language alone.

Jensson 2 hours ago | parent [-]

And what has this done to help Iran so far? Trump doesn't care about peoples opinions, US oil is making record profits thanks to the war so there wont be pushback from them, and Trump has 5 more months until midterms that is still plenty of time.

The main thing it resulted in is the Europe led coalition that aims to ensure the strait will never get blocked again, so Iran can never play this card again, that will lose them a lot of political power in the future since this card is now gone.

nullocator 19 minutes ago | parent | next [-]

5 more months until midterms is plenty of time to do what exactly? Tell us that he won the war on Iran twice a day every, just like he has been doing for the last 2 months? The economic impact of this is just starting to be felt and will get increasingly painful for at least the remainder of the calendar year (depending on how much longer the straight stays closed). There is no mechanism for him to just sweep this under the rug. Perhaps you believe him every time he says he won, I think most us don't believe it and never will not matter how many times he repeats the lie.

"never get blocked again" just like when it was claimed by the U.S. it wouldn't be blocked in the first place, or that it would only be a few days...sure sure. I'm sure the IRGC is about to call the European and U.S. leaders and tell them how bigly they are and how scared of more bombing they are.

srean 2 hours ago | parent | prev [-]

Survival.

Jensson 2 hours ago | parent [-]

In what way? What do you think would be different if Iran didn't block the strait?

srean 2 hours ago | parent [-]

Trump's tweets gave a clear indication of what's coming their way next.

Jensson 2 hours ago | parent [-]

Yes, USA will bomb Iran, so how did blocking the strait help them?

ImPostingOnHN an hour ago | parent [-]

Well, first of all, the USA already bombed Iran, so closing the strait is an effect, not a cause.

Second of all, it's also more likely the USA will back down as a result of widespread disapproval, than it is that USA will effectuate a full ground invasion (which would result in heavy losses).

Whereas if they had complied with the don's demand that they be a vassal state of the USA and israel, they would not be a sovereign country anymore.

This isn't exactly abnormal: for a USA analogue, look at Patrick Henry's comments on liberty.

nkrisc 2 hours ago | parent | prev | next [-]

Well the strait was open and freely navigable before trump bombed them.

What Iran has learned from this is they don’t need sympathy, they need to exercise the leverage they do have, and there’s no way they’re ever going to willingly give that leverage up - they’ve seen what would happen.

myko an hour ago | parent [-]

Some idiot tore up the JCPOA, the only thing really preventing Iran from getting nukes. The lesson here is: get nukes

nkrisc 32 minutes ago | parent [-]

See Ukraine for another reason to have nukes.

seanclayton 2 hours ago | parent | prev | next [-]

Ukraine also gave up its nukes. Look how that worked out for them and Europe.

severino 2 hours ago | parent [-]

Were they theirs? Germany has nukes too but they're not theirs, they're from the US. Germany can't say "fuck off" to the ~50k Americans stationed in the country, leave NATO and get to keep the nukes.

statguy 3 hours ago | parent | prev | next [-]

yeah right, lets kill some more Iranian schoolgirls!!

tdb7893 2 hours ago | parent | prev | next [-]

"Iran could easily have garnered a lot of international sympathy and support"

What? I understand sympathy but I am not understanding what the path could've been to meaningful support against US aggression here.

postalrat 2 hours ago | parent | prev | next [-]

Well it worked to get USA and Israel to stop attacking.

pphysch 3 hours ago | parent | prev | next [-]

International law, much less "international sympathy", is a meaningless phrase in 2026.

crikeykangaroo 2 hours ago | parent | prev | next [-]

Iran was attacked by the US and Israel (the state committing genocide right now). International law, rules and agreements don't seem to matter when it comes to the US and Israel. Fortunately, the world is becoming more and more multi-polar, and the decline of the US (which to a certain extent is probably caused by how Israel is dragging them to wars) is necessary to have some world peace. I do have to note that I feel sorry for the bulk of Americans who are just trying to live their lives.

tehjoker 2 hours ago | parent | prev | next [-]

This is an incredible 180 degree misinterpretation of who attacked whom. Iran is garnering incredible international sympathy and support. There is no just war theory that can support what America has done to Iran. It is immoral, illegal aggression.

bradley13 an hour ago | parent | next [-]

They ate getting relatively little sympathy. Why? Because they are pissing everyone off who might have sympathized.

Seriously dumb. And now this mafia-esque blackmail?

Pay08 2 hours ago | parent | prev [-]

> Iran is garnering incredible international sympathy and support.

From who?

constantius 2 minutes ago | parent [-]

Look around you mate.

There are protests against the war/against the US/against Israel in major capitals, the Lego videos go viral, news regularly mention EU heads of state talking to Iranian ministers. After weeks of the strait being shut, no EU country has joinedUS and Israel.

For most of the world, Iran is the victim of two dangerous countries. I bet you a tenner that when the US and Israel give up and the end of the war is officially announced, there'll be dancing in your streets.

ImPostingOnHN 2 hours ago | parent | prev | next [-]

> [Iran] now are basically asking for blackmail money: "nice ship you have there..."

This doesn't sound like the don to you? "hey Iran, nice country you have there..."

> Maybe Trump should bomb them some more?

If the USA is going to be bombing every country which doesn't give up their sovereignty and bend the knee to the don, then the USA is going to need more bombs.

bradley13 an hour ago | parent [-]

My comment about Trump was meant to be sarcastic. Sorry, if that was not obvious...

ImPostingOnHN 37 minutes ago | parent [-]

Huh? You're saying your whole post was sarcasm? Including the part where you criticize Iran for "blackmail" while the don has been doing the same thing since starting the war?

Poe's Law in action, I guess. In general, sarcasm isn't a good way to have a good discussion. Better to just say what you mean, rather than the opposite of what you mean, with the assumption that everyone will know you didn't actually mean it.

HappyPanacea 3 hours ago | parent | prev [-]

Iran knows hard currency is better than soft power