The Trump administration extended its Jones Act waiver by 90 days on April 24, 2026, keeping the door open for foreign-flagged vessels to haul oil, LNG, and hundreds of other commodities between US ports. The move is a direct response to the ongoing Iran conflict that shut down the Strait of Hormuz on February 28 and sent energy prices on a rollercoaster that crypto traders know all too well.

What the Jones Act waiver actually does

The Jones Act, passed in 1920, requires that goods shipped between US ports travel on American-built, American-flagged, American-crewed vessels. When “Operation Epic Fury” led to the closure of the Strait of Hormuz in late February, global oil transportation got scrambled almost overnight. The administration responded with a 60-day waiver on March 17-18, covering at least 659 product categories and letting foreign vessels handle domestic shipments to keep supply chains intact.

That initial waiver was set to expire soon, which is why the 90-day extension matters. It pushes the waiver out to roughly mid-August 2026, buying time for energy markets and logistics networks to adapt to what’s becoming a prolonged disruption.

Representative Ed Case of Hawaii had been sounding the alarm, calling for an additional 60-day extension on April 22, just two days before the administration went further with a 90-day window. Hawaii’s near-total dependence on maritime fuel imports made the state a canary in the coal mine for what happens when domestic shipping constraints collide with a global energy crisis.

The energy dominoes

The Department of Energy released 172 million barrels from the Strategic Petroleum Reserve in mid-March, a massive drawdown aimed at cooling domestic fuel prices. For context, the US SPR held roughly 400 million barrels before the conflict. Releasing nearly half of that reserve in a single month signals just how seriously Washington is taking the supply crunch.

Energy firms have moved quickly to exploit the waiver’s flexibility. Phillips 66 and Valero have used the relaxed rules to facilitate domestic crude movements, rerouting supply chains that would normally require more expensive American-flagged vessels.

Why crypto traders should care about shipping law

In early March, as oil prices surged following the Strait of Hormuz closure, Bitcoin experienced notable dips. As de-escalation signals emerged and the Jones Act waiver helped stabilize domestic energy logistics, Bitcoin climbed back above $70,000.

The SPR drawdown is another variable worth watching. At 172 million barrels released in a single tranche, the strategic reserve is significantly depleted. That limits Washington’s future ability to intervene in energy markets through reserve releases.

The mid-August waiver expiration date is now a calendar event that crypto markets will need to price in well before it arrives.