Iran plans to offer insurance for Hormuz transit: Will it work?

Iran announced the formation of a new authority, the Persian Gulf Strait Authority (PGSA), to manage the Strait of Hormuz, a key passage for 20% of the world's oil and gas exports. Two days prior, reports indicated that Tehran planned to offer insurance for vessels crossing the strait, with payments settled in cryptocurrency. Despite this, the idea of imposing transit fees has been widely rejected internationally, including by the US State Department.