Global Impact of the Closure of the Strait of Hormuz and Bab el-Mandeb
The closure of these strategic points would have severe consequences for the global economy, particularly affecting energy and financial markets. 🚢
🔺 Why?
Because around 30% of the world's oil transits through these maritime routes. A supply disruption would trigger an immediate spike in crude prices, creating a domino effect across multiple economic sectors.
💰 Implications for the Crypto Ecosystem
Although cryptocurrencies do not directly depend on oil trade, their behavior is linked to geopolitical and macroeconomic events. Here are some of the most likely effects:
1️⃣ Increased Inflation and Volatility
The rise in oil prices would increase production and transportation costs, stimulating global inflation🌡️.
In response, many investors might seek refuge in alternative assets like Bitcoin (BTC) and gold, boosting their value.
2️⃣ Pressure on Stablecoins.
Stablecoins like USDT, USDC, and DAI could experience tensions if the dollar weakens due to an energy crisis ⚖️.
In oil-dependent economies, the demand for these stablecoins might increase.
3️⃣ Energy-Intensive Cryptocurrencies at Risk
Cryptos like Bitcoin (BTC) and Ethereum (ETH), which require intensive mining, would be affected if energy costs rise.
This could accelerate the transition to more efficient networks.
4️⃣ Crypto Adoption in Vulnerable Countries
Some nations with unstable oil economies might turn to cryptocurrencies as an alternative to the traditional banking system 🏦.
🚨 Reflection
Although the closure of these straits is unlikely in the short term, its impact would be devastating for global markets.
Energy-intensive stablecoins and cryptocurrencies would be the most vulnerable.