The United States has stopped arguing with Iran over who controls the Strait of Hormuz and started prosecuting the transaction itself. On May 27, the Treasury Department added Iran’s Persian Gulf Strait Authority to the Specially Designated Nationals list under Executive Order 13224, the counterterrorism authority reserved for entities that finance terror. The designation does not contest Tehran’s claim to administer the strait. It renders the act of buying passage a sanctionable offense, and in doing so it inverts the entire logic of the toll regime.