When assessing potential military escalation in the Middle East, three critical questions demand clarity: What's the actual strategic objective? Which targets are in scope? And crucially—what's the exit strategy?

Here's the reality many overlook: airstrikes aren't regime change. Limited escalation rarely stays limited once the dominoes start falling. One strike leads to retaliation, then counter-retaliation. The fog of conflict thickens fast.

For energy markets and those tracking macro trends, this matters enormously. Geopolitical instability in oil-producing regions creates volatility that ripples through commodities, currencies, and broader asset classes. Investors operating in Web3 spaces should factor in these tail risks when considering portfolio positioning during periods of heightened tension.

The lesson: escalation without clear boundaries and defined off-ramps tends toward unpredictability. In markets and in conflict, that unpredictability carries real costs.